Greening Mexican manufacturing: Examining the role of SMEs in environmental preservation through green business strategies, eco‐innovation, and corporate social responsibility

Abstract

Abstract The productive activities of manufacturing companies cause severe damage to the environment. In this sense, this research focuses on the actions carried out by implementing a green business strategy (GBS) and its influence on eco‐innovation and environmental performance in Mexican manufacturing small and medium‐sized enterprises (SMEs) to care for and protect the environment. The model introduces eco‐innovation and corporate social responsibility (CSR) as mediating and moderating factors in the relationship between GBS and environmental performance. An empirical study was carried out on 299 SMEs. Data analysis was made using structural equations and the Smart PLS‐SEM program. The findings confirm (1) the positive influence that GBS exerts on eco‐innovation practices and environmental performance in this kind of companies, identifying a significant mediating effect linked to eco‐innovation, and (2) a positive moderating effect linked to CSR on the relationship between GBS and environmental performance. GBS is a powerful tool that works synergistically with eco‐innovation and CSR to protect the environment from management. This research is a basis for managers and government officials to adopt eco‐innovation and CSR strategically through the GBS, as it guarantees environmental protection in the manufacturing industry.

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