ENVIRONMENTAL

MANAGEMenT

Ecological Innovations in Organizations

INTRODUCTION:
It is often stated that the application of information and communication
technologies (ICT) to learning and training has great potential to produce
significant changes in educational practice. But for this to happen, the
technology first needs to be accepted and adopted. Applying innovation theory
increases the chances of successful adoption. Conventional approaches to
innovation, such as innovation diffusion suggest that supposedly innate
characteristics of the innovation are important in determining whether or not it is
adopted. Borrowing ideas from innovation translation, in actor-network theory it
is people who are all important, as they may either accept an innovation in its
present form, modify it to a form where it becomes acceptable, or reject it
completely. Recent research has shown that an innovation translation approach
is particularly useful in considering ICT innovation in small business.
Beyond innovation translation, lies an ecological framework which considers the
process of innovation and change in organizations. This socio-technical
approach has shown the ability to identify factors at work that do not emerge
from traditional approaches to innovation theory.
A decision-taking process in an organization, based on an analysis of economic
costs/gains and long-term objectives, often leaves out an analysis of
expenses/effects related to environmental protection. It results from a strong
pressure of competition which causes organizations to use a mechanism of
transferring costs to third parties thanks to which there is an increase of an
organizations profits. On the other hand, an appropriate quality of the natural
environment constitutes a generally socially acceptable objective and is not
limited to selected entities. In this situation, there arises a need to force
organizations into certain behaviours. The behaviours are aimed at achieving
socially acceptable objectives.
In the case of environmental protection, this tendency to internalize external
costs is always attained by means of instruments of ecological policy: legal,
economic, psychosocial. They involve regulations of a structural character,
which define rights and obligations of business entities concerning the use and

protection of the environment, as well as rules which regulate financial and

organizational problems, the legal importance and character of ecological policy.
The aim of the regulations is to safeguard, by means of legal norms, such a
system of social and economic relations which would completely eliminate
harmful and undesirable changes in the environment, or which would prevent its
degradation.
According to the researchers, legal regulations provide a major incentive to
implement ecological innovations. They force organizations, irrespective of their
strategy, to comply with the binding emission standards and technological
standards. Legal responsibility compels organizations to adjust their installations
to legal requirements. On the other hand, the relationships holding between
environmental regulations and ecological innovations are very tight. At the same
time, in Central-Eastern European countries, their character has not been fully
recognized. Consequently, it becomes important to know if environmental
regulations impact ecological innovations, including: the amount of RD
spending, the range of implemented ecological innovations.

ECOLOGICAL INNOVATION AT XEROX:

As the worlds largest distributor of cut-sheet paper, Xerox Corporation
respects its responsibility to foster sustainable development by using paper
wisely and protecting forest resources. Since its early days, Xerox has helped
customers conserve paper, and more recently it has worked with partners and
suppliers to promote environmentally sound practices. Following are some of
the major initiatives taken up by Xerox Corporation to imbibe environmental
solutions in their core business practices:

1964 Xerox establishes the Media and Compatibles Technology Centre

in Webster, N.Y. The research labs mission is to ensure that papers
Xerox sells are optimized for use in Xerox products, preventing waste
and product downtime.

1969 Xerox introduces the 7000 duplicator, the first product that is able
to make two-sided copies, a paper-conserving measure. Copying on the
second side required the paper to be to be manually reinserted.

1973 Xerox introduces a recycled grade of cut-sheet xerographic paper

called Cyclex.

1988 -- Xerox announces recycled thermal fax paper with minimum

waste-paper content of 50 percent, including 10 percent post-consumer

waste.
1997 Xerox introduces DocuShare, its first software for posting, sharing
and managing collections of information across corporate intranets.
DocuShare is the first of a series of software and workflow tools that help
people manage, share, and store electronic documents, reducing the
need for hard-copy documents.

1999 Xerox introduces FlowPort, the first scan-to e-mail software. It

bridges the paper and digital worlds by enabling users to capture and
integrate paper-based documents into an organizations digital workflow,
where content can be electronically accessed, retrieved and distributed.

2000 -- Xerox notifies partners that beginning in 2003 all companies

providing Xerox with paper for resale will have to meet new
environmental standards to do business with Xerox. Aimed at protecting
the health and integrity of forest ecosystems, conserving biological
diversity and soil and water resources, safeguarding forest areas of
significant ecological or cultural importance, and ensuring sustainable
yield, the requirements cover all aspects of papermaking, from forest
management to production of finished goods.

