Environmental Responsibility, Network Ties, and Business Model Innovation
Contextualization in Developing Economy SMEs
Bibliographic Data
| ID | 22418613 |
|---|---|
| Authors | Ayodotun Stephen Ibidunni (0000-0001-5790-3508, Department of Innovation, Intrapreneurship, and Entrepreneurship, James Hope Business School James Hope University Lagos Nigeria), Emmanuel Adegbite (0000-0002-7370-2818, Department of Finance, Accounting and Banking Nottingham University Business School Nottingham UK), Triumph Nwazota (Department of Business Management Covenant University Ota Nigeria), Ogheneofejiro Edewor (0000-0002-3535-287X, Department of Business Management Covenant University Ota Nigeria), Douglas A Adu (0000-0002-1230-3995, Department of Finance, Accounting and Banking Nottingham University Business School Nottingham UK) |
| Year | 2026 |
| Publication date | 2026-07-07 |
| Peer Reviewed | Yes |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Business Strategy and the Environment (JOURNAL) |
| Journal identifiers | ISSN: 0964-4733 • E-ISSN: 1099-0836 |
| Publisher | Wiley (PUBLISHER • GB) |
| DOI | 10.1002/bse.71235 |
| OpenAlex | W7167699457 |
| Language | EN |
| References cited | 104 |
Although the environmental responsibility literature remains an emerging field, there have been limited explanations of its connection to market‐level constructs in developing economies, such as business model innovation and intra‐ and extra‐cluster network ties. Thus, this research adopted the social network theory to investigate the direct and indirect effects of network ties on the relationship between environmental responsibility and business model innovation. Our study relied on questionnaire data gathered from 204 SMEs operating in the informal market of a developing economy—Nigeria. The study adopted the partial least squares structural equation modelling (PLS‐SEM) to capture the direct and indirect relationships between environmental responsibility and business model innovation. We found that while eco‐design and waste disposal and management do not have a direct effect on business model innovation, resource management does. Also, while eco‐design and waste disposal and management are directly related to intra‐cluster network ties, resource management is not. Our analysis showed a direct relationship between all three environmental responsibility dimensions and extra‐cluster network ties. Both intra‐cluster network ties and extra‐cluster network ties are directly related to business model innovation. The mediating role of extra‐cluster network ties on environmental responsibility dimensions and business model innovation was confirmed. However, we did not find a mediating role for intra‐cluster network ties in this relationship. By demonstrating the impact of environmental responsibility on business model innovation, we provide a deeper understanding of the need for firms to enhance their business orientation in a broader perspective that connects firm‐level sustainability orientation with market‐level sustainable initiatives.
Business model · Business networking · Business relationship management · Contextualization · Corporate social responsibility · Structural equation modeling · Sustainability · Sustainable Business · Corporate Social Responsibility Reporting · Environmental Sustainability in Business · Sustainable Supply Chain Management
Corporate Social Responsibility
Bootstrapping and PLS-SEM
The Effect of Environmental Corporate Social Responsibility on Environmental Performance and Business Competitiveness
Learning by imitation
Assessing measurement model quality in PLS-SEM using confirmatory composite analysis
Consumer Acceptance and Use of Information Technology
Asymptotic and resampling strategies for assessing and comparing indirect effects in multiple mediator models
When to use and how to report the results of PLS-SEM
Evaluating Structural Equation Models with Unobservable Variables and Measurement Error
Social Capital and Public Affairs
Why SMEs Want to Reduce Carbon Emissions? Ecological Responsibility, Legitimation, or Competitiveness
Cross-border knowledge transfer and the innovation performance of developing economy small and medium enterprises
The effects of knowledge spillovers, digital capabilities, and innovation on firm performance
Technology acceptance and readiness of stakeholders for transitioning to a circular plastic economy in Africa
The combined network effect of sparse and interlocked connections in SMEs’ innovation
How did corporate responses to the Covid‐19 pandemic correspond with CSR
Socially responsible purchasing ( SRP ) in the supply chain industry
Business Model Innovation for Resource-efficiency, Circularity and Cleaner Production
Eco‐design as Driver for Circular Economy
| Citation velocity | historical |
|---|---|
| Highly cited | No |