Moderating Environmental Leadership on Corporate Social Responsibility and Green Innovation of SMEs Performance

Abstract

Abstract The contribution and knowledge of environmental leadership has been questioned on how they aid institutions in their CSR and innovative thinking. The purpose of the investigation was to explore the role of Small and Medium Scale enterprises in emerging nation on how corporate social responsibility (CSR) and green process innovation (GRNI) can help enterprises to achieve environmental (ENVP) and financial performance (FINP). For the analysis of the indicators data was collected from SMEs in the manufacturing sectors of Ghana through questionnaire of 215 participants. The “SmartPLS 3” model was employed to analyze the affiliation between the investigated indicators. The findings demonstrated that CSR had a material impact on ENVP but not on FINP and GRNI. However, GRNI had a favorable and material affiliation with ENVP and FINP of SME’s. On exploring the moderating effect of environmental leadership (ENVL) had a favorable affiliation between CSR and green process innovation. The research made a significant contribution to the green theory and practically to researchers and practitioners in manufacturing and other industries who are serious about implementing environmental sustainability and are seeking for a suitable method are anticipated to benefit from this study. It provides a generic approach to implementing CSR that links SME owners and managers, green technologies, green practices, and process management.