2003 Xerox paper sourcing requirements are phased in, affecting more
than 30 paper suppliers around the world. Requirements cover
responsible environmental management of mills; sustainable forest
management and sourcing of wood raw materials; chemicals/materials
use; packaging; and compliance with environment, health and safety
regulations. Under the requirements, for example, vendors are asked to
supply independent third-party certification that wood raw materials
supplied to their mills come from sustainably-managed lands.

2006 Xerox announces its research laboratories have created an

experimental printing technology that produces prints whose images last
only a day, so that the paper can be used again and again. The
technology is known as self-erasable paper and is still in a preliminary
state. It blurs the line between paper documents and digital displays and

could ultimately lead to a significant reduction in paper use.

2007 Xerox introduces Xerox High Yield Business Paper the
industrys first mechanical fibre paper optimized for digital printing. Made
by grinding wood into pulp, the process uses half as many trees as the
standard chemical pulping process, reduces the chemicals and water
consumed, and is produced in a plant using hydroelectricity to partially
power the pulping process, resulting in reduced fossil fuel use and up to
75 percent reduction in greenhouse gas emissions.

ECOLOGICAL INNOVATION AT IBM

Waste Minimisation and Management

In 2008, IBM sent 79% of its non-hazardous waste to be recycled

worldwide.
In 2008, 64% of non-hazardous waste was recycled from IBM leased and

operated location in Australia, up from 57% in 2007.

Almost 90% of 285.57 tonnes of non-hazardous waste was diverted from

landfill and primarily recycled from the National Head Quarters in Sydney.
In addition almost 80% of 123.67 tonnes of non-hazardous waste was
diverted from landfill and reused and recycled from the national
distribution warehouse in Sydney.

Conserving raw materials and waste avoidance

In 2008, office paper use in Australia fell by 13% or 6.1 million sheets to
41.8 million sheets, saving AU$64K in Australia. Each employee used 5.8
Reams of office paper per year, down from 7 Reams.

Energy Efficiency and Conservation & Climate Protection

In 2008, Australia delivered an energy conservation saving of 4.5%

against the corporate target of 3.5% of actual annual electricity and fuel

used.
saved 4,462 MWh and over AU$320K
avoided 4,400 tonnes of carbon dioxide equivalent emissions
purchased 3.9 GWh/yr of government accredited Green Power

renewable energy
Energy conservation projects included upgrading of major building
infrastructure to energy efficient chillers, cooling towers and generators,
and many lighting projects were completed which improved lighting

controls at many of our locations in Australia.

As a further example in 2008 GHG emissions from Australian employees
air travel for business reduced by 8% Y-o-Y or over 1,500 tonnes CO2

ECOLOGICAL INNOVATION AT CIBA SPECIALITY CHEMICALS

Ciba Speciality Chemicals, a Swiss manufacturer of textile dyes is a

classic example of Ecological innovation. Textile manufacturers dye cotton or
rayon fabrics by immersing the material in a bath containing dyes dissolved in
water and then add salt to push the dye out of the solution and into the cloth.
Ciba speciality Chemicals had introduced dyes that fix more readily to the fabric
and therefore requires less salt.
The new dyes help Cibas customers in the following way:
1. They lower the outlay for salt. This reduces their costs for salt and
thereby reducing the overall cost by 2% - a significant amount in an
industry with wafer thin margins.
2. It reduces the manufacturers costs for water treatment. Used bath water
full of salt and unfixed dye must be treated before it is released into

the rivers or streams (even in low income countries where environmental

standards may be relatively lax). Thus less salt and less unfixed dye
mean lower water treatment costs.
3. The new dyes higher fixation rates make quality control easier thus
lowering the costs of rework.
Cibas dyes are the result of years of development in the laboratory. They
are protected against imitation by patents and by the unpatentable but
complicated chemistry that goes into making them. For those reasons, Ciba can
charge more for its dyes and capture some of its value it is creating for
customers. Lowering a customers environmental costs add value to its
operations just as surely as a new machine that enhances labour productivity.
But there are three conditions required for success with environmental
differentiation, and Cibas approach satisfies all the three.
1. The company has to identify customers who are willing to pay more for
an environmentally friendly product
2. It has to able to communicate its products environmental benefits
credibly
3. It should be able to protect itself from imitation for long enough to profit
on its investment.
A company which fails in any of these three aspects will fall flat with its
ecological innovation.

