Environmental Orientation and Green Competitive Advantage of Hospitality Firms in South Africa: Mediating Effect of Green Innovation

Abstract

The hospitality industry exerts significant pressure on the environment through the consumption of resources such as energy and water. However, the industry can also enhance environmental preservation through their operation and strategy. This study examined whether environmental orientation (internal and external) and green competitive advantage are significantly positively related. This study also investigated the indirect effect of green innovation. A quantitative research method was used for this study. The cross-sectional survey method was used as the method of data collection. This study used Partial Least Square Structural Equation modelling to test the hypotheses. The findings showed that environmental orientation and green competitive advantage are significantly positively related. The indirect effect of green innovation is significant. Theoretically, the study developed a model that linked green innovation to environmental orientation. Practically, the study suggests some recommendations on how the managers of hospitality firms can improve environmental orientation. These include the provision of training and development workshops on environmental strategy for management and employees.

Effect of green marketing orientation dimensions on green innovation and organizational performance: A mediation‐moderation analysis

“…In addition, the organization's performance can be enhanced only if it is directed through GI (which we will discuss further in the mediation effect), which perfectly aligns with the assumptions and philosophical perspective of the RBV theory. Few studies (Fatoki, 2021;Nanath & Pillai, 2017;Wang, 2019;Zameer et al, 2022;Zehir & Ozgul, 2020) also support our findings related to the literature on the RBV. In addition, we see that GI practices (for example, averting polluting/toxic materials and using recyclable, reusable, decomposable, and eco-labeling) in the firm can yield profits sooner or later and augment the OP (Fatoki, 2021;Maziriri, 2020;Nanath & Pillai, 2017;Papadas et al, 2019).…”

Toward a Better Understanding of Green Human Resource Management’s Impact on Green Competitive Advantage: A Conceptual Model

“…Although environmental initiatives often come with costs and risk, environmental strategies help companies gain a competitive advantage [22]. Thus, intelligent firms utilize ecological strategies for shaping their green competitiveness [23].…”

“…However, pioneers in environmental management and green innovation will have a "first mover advantage or be recognized as an early adapter," which will provide them with higher green profits, a green image, and a competitive advantage over their competitors. Thus, the RBV suggests that a firm can derive a competitive advantage on the basis of its environmental strategy and its relationship with the natural environment [22].…”

Identifying Research Gaps and Developing a Nomological Framework on Green Innovation and Competitive Advantage

“…Competitive advantage refers to the situation whereby a firm has a superior position in the market. As [19] and [6] defined competitive advantage as "a company occupies some position where the competitors cannot copy its successful strategy and the company can gain sustainable benefits from this successful strategy".…”