Page 105 - Hojnik, Jana. 2017. In Persuit of Eco-innovation. Drivers and Consequences of Eco-innovation at Firm Level. Koper: University of Primorska Press
P. 105
Consequences of Eco-innovation Adoption
Authors Measures Findings
- Turnover per worker (i.e., revenue per Eco-innovation has a positive and signifi-
Doran and Ryan (2012), employee) cant effect on firm performance. Firms en-
European Journal of Inno- gaged in eco-innovation have higher lev-
vation Management els of turnover per worker than firms that
do not engage in eco-innovation or any in-
Horváthová (2012), - Debt to total assets novation at all.
Ecological Economics - ROA
- ROE The results of the study have revealed that
- Sales the effect of environmental performance
- Profit in current accounting period on financial performance is negative after a
one-year lag, while it becomes positive for
a two-year lag.
Cheng et al. (2013), Relative to competing new eco-products The results of the study demonstrate that 105
Journal of Cleaner Pro- during the last three years, our unit’s new eco-organizational innovation has the
duction eco-product performance is better with strongest effect on business performance.
respect to: Moreover, eco-organizational, eco-pro-
De Burgos-Jiménez et - Return on investment cess, and eco-product innovations have di-
al. (2013), - Sales rect and indirect effect on business per-
International Journal of - Market share formance.
Operations & Produc- - Profits
tion Management The results indicate that it pays to be green.
- ROA (return on assets) When environmental performance is bet-
- ROS (return on sales) ter as an industrial average, and when com-
- Sales variation panies are environmentally proactive,
there is a positive effect on financial per-
formance.
Leonidou et al. (2013a), - Operating profits Eco-friendly marketing strategy has a posi-
Tourism Management - Profit to sales ratio tive influence on financial performance.
- Profit return on investment
Lin et al. (2013a), Journal - Return on assets Green product innovation performance
of Cleaner Production - Market share is positively associated with firm perfor-
- Sales volume mance.
Rexhäuser and Rammer - Sales return on investment
(2013), - Cash-flow Innovations that do not improve firms’ re-
Environmental and Re- source efficiency do not provide positive
source Economics - Market position improvement returns to profitability, while innovations
- Enhancing sale volume that increase a firm’s resource efficiency (in
- Enhancing the profit rate terms of material or energy consumption
- Enhancing the reputation per unit of output) have as well a positive
effect on profitability.
- ROS (return on sales)
Authors Measures Findings
- Turnover per worker (i.e., revenue per Eco-innovation has a positive and signifi-
Doran and Ryan (2012), employee) cant effect on firm performance. Firms en-
European Journal of Inno- gaged in eco-innovation have higher lev-
vation Management els of turnover per worker than firms that
do not engage in eco-innovation or any in-
Horváthová (2012), - Debt to total assets novation at all.
Ecological Economics - ROA
- ROE The results of the study have revealed that
- Sales the effect of environmental performance
- Profit in current accounting period on financial performance is negative after a
one-year lag, while it becomes positive for
a two-year lag.
Cheng et al. (2013), Relative to competing new eco-products The results of the study demonstrate that 105
Journal of Cleaner Pro- during the last three years, our unit’s new eco-organizational innovation has the
duction eco-product performance is better with strongest effect on business performance.
respect to: Moreover, eco-organizational, eco-pro-
De Burgos-Jiménez et - Return on investment cess, and eco-product innovations have di-
al. (2013), - Sales rect and indirect effect on business per-
International Journal of - Market share formance.
Operations & Produc- - Profits
tion Management The results indicate that it pays to be green.
- ROA (return on assets) When environmental performance is bet-
- ROS (return on sales) ter as an industrial average, and when com-
- Sales variation panies are environmentally proactive,
there is a positive effect on financial per-
formance.
Leonidou et al. (2013a), - Operating profits Eco-friendly marketing strategy has a posi-
Tourism Management - Profit to sales ratio tive influence on financial performance.
- Profit return on investment
Lin et al. (2013a), Journal - Return on assets Green product innovation performance
of Cleaner Production - Market share is positively associated with firm perfor-
- Sales volume mance.
Rexhäuser and Rammer - Sales return on investment
(2013), - Cash-flow Innovations that do not improve firms’ re-
Environmental and Re- source efficiency do not provide positive
source Economics - Market position improvement returns to profitability, while innovations
- Enhancing sale volume that increase a firm’s resource efficiency (in
- Enhancing the profit rate terms of material or energy consumption
- Enhancing the reputation per unit of output) have as well a positive
effect on profitability.
- ROS (return on sales)
