The dual role of green entrepreneurial orientation in linking green human resource management and environmental performance

Citation

Ojo, Adedapo Oluwaseyi and Chong, Chin Wei and Ikhide, Juliet Eyore (2026) The dual role of green entrepreneurial orientation in linking green human resource management and environmental performance. Cogent Business & Management, 13 (1). ISSN 2331-1975

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Abstract

Small and Medium Enterprises (SMEs) account for the vast majority of business activity in emerging markets and contribute significantly to carbon emissions. Yet, because reporting standards are designed for large-scale firms, an environmental governance gap persists for smaller enterprises. To address this gap, this study examines the firm‑level capabilities that translate environmental behaviours into environmental outcomes under SME constraints. Further to the behaviour-centric accounts of sustainability, the resource-based view and dynamic capability theory are employed in conceptualising Green Entrepreneurial Orientation (GEO) as an evolutionary capability (directing sensing, seizing and reconfiguring towards environmental opportunities) and Pro‑environmental Behaviour (PEB) as operational fitness (the collective enactment of eco‑efficient routines). Findings based on Partial Least Squares (PLS) analysis of data collected from 146 SMEs in Malaysia revealed that Green Human Resource Management (GHRM) directly influences Environmental Performance (ENVP), and GEO plays a dual role by both mediating and moderating the GHRM-ENVP relationship. While GHRM significantly influences PEB, PEB does not directly influence ENVP nor mediate its relationship with GHRM. This challenges behaviour-centric models of ENVP, highlighting the need to integrate behavioural and capability-based approaches.

Item Type: Article
Uncontrolled Keywords: small and medium enterprises (SMEs)
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD2321-4730.9 Industry > HD2340.8-2346.5 Small and medium-sized businesses, artisans, handicrafts, trades
Divisions: Faculty of Management (FOM)
Depositing User: Ms Rosnani Abd Wahab
Date Deposited: 05 Jun 2026 04:38
Last Modified: 05 Jun 2026 04:40
URII: http://shdl.mmu.edu.my/id/eprint/16016

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