Environmental Awareness

Environmental awareness is to understand the fragility of our

environment and the importance of its protection. Promoting
environmental awareness is an easy way to become an environmental
steward and participate in creating a brighter future for our children.

What is Environmental Awareness?

To define environmental awareness we must first understand the

environmentalist movement. Environmentalism is an ideology that
evokes the necessity and responsibility of humans to respect, protect,
and preserve the natural world from its anthropogenic (caused by
humans) afflictions.

Environmental awareness is an integral part of the movements

success. By teaching our friends and family that the physical
environment is fragile and indispensable we can begin fixing the
problems that threaten it.

Numerous resources are available to promote environmental

awareness; group learning (in or outside of class), informational and
inspirational seminars, such as our Awakening the Dreamer Program,
and environmental books and brochures are just a few of the tools
that can get you involved in promoting the environment.
How to Promote Environmental Awareness

When learning about the environments declining health it is easy to

feel discouraged, but what keeps us fighting for a healthy world is the
future of our children. They should not have to inherit our
environmental problems and in order to keep their future bright,
spreading awareness is imperative.

Before you can begin promoting environmental awareness in your own

community you must first make sure that you have a thorough

understanding of environmental issues. Staying up to date on

environmental news and reading comprehensive books about
environmental threats are both great resources, but if youre the type
of person who prefers a more interactive approach, attending
environmental seminars is a great option.
Make a Difference

After you have become environmentally aware you can begin teaching
those around you. The symposium acts a catalyst for you to begin
your role as an environmental steward and provides online courses
and other resources to keep you on track.

A good course of action that ensures your continued participation as a

global citizen is to pick an environmental issue that strikes you as
most urgent. The amount of environmental issue seems limitless and
while they are all important it is best to initially focus on one cause.
You will soon see that all environmental issues are intertwined and will
find your niche of interest.

After your decision is made you then explain its importance and
urgency to your community, friends, and family, create beneficial
communal projects, and find more causes to become apart of.
Examples of Environmental Issues That Need Fixing

Here are several cause-and-effect problems that harm our

environment:

Oil Drilling- This issue is one that causes a great deal of environmental
destruction. Our dependence on fossil fuel is a global addiction that
affects every aspect of the world. Oil spills and offshore drilling poison
marine life, oil drilling (on land) suffocates the earth, and the
combustion of fossil fuels add to the increased atmospheric CO,
which in turns causes the progression of global warming and ocean
acidification. This is a multifaceted issue and is a good cause to get
involved with because it covers such a broad spectrum of issues.
Deforestation- Millions of acres of forest are cut down for industrial
benefit, such as large scale farming, oil mining, and the production of
paper goods. Deforestation causes wildlife and biodiversity extinction.
The International Union for Conservation of Nature (IUCN) has a Red
List of environmentally threatened species with up-to-date
information. Oftentimes, the cause for their threatened existence is
listed as loss of habitat as it is for many Amazonian species.
Production of Plastic Goods- Currently our society creates a great deal
of waste and much of that waste is comprised of plastic. According to
the Environmental Protection Agency (EPA) in 2010 alone 31 million
tons of plastic waste was created. This waste ends up all over the
globe in both land and water, a good example is the Great Pacific
Garbage Patch. Not only is plastic waste an issue, but the production
of plastic is also dependent on fossil fuel combustion. According to the
U.S. Energy Information Administration (EIA) in 2010 191 million
barrels of liquid petroleum gases(LPG) and natural gas liquids (NGL)
were used in the U.S. alone to produce plastic goods.
A solar powered water pump in the Amazon forest; a great alternative
energy source.
Possible Project Ideas

Once youre well versed in environmental issues, use that knowledge

to create beneficial project in your home and in your community.

Instead of driving to work or school, take the bus, carpool, walk, or

ride your bike to cut down on greenhouse gas emissions. According to
the EPA transportation adds to 33% of the total atmospheric CO.
Consider investing in appropriate technology like clean power (solar or
wind), if not for your home maybe for a community center. This will
also help wean ourselves off fossil fuels.
Buy reusable products such as glass bottles, reusable bags and cups
etc. Avoid buying paper towels, plastic bottles and bags.
Start composting and recycling, which will help cut down our waste
production.
Support local businesses and farmers by only buying organic food at
farmers markets. Make sure the food is pesticide free. This will help
your community become self-reliant.
Need for Environmental Awareness

The need to spread environmental awareness is enormous in the

context of successfully addressing environmental problems. It is linked
to environmental education.

