Environmental Regulation, Green Product Innovation and Performance: Do the Environmental Dynamics Matter in Thai Sports Industry?
The research analyzes the relation of external pressure for environmental policies and performance of firm through innovation of green products. Therefore, it contributes to the previous literature by depicting a clear understanding of the phenomenon. The role of environmental dynamism has been used as a moderator on the relation of firm performance and innovation for green product. This relation has been analyzed by keeping in consideration the uncertainty of external environment. This phenomenon can be explained with the help of contingency theory. The static theories and operations strategies may not be effective. Using a survey-based methodology the SEM-PLS is employed to analyze the data. For development of environment, innovation of green product is a key factor. It has been revealed through findings that innovation of green product determines the performance in terms of environmental management.The study clearly depicts that when the external environmental pressure is there, the innovation of green product act as a mediating variable. Precisely, the external pressure of environmental policies can positively influence the innovation of green product, which further leads to profitability and cost efficiency for the firm. It has been showing by the study that the activities of the firm must be aligned with the environmental policies. Practical and useful insights have been provided by this study for managing environment.The research has two main limitations. It has considered the external environmental pressure as a predicting variable for innovation of green product among the sports manufacturing companies of Thailand