Barriers Perceived By Companies And Potential Solutions To Foster Green Innovation In Vietnam
Keywords:
Green innovation, sustainable development, environmentally friendly , barriersAbstract
This study aims to identify barriers perceived by manufacturers and propose potential solutions to foster green innovation in Vietnam. A theoretical framework and the inductive case research method are used to analyze how companies in a less developed institutional context overcome barriers to green innovation. Results suggest that regulatory, technology, market, finance, costs, human resources, network, perception, and customer acceptance are significant barriers to green innovation by manufacturing companies in Vietnam. Through the analysis, the study also indicates companies’ potential solutions that will help elucidate the barriers to green innovation. Implications and future research developments for promoting green innovation in Vietnamese companies are suggested.
References
Abdullah, M., Zailani, S., Iranmanesh, M., & Jayaraman, K. (2016). Barriers to green innovation initiatives among manufacturers: The Malaysian case. Review of Managerial Science, 10(4), 683-709.
Al-Abdallah, G. M., & Al-Salim, M. I. (2021). Green product innovation and competitive advantage: an empirical study of chemical industrial plants in Jordanian qualified industrial zones. Benchmarking: An International Journal, 28(8), 2542-2560.
Baldwin, J., & Lin, Z. (2002). Impediments to advanced technology adoption for Canadian manufacturers. Research policy, 31(1), 1-18.
Brammer, S., Hoejmose, S., & Marchant, K. (2012). Environmental management in SMEs in the UK: Practices, pressures and perceived benefits. Business Strategy and the Environment, 21(7), 423-434.
Bokolo, J. A. (2020). Examining the role of green IT/IS innovation in collaborative enterprise-implications in an emerging economy. Technology in Society, 62, 101301.
Calza, F., Parmentola, A., & Tutore, I. (2017). Types of green innovations: Ways of implementation in a non-green industry. Sustainability, 9(8), 1301.
Castellano, R., Punzo, G., Scandurra, G., & Thomas, A. (2022). Drivers and barriers addressing Italian SMEs toward eco-innovations. An interpretative model. Research report.
Chen, Y.-S. (2008). The driver of green innovation and green image – Green core competence. Journal of Business Ethics, 81(3), 531-543.
Chen, Y.-S., Lai, S.-B., & Wen, C.-T. (2006). The influence of green innovation performance on corporate advantage in Taiwan. Journal of Business Ethics, 67(4), 331-339.
Cheng, C. C., & Shiu, E. C. (2012). Validation of a proposed instrument for measuring eco-innovation: An implementation perspective. Technovation, 32(6), 329-344.
Clausen, T. H. (2008). Search pathways to innovation. TIK Working Paper on Innovation Studies (No.20080311). Centre for Technology, Innovation and Culture (TIK),
University of Oslo, Oslo.
Cook, T. D., & Campbell, D. T. (1976). The design and conduct of quasi-experiments and true experiments in field settings. In M. D. Dunnette (Ed.), Handbook of industrial and organizational psychology (pp. 223-326). Chicago: Rand McNally.
D’Este, P., Iammarino, S., Savona, M., & von Tunzelmann, N. (2008). What hampers innovation? Evidence from the UK CIS4. Sci. Technol. Policy Res, 44, 168.
del Río González, P. (2009). The empirical analysis of the determinants for environmental technological change: A research agenda. Ecological Economics, 68(3), 861-878.
Do, T.-N., Kumar, V., & Do, M.-H. (2019). Prioritize the key parameters of Vietnamese coffee industries for sustainability. International Journal of Productivity and Performance Management, 69(6), 1153-1176.
Driessen, P. H. (2005). Green product innovation strategy (Unpublished doctoral dissertation). Tilburg University, Tilburg, The Netherlands.
Eisenhardt, K. M. (1989). Building theories from case study research. Academy of Management Review, 14(4), 532-550.
Eisenhardt, K. M., & Graebner, M. E. (2007). Theory building from cases: Opportunities and challenges. Academy of Management Journal, 50(1), 25-32.
Fadly, D. (2020). Greening industry in Vietnam: Environmental management standards and resource efficiency in SMEs. Sustainability, 12(18), 7455.
Fu, X., Guo, M., & Zhanwen, N. (2017). Applying the green embedded lean production model in developing countries: A case study of China. Environmental Development, 24, 22-35.
Galia, F., & Legros, D. (2004). Complementarities between obstacles to innovation: Evidence from France. Research Policy, 33(8), 1185-1199.
García-Granero, E. M., Piedra-Muñoz, L., & Galdeano-Gómez, E. (2018). Eco-innovation measurement: A review of firm performance indicators. Journal of Cleaner Production, 191, 304-317.
Hojnik, J., Ruzzier, M., & Konečnik Ruzzier, M. (2019). Transition towards sustainability: Adoption of eco-products among consumers. Sustainability, 11(16), 4308.
Jaffe, A. B., Peterson, S. R., Portney, P. R., & Stavins, R. N. (1995). Environmental regulation and the competitiveness of US manufacturing: What does the evidence tell us?. Journal of Economic Literature, 33(1), 132-163.
Jang, E. K., Park, M. S., Roh, T. W., & Han, K. J. (2015). Policy instruments for eco-innovation in Asian countries. Sustainability, 7(9), 12586-12614.
Jun, W., Ali, W., Bhutto, M. Y., Hussain, H., & Khan, N. A. (2019). Examining the determinants of green innovation adoption in SMEs: A PLS-SEM approach. European Journal of Innovation Management, 24(1), 67-87.
