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The Mediating Role of Organizational Ambidexterity on Environmental Proactivity and SME Performance

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  • Laura Könönen
  • Sanna Joensuu‐Salo

Abstract

Amid rapidly accelerating environmental challenges, the proactive engagement of businesses in environmental matters is crucial. While previous research has examined the relationship between environmental proactivity and performance, findings have been inconsistent. This study introduces organizational ambidexterity as a novel mediating factor in this relationship, building on its previous exploration in business research. In addition, this research shifts focus to small and medium‐sized enterprises (SMEs), which constitute the majority of businesses but remain underrepresented in existing research on this topic. Survey data was collected from 174 SME owner‐managers in Finland. Consistent with the natural‐resource‐based view, findings suggest that environmental proactivity alone does not guarantee success; rather, the link between proactivity and performance is mediated by SMEs' ability to integrate exploitative and exploratory innovation. This research provides valuable insights for SMEs on how proactive environmental initiatives can enhance performance, while also offering actionable guidance for policymakers and stakeholders committed to promoting sustainability.

Suggested Citation

  • Laura Könönen & Sanna Joensuu‐Salo, 2025. "The Mediating Role of Organizational Ambidexterity on Environmental Proactivity and SME Performance," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 32(6), pages 7755-7771, November.
    • Handle: RePEc:wly:corsem:v:32:y:2025:i:6:p:7755-7771
    DOI: 10.1002/csr.70107
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    References listed on IDEAS

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