Research Note: Environmental Innovation as a Competitiveness Factor in the Balearic Islands

Abstract

This paper analyses the importance of environmental innovations as a key competitiveness factor for tourism firms in the Balearic Islands. Empirical evidence from a sample of tourism firms confirms the importance of environmental innovation, especially in the lodging and accommodation sector and as firm size and/or scale of operations increases. Firms belonging to a corporation are more environmentally innovative than independent firms. Environmental innovations are mainly process and technological ones. When investing in new destinations, Balearic hotel chains transfer and incorporate environmental technologies in new establishments. Finally, the main objectives when introducing environmental innovations are to satisfy customer needs and to improve service quality and the image and competitiveness of the firm.