On the one hand, provision of environmental education creates

greater awareness in individuals and communities with respect to
putting environmental resources to use even while conserving them.
On the other hand, greater environmental awareness increases the
scope of environmental educationas a discipline as well as inclusion
of aspects of it within the scope of other disciplines.

Various media and means are used to spread environmental

awareness among the people. The electronic media and the print
media are the major mediums of spreading information about
environment among the populaceeducating them about
environmental concerns and ways to address these. News, features,
talk shows and discussions on television and radio are increasingly
focusing on environmental themes of today.

Global warming, air and water pollution, overuse of fertilisers, the

negative implication of use of plastics and polythene, conservation of
energy and fuel resources, all these are topics of current media
debate. Newspapers and magazines too are, one may say, more
environment conscious than ever before. Articles and analyses explore
the environmental debacle that our globe is headed towards and
create awareness in the common man about environmental problems.
The ICEE has been held at New Delhi in the pastin 1980 and in 1985.
It was observed during these conferences that the need of the hour
was to help create social consciousness and awareness about the
harm caused by ecological disruptions.

Environmental Education Goals:

The need for environmental education is recognised by all but there is

little actual experience or knowledge about the way to provide it.

The objective of such education is that individuals and social groups

should become aware, acquire knowledge, develop attitudes, skills

and abilities and be able to address real-life environmental problems.

Integrated inter-disciplinary and holistic education is to be provided to
all sections of the population. It would first of all require a new
approach to education itselfan approach which cuts across different
subjects in schools and universities.

The goals of environmental education as pointed out by the UNESCO

are to create environmental awareness in the world populationan
awareness about the whole environment and problems associated
with it and generate commitment in people to work individually and in
unison towards solving existing problems and preventing new ones
from emerging.

Objectives:

The objectives of environmental education formulated at the

UNESCOs Tbilisi Conference (1977) were as follows:
i. Acquiring an awareness of the whole environment and the many
problems that have arisen with regard to human misuse of
environment and developing a sensitivity in people in this context.

ii. Groups and individuals must gain skills for identifying and solving
environmental problems.

iii. To help people gain experiences and gains a basic understanding of

the environment and related problems.

iv. Help people acquire values and feelings of concern for the
environment and encourage their participation in improvement and
safeguarding of our environment.

v. Ensure evaluation of environmental measures and programmes in

terms of ecological, economic, social, aesthetic and educational
factors.

vi. Provide to all an opportunity to get involved at all levels in the task
of resolving environmental problems.

Guiding Principles:

The guiding principles laid down by the UNESCO ICEE at Tbilisi in 1977
were as follows:
i. The need is to consider the environment as a whole, that is, the
natural, technological, social, economic, political, cultural, moral,
historical and aesthetic environment.

ii. The need is to have a continuous life process of environmental

educationfrom pre-school level to formal and non-formal education
levels.

iii. An interdisciplinary approach to spread awareness of

environmental problems and knowledge about environment is
necessary.

iv. Major environmental issues are to be examined from local,

national, regional and international perspectives.

v. The complex nature of environmental problems are to be recognised

and critical thinking and problem-solving skills need to be developed
in people.

vi. The value of local, national and international cooperation in

addressing environmental problems is to be highlighted.

vii. The need is to use available knowledge about the environment and
the many available approaches to teaching and learning.

viii. Learners must be acquainted with the real causes of

environmental problems and the way these get expressed and must
be encouraged to participate in prevention and resolving
environmental problems.

ix. School-level education needs to link up aspects of sensitivity to

environment, knowledge of environment and problem-solving.

x. The need is to stress on current as well as potential environmental

situations.

xi. All plans for social, economic and other kinds of growth and
development must pay attention to environmental aspects.

Classification of Programmes:

Understanding the dire need for creating environmental awareness

and ensuring a holistic environmental education to all, a classification
of environmental education programmes has been worked out.
Newmans (1981)

Classification stresses on three aspects:

Environmental studies, environmental science and environmental

engineering.

Environmental studies is concerned with environmental disturbance

and reducing its impact through changes in society. This can be
related to social sciences.

Environmental science is concerned with the study of processes in

environment (water, soil, air and organisms) that result in pollution or
degradation of environment. It deals with setting up a standard that is
clean, safe and healthy for the natural ecosystem as well as human
life. This is related to physical and natural sciences.

