Stakeholders' Influences on Corporate Green Innovation Strategy: A Case Study of Manufacturing Firms in China

ABSTRACT Facing the challenge of environmental degradation in China, a growing number of firms have begun to integrate environmental management systems into their business strategies and develop green innovation strategies. Based on the stakeholder theory, this paper attempts to explore the influences of stakeholders on the implementation of green process and green product innovation. Empirical results show that foreign customers play a significant role in driving companies to adopt strategy of green process and green product innovation. For foreign‐invested enterprises, the effect is limited to the adoption of green process innovation. It further reveals that community stakeholders and regulatory stakeholders have no significant effect on the corporate green process and green product innovation. Copyright © 2011 John Wiley & Sons, Ltd and ERP Environment.