Paper Title
Impact of Eco-Innovation on Environment Performance and Competitive Advantage: Moderating Effect of Green Reputation

Climate change has become one of the most concerning issues of the 21st century worldwide, as the world is presently suffering from global warming and unrecoverable damage. In particular, after the 2015 United Nations Climate Change Conference (COP21), governments, investors, and consumers have become sensitive to issues such as environmental protection and management, effects of climatic change and solutions, and economic operation infrastructure. Based on the institutional theory, the natural resource based view, and legitimacy theory, this study examines the linkages among institutional pressures, environmental innovation practices, and competitive advantages. Specifically, the moderating effect of green reputation on the consequences of environmental innovation and environment performance practices are examined. Data on135 manufacturers, collected from Taiwan and China, are used to test the theoretical model. The results reveal that institutional pressures arising from customer and shareholder pressure exert a significant positive impact on environmental innovation practices, while the government’s command-and-control instruments and economic incentive instruments do not have an impact. Additionally, the environmental innovation practices have a significant positive impact on firms’ environmental performance and competitive advantages. Analysis also reveals that the relationship between environmental innovation practices and competitive advantages is moderated by the level of green reputation. As green reputation increases, the competitive advantages yielded from environmental innovation practices, as well as from environment performance practices, also improve. Keywords- Environmental innovation practices, Institutional theory, Green reputation, Environment performance, Competitive advantage.