Effects of Green Manufacturing and Eco-innovation on Sustainability Performance

Abstract

Firms are facing growing pressure to become “greener” or more environmentally friendly. Consequently, firms have had to review their production processes as a result of pressures from the community and governments. This pilot study investigated the influence of green manufacturing and eco-innovation on corporate sustainability performance (economic, environmental, and social). Data were collected through a questionnaire-based survey across 53 companies from automotive, chemistry and electronic sectors in Turkey. The empirical model was tested using regression analysis, to verify the hypothetical relationships of the study. The results of this study indicate that the green manufacturing applications have a significant positive impact on environmental performance and social performance. Additionally, eco-process innovation has a significant positive impact on corporate sustainability. However, eco-product innovation was not found to have a significant effect on any of the three types of performance.