Kemp, R., and Pearson, P. (2007). Final report MEI project about measuring eco-innovation (No.44513). UM Merit, Maastricht.
Lewis, K., & Cassells, S. (2010). Barriers and drivers for environmental practice uptake in SMEs: A New Zealand perspective. International Journal of Business Studies: A Publication of the Faculty of Business Administration, Edith Cowan University, 18(1), 7-21.
Liu, S., & Yan, M.-R. (2018). Corporate sustainability and green innovation in an emerging economy—An empirical study in China. Sustainability, 10(11), 3998.
Madrid‐Guijarro, A., Garcia, D., & Van Auken, H. (2009). Barriers to innovation among Spanish manufacturing SMEs. Journal of Small Business Management, 47(4), 465-488.
Massoudi, A. H., Fatah, S. J., & Ahmed, M. E. (2019). Incorporating green innovation to enhance environmental sustainability. WSEAS Transactions on Business and Economics, 16(1), 479-480.
Mohnen, P., Palm, F. C., Van Der Loeff, S. S., & Tiwari, A. (2008). Financial constraints and other obstacles: are they a threat to innovation activity? De Economist, Vol. 156, No. (2), pp. 201-214.
Mohnen, P., & Röller, L.-H. (2005). Complementarities in innovation policy. European Economic Review, 49(6), 1431-1450.
NASATI. (2016). Policies to promote green innovation of some countries - A review (in Vietnamese). Summary of Science - Technology - Economy 2016. Ha Noi, Vietnam: National Agency for Science and Technology Information.
Nassar, M. L., & Faloye, D. O. (2015). Barrier to innovation in developing countries' firms: Evidence from Nigerian small and medium scale enterprises. European Scientific Journal, 11(19), 196-213.
OECD. (2012). Green growth and developing countries: A summary for policy makers. Paris: OECD Publishing.
OECD. (2021). SME and Entrepreneurship Policy in Viet Nam. OECD Studies on SMEs and Entrepreneurship. Paris: OECD Publishing.
Oke, A. (2004). Barriers to innovation management in service companies. Journal of Change Management, 4(1), 31-44.
Park, M. S., Thang, N. T., & Jang, E. K. (2017). Eco-innovation and sustainable consumption and production in Vietnam. Retrieved from https://isponre.gov.vn/vi/xuat-ban-pham/Bao-cao-va-Sach/Eco-innovation-and-Sustainable-Consumption-and-Production-in-Vietnam-248.html#.
Pinget, A., Bocquet, R., & Mothe, C. (2015). Barriers to environmental innovation in SMEs: Empirical evidence from French firms. M@n@gement, 18(2), 132-155.
Porter, M. E., & van der Linde, C. (1995). Green and competitive: Ending the stalemate. Harvard Business Review, 73(5), 120-134.
Rennings, K. (2000). Redefining innovation—eco-innovation research and the contribution from ecological economics. Ecological Economics, 32(2), 319-332.
Schaper, M. (2002). The challenge of environmental responsibility and sustainable development: Implications for SME and entrepreneurship academics. In
Fuglistaller, U., Pleitner, H., Volery, T. and Weber, W. (Eds), Radical changes in the world: Will SMEs soar or crash, St.Gallen, Switzerland: KMU Verlag, 541-553.
Sinh, B. T. (2019). Vietnam organic agriculture toward sustainable consumption and production. Journal Science and Technology Policies and Management, 8(3), 117-136.
Smith, J., & Firth, J. (2011). Qualitative data analysis: the framework approach. Nurse Researcher, 18(2), 52-62.
Strauss, A., & Corbin, J. (1998). Basics of qualitative research techniques: Techniques and procedures for developing grounded theory. Los Angeles, CA: Sage Publications, Inc.
Tumpa, T. J., Ali, S. M., Rahman, M. H., Paul, S. K., Chowdhury, P., & Rehman Khan, S. A. (2019). Barriers to green supply chain management: An emerging economy context. Journal of Cleaner Production, 236, 117617.
Ullah, S., Ahmad, N., Khan, F. U., Badulescu, A., & Badulescu, D. (2021). Mapping interactions among green innovations barriers in manufacturing industry using hybrid methodology: Insights from a developing country. International Journal of Environmental Research and Public Health, 18(15), 7885.
Wagner, M. (2003). The Porter hypothesis revisited: a literature review of theoretical models and empirical tests. Lüneburg, Germany: Centre for Sustainability Management, University of Lüneburg.
Wellalage, N. H., & Fernandez, V. (2019). Innovation and SME finance: Evidence from developing countries. International Review of Financial Analysis, 66, 101370.
Wendling, Z. A., Emerson, J. W., de Sherbinin, A., & Esty, D. C. (2020). 2020 Environmental Performance Index. New Haven, CT: Yale Center for Environmental Law & Policy.
Woolthuis, R. K., Lankhuizen, M., & Gilsing, V. (2005). A system failure framework for innovation policy design. Technovation, 25(6), 609-619.
Xia, D., Zhang, M., Yu, Q., & Tu, Y. (2019). Developing a framework to identify barriers of green technology adoption for enterprises. Resources, Conservation and Recycling, 143, 99-110.
Zhu, Y., Wittmann, X., & Peng, M. W. (2012). Institution-based barriers to innovation in SMEs in China. Asia Pacific Journal of Management, 29(4), 1131-1142.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2024 Thailand and The World Economy
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