Environmental engineering is the study of the technical processes that

help in reducing pollution and assessing the impact of these on
environment. It is related to engineering sciences.

In the USA, the National Environmental Education Act, passed by the

Congress in 1990, is aimed at improving understanding among the
people about the natural and built environment and the relationship
between human beings and environment.

It also aims to encourage post- secondary school students to take up

careers in environment. Overall, the objective is to develop awareness
and appreciation of our environment, familiarise students about
current environmental issues and cultivate investigative, criticalthinking and problem-solving skills in various environmental problems.
In today's society, people have become very wasteful. Many
Americans have never lived or been exposed to an environment where
resources were not plentiful, so there is a lack of appreciation for the
resources that are easily accessible. The United States of America
generates hundreds of million tons of solid waste per year. The
commonly known term for solid waste is trash or garbage. Solid waste
has become a major problem- it is a potential threat to public health,
it scars the environment, and it can be a block to the economic
development of an area because of the negative image it presents
(Cardinali, 2001).
It is important that solid waste be disposed of properly or it could
potentially become a hazard to the health of the environment.
Disposal of solid waste on land is by far the most common approach in
the USA, and accounts for about 90 percent of the nation's municipal
waste. Incineration accounts for most of the remainder composting of
solid waste. The choice of disposal methods is typically made on the

cost to maintain the disposal site. Landfills are currently the cheapest
way to dispose of the trash and garbage. In a modern landfill, the
garbage is spread in thin layers, each of which is compacted by a
bulldozer before the next is spread. When about ten feet of waste has
been laid down, it is covered by a thin layer of earth or soil, which is
also compacted. In essence the garbage is being packed and pressed
down into the ground. It is very important that when choosing a site
for a landfill that the location is not easily subjected to flooding.
Flooding of a landfill can spread hazardous bacteria through the water
and into other areas. This could cause contamination to crops and the
grasslands were the cattle eat. It could also cause contamination to
the waters where the fish live causing them to die. If bacteria is in the
foods that we eat it could cause disease and health risks to the people
who eat the contaminated foods (Cardinali, 2001).
Trash also gives off a negative image because it produces a foul odor
and is not appealing to the eye.
If the old world is dead, there are at least faint indications that a new
one is getting ready to be born. Most encouraging of all is the
increasing concern with the good earth and its bounty.

Even if education has not reached the poor, awareness has. Witness
the Chipko and Appiko movements where tribals, and mainly women,
hugged their trees to prevent them being felled. The tribal has now
realised that government claims of development only mean money
and advantage to some fat man in a far-off city.
They no longer want cash compensation for being displaced by dams
and mines they want land for land. Environment activism has
already stopped two dams Silent Valley in Kerala and Bedthi in
Karnataka. Strong protests have also led to litigation against lime-

stone mining in lush Dehradun. The reports ultimate message is in its

shared statement of concern: Nature can never be managed well
unless the people closest to it are involved in its management. There
is still time to act, however gloomy the scenario may look. Otherwise
there is worse to come.
Public awareness about environment is at a stage on infancy. Of late,
some awareness has taken place related to environmental
degradation, pollution etc. but incomplete knowledge and information
and ignorance about many aspects have often led to misconception.
Development has paved to path for rise in the levels or standards of
living but it has simultaneously led to serious environmental disasters.
Issues related to environment have often been branded as antidevelopment.

The wisdom lies in maintaining a balance between our needs and

supplies so that the delicate ecological balance is not disrupted.
Some of the main reasons responsible for widespread environmental
ignorance can be summed up as follows:

(i) Our courses in Science, technology and economics have failed to

integrate the knowledge in environmental aspects as an essential
component of the curriculum.

(ii) Our planners, decision-makers, politicians and administrators have

not been trained so as to consider the environmental aspects
associated with their plans.

(iii) In zeal to go ahead with some ambitious development projects,

quite often there- is purposeful concealment of information about
environmental aspects.
(iv) There is greater consideration of economic gains and issues
related to eliminating poverty by providing employment that
overshadows the basic environmental issues.

SOME OTHER INTERESTING INITIATIVES:

LEELA HOTEL GROUP: It was honoured by the American Academy of

Hospitality Sciences for environmental initiatives. At The Leela Goa, for
example, Nairs imprint can be seen in the 75 acres of lush gardens and
foliage planted along the property. In all, there have been a total of

3,556,633 trees planted on the Leela Properties.

One of the companies has saved around $14mn/yr just by reducing the

font size from 16 to 10.

