IDEAS home Printed from https://ideas.repec.org/a/eee/tefoso/v210y2025ics0040162524006966.html
   My bibliography  Save this article

Factors associated with the adoption of eco-innovation and its effect on environmental performance in the US household cleaning sector

Author

Listed:
  • Bothongo, Keith
  • Kinyar, Ali

Abstract

This study investigates the influence of external and internal factors on eco-innovation and the impact of its adoption on firms' environmental performance. We mainly examined process eco-innovation, which provides eco-friendly alternatives to the raw materials, machines, and energy sources used in the firms' production processes that could harm the environment. Using a survey, we gathered data from 118 publicly listed household cleaning and personal care companies on the New York Stock Exchange (NYSE). Results of the structural equation model revealed that regulatory pressure, consumer demand, and green corporate image could induce the adoption of process eco-innovation, while environmental subsidies do not. In addition, our findings indicated that environmental management systems (EMS), technological capabilities, and managerial environmental concerns spur process eco-innovation adoption. We also found that process eco-innovation can significantly improve firms' environmental performance, indicating that cleaner production processes are important for pollution prevention. This work contributes to existing knowledge of eco-innovation, especially in terms of its regional and industry focus, and provides significant implications for policy and practice.

Suggested Citation

  • Bothongo, Keith & Kinyar, Ali, 2025. "Factors associated with the adoption of eco-innovation and its effect on environmental performance in the US household cleaning sector," Technological Forecasting and Social Change, Elsevier, vol. 210(C).
  • Handle: RePEc:eee:tefoso:v:210:y:2025:i:c:s0040162524006966
    DOI: 10.1016/j.techfore.2024.123898
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0040162524006966
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.techfore.2024.123898?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Mahmood, Nasir & Zhao, Yingjun & Lou, Qinqin & Geng, Jinzhou, 2022. "Role of environmental regulations and eco-innovation in energy structure transition for green growth: Evidence from OECD," Technological Forecasting and Social Change, Elsevier, vol. 183(C).
    2. Paul Lanoie, 2008. "When And Why Does It Pay To Be Green?," CIRANO Papers 2008n-02a, CIRANO.
    3. Fernández, Sara & Torrecillas, Celia & Labra, Romilio Ernesto, 2021. "Drivers of eco-innovation in developing countries: the case of Chilean firms," Technological Forecasting and Social Change, Elsevier, vol. 170(C).
    4. Rubashkina, Yana & Galeotti, Marzio & Verdolini, Elena, 2015. "Environmental regulation and competitiveness: Empirical evidence on the Porter Hypothesis from European manufacturing sectors," Energy Policy, Elsevier, vol. 83(C), pages 288-300.
    5. Triguero, Angela & Moreno-Mondéjar, Lourdes & Davia, María A., 2013. "Drivers of different types of eco-innovation in European SMEs," Ecological Economics, Elsevier, vol. 92(C), pages 25-33.
    6. Borghesi, Simone & Cainelli, Giulio & Mazzanti, Massimiliano, 2015. "Linking emission trading to environmental innovation: Evidence from the Italian manufacturing industry," Research Policy, Elsevier, vol. 44(3), pages 669-683.
    7. Wagner, Marcus, 2007. "On the relationship between environmental management, environmental innovation and patenting: Evidence from German manufacturing firms," Research Policy, Elsevier, vol. 36(10), pages 1587-1602, December.
    8. Anton, W.R.Q.Wilma Rose Q. & Deltas, George & Khanna, Madhu, 2004. "Incentives for environmental self-regulation and implications for environmental performance," Journal of Environmental Economics and Management, Elsevier, vol. 48(1), pages 632-654, July.
    9. Eiadat, Yousef & Kelly, Aidan & Roche, Frank & Eyadat, Hussein, 2008. "Green and competitive? An empirical test of the mediating role of environmental innovation strategy," Journal of World Business, Elsevier, vol. 43(2), pages 131-145, March.
