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Environmental Innovations and Internationalization: Theory and Practices

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  • Maria Chiarvesio
  • Valentina De Marchi
  • Eleonora Di Maria

Abstract

Based on original data on Italian firms specializing in medium‐ and low‐tech industries, we study the relationship between firms’ upstream and downstream internationalization and their propensity to introduce products or processes that reduce environmental impact. Preliminary evidence suggests that geography plays an important role in green firms’ activities and supply chains. More precisely, results suggest that firms that outsource to and rely on non‐local suppliers are less likely to engage in environmental innovations. Moreover, we verify that firms engaged in export activities play a similar and negative role, regardless of the export intensity and typology of foreign markets (i.e. developed versus emerging). Tapping global flows of knowledge by being a part of a multinational group positively spurs the development of green innovations, as for FDIs. Copyright © 2014 John Wiley & Sons, Ltd and ERP Environment

Suggested Citation

  • Maria Chiarvesio & Valentina De Marchi & Eleonora Di Maria, 2015. "Environmental Innovations and Internationalization: Theory and Practices," Business Strategy and the Environment, Wiley Blackwell, vol. 24(8), pages 790-801, December.
  • Handle: RePEc:bla:bstrat:v:24:y:2015:i:8:p:790-801
    DOI: 10.1002/bse.1846
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