CONCEPTUAL FRAMEWORK OF GREEN-BUILDING ADOPTION AMONG CONSTRUCTION COMPANIES IN SAUDI ARABIA: THE EFFECT OF PROACTIVE ENTREPRENEURIAL BEHAVIOR, GREEN PRODUCT INNOVATION, AND GOVERNMENT SUPPORT

Abstract

Saudi Arabia is facing the rising of the global population and high resource use. The country needs to inculcate the adoption of sustainable practices, i.e. green building practices. However, adopting green building practices for a sustainable future requires fundamental changes in the way contractors build houses. This paper endeavours to conceptualize the elements that contribute to the adoption of green building among the contraction companies in Riyadh. Literature reviews and government document reviews are used for the conceptualization of the framework. Based on the resource-based view theory, the factors are conceptualized with small and medium-sized enterprise contractors as the subject of focus. This paper proposes that green builders or the construction companies’ internal resources, i.e. proactive entrepreneurial behaviour, are hypothesized to influence green building adoption. However, risk-taking and green product innovation are proposed to mediate the relationships. These factors are moderated by Saudi Arabian government support, financial and non-financial. By addressing these factors regarding green building practices, Saudi Arabia would be able to achieve sustainable development in the housing of its citizens.