    10. Klaus Rennings & Thomas Zwick, 2002. "Employment Impact Of Cleaner Production On The Firm Level: Empirical Evidence From A Survey In Five European Countries," International Journal of Innovation Management (ijim), World Scientific Publishing Co. Pte. Ltd., vol. 6(03), pages 319-342.
    11. Sanni, Maruf, 2018. "Drivers of eco-innovation in the manufacturing sector of Nigeria," Technological Forecasting and Social Change, Elsevier, vol. 131(C), pages 303-314.
    12. Johnstone, Nick & Labonne, Julien, 2009. "Why do manufacturing facilities introduce environmental management systems? Improving and/or signaling performance," Ecological Economics, Elsevier, vol. 68(3), pages 719-730, January.
    13. repec:hal:journl:hal-04330017 is not listed on IDEAS
    14. Karen Palmer & Wallace E. Oates & Paul R. Portney & Karen Palmer & Wallace E. Oates & Paul R. Portney, 2004. "Tightening Environmental Standards: The Benefit-Cost or the No-Cost Paradigm?," Chapters, in: Environmental Policy and Fiscal Federalism, chapter 3, pages 53-66, Edward Elgar Publishing.
    15. Agyemang Rama & Bekolo Ngoa Celestin & Shuangying Chen & Konan Martin, 2022. "Assessment of Eco-Innovation Drivers within the Informal Sector in Ghana," Sustainability, MDPI, vol. 14(11), pages 1-19, June.
    16. Larbi-Siaw, Otu & Xuhua, Hu & Owusu, Ebenezer & Owusu-Agyeman, Abigail & Fulgence, Brou Ettien & Frimpong, Samuel Akwasi, 2022. "Eco-innovation, sustainable business performance and market turbulence moderation in emerging economies," Technology in Society, Elsevier, vol. 68(C).
    17. Rennings, Klaus & Ziegler, Andreas & Ankele, Kathrin & Hoffmann, Esther, 2006. "The influence of different characteristics of the EU environmental management and auditing scheme on technical environmental innovations and economic performance," Ecological Economics, Elsevier, vol. 57(1), pages 45-59, April.
    18. Requate, Till & Unold, Wolfram, 2003. "Environmental policy incentives to adopt advanced abatement technology:: Will the true ranking please stand up?," European Economic Review, Elsevier, vol. 47(1), pages 125-146, February.
    19. Chang, Kai & Ding, Jiehuan & Lou, Qichun & Li, Zesheng & Yang, Jiahui, 2021. "The impact of capital leverage on green firms’ investment: New evidence regarding the size and age effects of Chinese green industries," Finance Research Letters, Elsevier, vol. 38(C).
    20. Han, Myat Su & Chen, Weiming, 2021. "Determinants of eco-innovation adoption of small and medium enterprises: An empirical analysis in Myanmar," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    21. Jianbo Song & Haiqing Zhang & Zihao Su, 2021. "Environmental subsidies and companies’ environmental investments," Economic and Political Studies, Taylor & Francis Journals, vol. 9(4), pages 477-496, October.
    22. Yang, Jun & Hao, Yun & Feng, Chao, 2021. "A race between economic growth and carbon emissions: What play important roles towards global low-carbon development?," Energy Economics, Elsevier, vol. 100(C).
    23. Rafik Abdesselam & Malia Kedjar & Patricia Renou-Maissant, 2024. "What are the drivers of eco-innovation? Empirical evidence from French start-ups," Post-Print hal-05019865, HAL.
    24. Zhao Qi Sun & Sung Joon Yoon, 2022. "What Makes People Pay Premium Price for Eco-Friendly Products? The Effects of Ethical Consumption Consciousness, CSR, and Product Quality," Sustainability, MDPI, vol. 14(23), pages 1-18, November.
    25. Valero-Gil, Jesus & Surroca, Jordi A. & Tribo, Josep A. & Gutierrez, Leopoldo & Montiel, Ivan, 2023. "Innovation vs. standardization: The conjoint effects of eco-innovation and environmental management systems on environmental performance," Research Policy, Elsevier, vol. 52(4).
    26. Ren, Shenggang & Sun, Helin & Zhang, Tao, 2021. "Do environmental subsidies spur environmental innovation? Empirical evidence from Chinese listed firms," Technological Forecasting and Social Change, Elsevier, vol. 173(C).
    27. Grazia Cecere & Nicoletta Corrocher & Maria Luisa Mancusi, 2020. "Financial constraints and public funding of eco-innovation: empirical evidence from European SMEs," Small Business Economics, Springer, vol. 54(1), pages 285-302, January.
