Business & Management Studies

Linking Green Entrepreneurial Orientation to Sustainable Firm Performance: Insights from a Mixed Method Study

Linking Green Entrepreneurial Orientation to Sustainable Firm Performance: Insights from a Mixed Method Study

Green entrepreneurial orientation (GEO) drivers like institutional pressure and entrepreneurial leadership significantly influence sustainable firm performance in manufacturing.

Authors

Shivani Shivani, Assistant Professor, Jindal Global Business School, O.P. Jindal Global University (JGU), Haryana, Sonipat, India; Department of Management Studies, Indian Institute of Technology Delhi, Delhi, India

Seema Sharma, Department of Management Studies, Indian Institute of Technology Delhi, Delhi, India

Shveta Singh, Department of Management Studies, Indian Institute of Technology Delhi, Delhi, India

Summary

Green entrepreneurial orientation (GEO) is a strategic posture that balances both the growth and environmental goals of corporate firms. However, the existing literature lacks a comprehensive framework that thoroughly examines how various drivers of GEO interact and influence sustainable firm performance. Therefore, by integrating the attention-based view with hierarchical modelling, a mixed-method research framework is designed, employing modified total interpretive structural modelling (M-TISM) in the first phase to construct a hierarchical outline of GEO drivers, followed by partial least squares structural equation modelling (PLS-SEM) in the second phase to empirically test the M-TISM model. The result indicates that institutional pressure, managerial environment concern, entrepreneurial leadership, organizational resilience, and organizational legitimacy have the strongest influence on GEO. The PLS-SEM analysis further validates this model with 219 senior and middle-level managers of firms contacted through convenience sampling operating in different manufacturing industrial sectors. Additionally, the findings offer valuable insights into promoting green performance within the manufacturing sector.

Published in: Business Strategy and the Environment

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