ENVIRONMENTAL STRATEGY AND GREEN PRODUCT INNOVATION IN LARGE MANUFACTURING FIRMS IN THE UK: A MODEL FOR ENHANCING ENVIRONMENTAL PERFORMANCE

Abstract

With the escalating concerns over environmental degradation and climate change, adopting sustainable practices and green innovation has become imperative for large manufacturing firms. Despite this crucial issue, the researcher ignored this area. Therefore, this study hypothesises that in the industry (i.e., manufacturing) of developed nations, the relationship between EP (i.e., environmental performance) and SHRM (i.e., sustainable human resource management) is strengthened through environmental strategy, green innovation, and pro-environmental behaviour. We collected data from N=410 large manufacturing firms to analyse this relationship and performed SEM through Smart-Pls. The study's results showed that the influence of mediation-moderation has dramatically enhanced environmental performance in big manufacturing enterprises in the UK through proper environmental strategy, operational efficiency, and people's motivation to engage in environmental activities. Overall, an in-depth analysis demonstrates that implementing effective environmental strategies and adopting green innovation practices contribute significantly to improving EP in the manufacturing sector. The research findings offer insights for policymakers and managers seeking to promote sustainability and environmental responsibility in the UK’s manufacturing industry.

Keyword Environmental strategy, innovation, large manufacturing firms, UK, Enhancing, Environmental performance, Structural equation Model, Sustainability