    28. Kesidou, Effie & Wu, Lichao, 2020. "Stringency of environmental regulation and eco-innovation: Evidence from the eleventh Five-Year Plan and green patents," Economics Letters, Elsevier, vol. 190(C).
    29. Demirel, Pelin & Kesidou, Effie, 2011. "Stimulating different types of eco-innovation in the UK: Government policies and firm motivations," Ecological Economics, Elsevier, vol. 70(8), pages 1546-1557, June.
    30. Peterson, Robert A, 1994. "A Meta-analysis of Cronbach's Coefficient Alpha," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 21(2), pages 381-391, September.
    31. Abdesselam, Rafik & Kedjar, Malia & Renou-Maissant, Patricia, 2024. "What are the drivers of eco-innovation? Empirical evidence from French start-ups," Technological Forecasting and Social Change, Elsevier, vol. 198(C).
    32. Cees J. Gelderman & Jos Schijns & Wim Lambrechts & Simon Vijgen, 2021. "Green marketing as an environmental practice: The impact on green satisfaction and green loyalty in a business‐to‐business context," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 2061-2076, May.
    33. Dhekra Ben Amara & Hong Chen, 2022. "Driving factors for eco-innovation orientation: meeting sustainable growth in Tunisian agribusiness," International Entrepreneurship and Management Journal, Springer, vol. 18(2), pages 713-732, June.
    34. Torrecillas, Celia & Fernández, Sara & García-García, Claudia, 2023. "Drivers to increase eco-efficiencies in Uruguay, Peru, and Panama," Energy Policy, Elsevier, vol. 183(C).
    35. Giorgos Papagiannakis & Irini Voudouris & Spyros Lioukas, 2014. "The Road to Sustainability: Exploring the Process of Corporate Environmental Strategy Over Time," Business Strategy and the Environment, Wiley Blackwell, vol. 23(4), pages 254-271, May.
    36. Rehfeld, Katharina-Maria & Rennings, Klaus & Ziegler, Andreas, 2007. "Integrated product policy and environmental product innovations: An empirical analysis," Ecological Economics, Elsevier, vol. 61(1), pages 91-100, February.
    37. Fernández, Sara & Torrecillas, Celia & Díaz, Guillermo Arenas, 2024. "Does eco-innovation stimulate employment? The case of Spanish manufacturing firms," Structural Change and Economic Dynamics, Elsevier, vol. 69(C), pages 571-585.
    38. Rafik Abdesselam & Malia Kedjar & Patricia Renou-Maissant, 2024. "What are the drivers of eco-innovation? Empirical evidence from French start-ups," Post-Print hal-04304153, HAL.
    39. Laura Bravi & Gilberto Santos & Alessandro Pagano & Federica Murmura, 2020. "Environmental management system according to ISO 14001:2015 as a driver to sustainable development," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(6), pages 2599-2614, November.
    40. Teresa García‐Marco & Ferdaous Zouaghi & Mercedes Sánchez, 2020. "Do firms with different levels of environmental regulatory pressure behave differently regarding complementarity among innovation practices?," Business Strategy and the Environment, Wiley Blackwell, vol. 29(4), pages 1684-1694, May.
    41. Michael E. Porter & Claas van der Linde, 1995. "Toward a New Conception of the Environment-Competitiveness Relationship," Journal of Economic Perspectives, American Economic Association, vol. 9(4), pages 97-118, Fall.
    42. Kesidou, Effie & Demirel, Pelin, 2012. "On the drivers of eco-innovations: Empirical evidence from the UK," Research Policy, Elsevier, vol. 41(5), pages 862-870.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Pereira, Vijay & Nair, Asha KS. & Bhattacharyya, Som Sekhar, 2025. "Exploring and investigating the complementarity and multidimensionality of innovation for sustainability research: Past present and future," Technovation, Elsevier, vol. 139(C).
    2. Sanni, Maruf, 2018. "Drivers of eco-innovation in the manufacturing sector of Nigeria," Technological Forecasting and Social Change, Elsevier, vol. 131(C), pages 303-314.
    3. Ghisetti, Claudia & Pontoni, Federico, 2015. "Investigating policy and R&D effects on environmental innovation: A meta-analysis," Ecological Economics, Elsevier, vol. 118(C), pages 57-66.
    4. Torrecillas, Celia & Fernández, Sara & García-García, Claudia, 2023. "Drivers to increase eco-efficiencies in Uruguay, Peru, and Panama," Energy Policy, Elsevier, vol. 183(C).
