article · European Journal of Innovation Management
Research assessing 259 manufacturing firms examines how environmental market strategies lead to the success of new products. The investigation reveals that adopting a green market orientation does not directly result in new product success. Instead, the connection depends on a firm's green innovation capability, which acts as a mediator to translate market orientation into successful offerings. Furthermore, the development of green innovation capability through market orientation is moderated by the acquisition of green knowledge. The eventual success of new products derived from green innovation capability is also moderated by green brand positioning. Consequently, manufacturing businesses aiming to introduce successful sustainable products need internal innovation capacities supported by external green knowledge and strategic brand positioning, rather than relying solely on environmental market focus.
Focusing on green markets is not enough on its own to make new sustainable products succeed. For businesses seeking to reduce environmental impacts through product development, these findings clarify that internal innovation skills, external knowledge gathering, and clear eco-friendly branding are essential operational steps required to convert sustainable intentions into commercial product performance.
Manufacturing firms and product managers can apply these insights to shape sustainable product development strategies. The research indicates that investments should target green innovation capabilities, knowledge acquisition, and brand positioning alongside market orientation. Because the study relies on survey data from 259 active manufacturing firms, the managerial insights are applied and directly relevant to corporate planning, though specific product technologies are not evaluated.
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Purpose The purpose of this study is to assess if the mediating effect of green innovation capability (GIC) in the relationship between green market orientation (GMO) and new product success (NPS) was conditional on the moderating effects of green knowledge acquisition (GKA) and green brand positioning (GBP). Design/methodology/approach The analysis was based on primary data gathered using a structured questionnaire, which was developed on a five-point Likert scale of 1-Strongly disagree to 5-Strongly agree. There were 259 manufacturing firms engaged in the study, with data analyzed using PROCESS macro (v.3.4) for SPSS (v.23). Findings The research revealed that GMO had no direct effect on NPS among manufacturing firms, the relationship was rather mediated by GIC of the firms. The effect of GMO on GIC was moderated by GKA, whereas the effect of GIC on NPS was moderated by GBP. Overall, the mediating effect of GIC in the relationship between GMO and NPS was conditional on the moderating effects of GKA and GBP. Research limitations/implications The study focused on only knowledge acquisition (green), without recourse to assimilation, transformation and exploitation. These may, however, be very important in explaining the role of knowledge in green innovation. Practical implications Green market-oriented manufacturing firms must seek to also make investments in GIC to transform those concepts into successful innovative products. Originality/value Despite the increasing number of studies on GMO, very limited concentration has been paid to how firms could leverage on the potentials of GMO to enhance the success of new products introduced into the market. This study did not just establish the effect of GMO on the success of new products but also identified some intervening variables in this relationship.
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DOI: 10.1108/ejim-09-2020-0345
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