The Influence of Environmental Commitment and Innovation on Export Intensity: Firm-Level Evidence from Tunisia

SDIRI, Hanen (2022): The Influence of Environmental Commitment and Innovation on Export Intensity: Firm-Level Evidence from Tunisia.

Abstract

This study utilizes structural equation modeling (SEM) to analyze the extent to which environmental commitment and innovation increase the export intensity of Tunisian firms. Relying on firm-level data from the World Bank Enterprise Survey conducted in 2020, we empirically test how environmental commitment increases export intensity through innovation. This study distinguishes between two types of innovation; product innovation and process innovation. We show that environmental commitment is useful in stimulating both product and process innovation. We find that environmental commitment and product innovation drive exports. Yet, process innovation does not affect exports. Moreover, our results highlight that quality certification interacts with the relationship between environmental commitment and process innovation. The results can help decision-makers understand how environmental commitment represents an important strategy for companies to be more innovative and oriented towards export.

• Item Type: MPRA Paper
• Language: English
• Keywords: Product innovation. Process innovation. Environmental Commitment. Export intensity. Quality certification. Tunisian firms.
• Subjects: F - International Economics > F2 - International Factor Movements and International Business > F23 - Multinational Firms ; International Business; F - International Economics > F6 - Economic Impacts of Globalization > F63 - Economic Development; F - International Economics > F6 - Economic Impacts of Globalization > F64 - Environment; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights

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