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The interplay of corporate entrepreneurship, environmental orientation, and performance in clean‐tech firms—A double‐edged sword

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  • Christoph Constantin Niemann
  • Petra Dickel
  • Gordon Eckardt

Abstract

Clean‐tech innovations are an important driver in solving global issues such as climate change and for the sustainable development of economies around the world. Whereas a large part of the literature focuses on clean‐tech ventures, less is known on corporate entrepreneurship, that is, entrepreneurial behavior in established firms and its relation to sustainability. This paper extends the sustainable entrepreneurship debate to corporate entrepreneurship, which represents a fruitful avenue to further developing clean technologies. We focus particularly on clean‐tech firms' organizational preparedness for corporate entrepreneurship (OPCE), that is, how well a firm's structures and processes are set for entrepreneurial activities. On the basis of contingency theory, this study investigates how the level of OPCE influences the environmental and financial performance of clean‐tech firms and whether their environmental orientation affects these relationships. Building on data from 103 firms, we find support for a positive effect of OPCE on both environmental and financial performance. Both effects are stronger the higher the external environmental orientation. In contrast, the leverage of internal environmental orientation is not equally positive. Our study reveals that the effect of OPCE on financial performance diminishes for firms that are more strongly driven by an internal than an external environmental orientation.

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  • Christoph Constantin Niemann & Petra Dickel & Gordon Eckardt, 2020. "The interplay of corporate entrepreneurship, environmental orientation, and performance in clean‐tech firms—A double‐edged sword," Business Strategy and the Environment, Wiley Blackwell, vol. 29(1), pages 180-196, January.
    • Handle: RePEc:bla:bstrat:v:29:y:2020:i:1:p:180-196
    DOI: 10.1002/bse.2357
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    Cited by:

    1. Niemann, Christoph Constantin & Mai, Robert & Dickel, Petra, 2022. "Nurture or nature? How organizational and individual factors drive corporate entrepreneurial projects," Journal of Business Research, Elsevier, vol. 140(C), pages 155-169.

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