Hybrid car that result in higher fuel efficiency.
Using solar energy instead of electric energy.

EFFECT OF ECO INNOVATIONS ON EMPLOYMENT:

Ecological innovations have increasingly been seen as a major response
to environmental problems. An important question for both economic research
and public policy is whether these innovations also increase employment or not
(the question of a double dividend). The question here is how factors affecting
direct employment changes due to eco-innovations at the firm level. Using data
from around 1600 firms in five different countries (Germany, Great Britain, Italy,
Holland and Switzerland) it has been observed that firms investing in relatively
important (from the firms perspective) labor cost saving product innovations that
have not been subsidized by the state and pursuing a market driven business
strategy that leads to increases of their sales in industries in which they have a
market power also increase the likelihood of their achieving a positive long term

direct employment effect. Firms that deviate - on average - from this ideal
portrait do not have positive direct employment effects.
CONCLUSIONS:
Initiatives to bring ecological components to urban living are put forward
by governments, grassroots groups and private industry. Some projects focus
primarily on the application of resource-saving technology and/or related user
behavior. Others emphasize the cohesion and empowerment of the community
as the principal agent to proliferate and further develop concepts of sustainable
living.
Based on one of these perspectives, an organization (firm) will have a
specific set of characteristics. These can be grouped into four categories:
1. Basic strategic orientation The more or less coherent view of the world
as it is relevant to the firm, including its relationship to the natural
environment. It may not be formalized in terms of a vision or mission
statement, but it is assumed to be more or less consistent at the level of a
firm.
2. Definition of value The basic strategic orientation is based on
assumptions of what are valuable activities, resources, and capabilities,
and a firms strategy can be understood as the pursuit of such valuable
items. This definition includes ecological value: what are relevant
ecological issues, and what are legitimate ways of dealing with these.
3.

Capabilities The organizational routines the firm employs to combine

resources (money, people, materials, knowledge) in order to materialize
the goals that are implied in its basic strategic orientation. Examples are:
organization of R&D, specific ways of organizing production, routines to
collaborate

with

stakeholders,

marketing

routines,

environmental

management, etc.
4. Activities related to reducing ecological impact Based on capabilities,
firms will develop activities that in the end determine their ecological
impact. Examples of these are: product innovation, collaboration with
consumers, recycling activities, lobbying and communication, moving
production to other countries, etc.

These four categories are closely related. The definition of value can be
seen as the normative complement of the basic strategic orientation. This
normative framework defines the selection environment in which capabilities
emerge, are developed, or discarded. Through activities, which flow from
capabilities, the strategic orientation is tested, and if successful, maintained.

From the perspective of the various studies carried out in this context it has
been inferred that:

Not surprising is the result that an eco-innovation in general, measured

by its share of a firms total innovation expenditures (input indicator), does
have a significant impact on firms long term employment.

It is surprising that organizational eco-innovations do not have any

significant impact on firms long term employment.

From a theoretical (neo-classical) viewpoint is it quite surprising that

price-based competition among firms does not have a positive impact on
long term employment. This suggests that imperfect competition (market
power) helps firms to innovate and create jobs.

It is worth noticing that firms pursuing different strategies achieve different

outcomes concerning employment. Firms with a clear market-driven
strategy (innovation in order to secure existing markets or to increase
market share) are more successful than those that are aiming at just
improving their corporate image.

The size of innovation as measured by the share of eco-innovation

expenditures as a percentage of firms total innovation expenditures has
a positive effect on the firms probability to increase long term

employment. In addition, as expected, product innovations seem to have

a positive impact, while process innovations seem to have a negative
impact on long term employment.

The market power of the innovating firm:

The impact of competition in product markets on the long term
employment of firms operating in those markets depends on the means
used for competition: while innovation-based and corporate image based
competition seems to have a positive effect, price competition seems to
have the opposite effect.
The price elasticity of product demand:
Eco-innovation led to increase in output and sales.
Firm specific variables:
While firm size does not seem to affect long term employment due
to eco-innovations, firm-specific strategies do. Eco-innovating firms that
pursue a clear market driven strategy such as securing existing markets
or increasing market share also increase their long term employment. On
the other hand, firm strategies that consist of innovating in order to
comply with environmental regulations or to improve the firms image do
not seem to have the same systematic effect on long term employment.
Industry and country specific differences:
The long term employment effect of co innovations varies not only
across firms but also across industries and countries.

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