    5. Demirel, Pelin & Kesidou, Effie, 2011. "Stimulating different types of eco-innovation in the UK: Government policies and firm motivations," Ecological Economics, Elsevier, vol. 70(8), pages 1546-1557, June.
    6. Antonella Biscione & Raul Caruso & Annunziata de Felice, 2021. "Environmental innovation in European transition countries," Applied Economics, Taylor & Francis Journals, vol. 53(5), pages 521-535, January.
    7. Tariq, Adeel & Badir, Yuosre F. & Tariq, Waqas & Bhutta, Umair Saeed, 2017. "Drivers and consequences of green product and process innovation: A systematic review, conceptual framework, and future outlook," Technology in Society, Elsevier, vol. 51(C), pages 8-23.
    8. Quatraro, Francesco & Scandura, Alessandra, 2019. "Academic Inventors and the Antecedents of Green Technologies. A Regional Analysis of Italian Patent Data," Ecological Economics, Elsevier, vol. 156(C), pages 247-263.
    9. Abdesselam, Rafik & Kedjar, Malia & Renou-Maissant, Patricia, 2024. "What are the drivers of eco-innovation? Empirical evidence from French start-ups," Technological Forecasting and Social Change, Elsevier, vol. 198(C).
    10. Singh, Neelam & Jain, Suresh & Sharma, Prateek, 2015. "Motivations for implementing environmental management practices in Indian industries," Ecological Economics, Elsevier, vol. 109(C), pages 1-8.
    11. Jana Hojnik, 2017. "In Pursuit of Eco-innovation," UPP Monograph Series, University of Primorska Press, number 978-961-7023-53-4.
    12. Peiró-Signes, Ángel & Segarra-Oña, Marival & Trull-Domínguez, Óscar & Sánchez-Planelles, Joaquín, 2022. "Exposing the ideal combination of endogenous–exogenous drivers for companies’ ecoinnovative orientation: Results from machine-learning methods," Socio-Economic Planning Sciences, Elsevier, vol. 79(C).
    13. Fernández, Sara & Torrecillas, Celia & Díaz, Guillermo Arenas, 2024. "Does eco-innovation stimulate employment? The case of Spanish manufacturing firms," Structural Change and Economic Dynamics, Elsevier, vol. 69(C), pages 571-585.
    14. Gutsche, Gunnar & Ziegler, Andreas, 2019. "Determinants of environmental product and process innovations: New evidence on the basis of European panel data," VfS Annual Conference 2019 (Leipzig): 30 Years after the Fall of the Berlin Wall - Democracy and Market Economy 203617, Verein für Socialpolitik / German Economic Association.
    15. Dhekra Ben Amara & Hong Chen, 2021. "Evidence for the Mediating Effects of Eco-Innovation and the Impact of Driving Factors on Sustainable Business Growth of Agribusiness," Global Journal of Flexible Systems Management, Springer;Global Institute of Flexible Systems Management, vol. 22(3), pages 251-266, September.
    16. Jin, Chenfei & Tsai, Fu-Sheng & Gu, Qiuyang & Wu, Bao, 2022. "Does the porter hypothesis work well in the emission trading schema pilot? Exploring moderating effects of institutional settings," Research in International Business and Finance, Elsevier, vol. 62(C).
    17. Pelin Demirel & Effie Kesidou, 2013. "The impact of environmental regulation frameworks and firm-level factors on eco-innovations: evidence from DEFRA survey of UK manufacturing firms," Chapters, in: Mehmet Ugur (ed.), Governance, Regulation and Innovation, chapter 6, pages 149-181, Edward Elgar Publishing.
    18. Fabrizi, Andrea & Guarini, Giulio & Meliciani, Valentina, 2018. "Green patents, regulatory policies and research network policies," Research Policy, Elsevier, vol. 47(6), pages 1018-1031.
    19. Imane Bounadi & Khalil Allali & Aziz Fadlaoui & Mohammed Dehhaoui, 2022. "Can Environmental Regulation Drive the Environmental Technology Diffusion and Enhance Firms’ Environmental Performance in Developing Countries? Case of Olive Oil Industry in Morocco," Sustainability, MDPI, vol. 14(22), pages 1-18, November.
    20. Ren, Shenggang & Sun, Helin & Zhang, Tao, 2021. "Do environmental subsidies spur environmental innovation? Empirical evidence from Chinese listed firms," Technological Forecasting and Social Change, Elsevier, vol. 173(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:tefoso:v:210:y:2025:i:c:s0040162524006966. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.sciencedirect.com/science/journal/00401625 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.