Why invest in green technologies? Sustainability engagement among small businesses

ABSTRACT

This study examines the links between sustainability engagement and green technology investments. Using data on 139 Finnish small businesses, the results show a positive relationship between the two. The sustainability engagement of small businesses affects their interest in investing in green technology. However, engagement in environmental sustainability does not seem to be the main motivator behind green technology investments. The results of the mediation analysis show that when investing in green technologies, companies do not consider environmental sustainability as a main value but as a way of achieving social and economic value.

KEYWORDS:

• Sustainability
• green technology
• engagement
• sustainable development

Disclosure statement

No potential conflict of interest was reported by the authors.

Notes on contributors

Dr. Minna Saunila is a Senior Researcher at LUT University , School of Engineering Science. Her research covers topics related to innovation, service operations, as well as sustainable value creation.

Tero Rantala is a Researcher and PhD student at LUT University , School of Engineering Science. His current research focuses on performance measurement and management of university-industry collaboration, including the measurement of effectiveness of innovation activities in private and public sector organisations.

Dr. Juhani Ukko is a Senior Researcher at LUT University , School of Engineering Science. His current research interests involve different areas of performance management and measurement, related to operations management, collaboration, digital services, and innovation and technology management.

Dr. Jouni Havukainen works at LUT University and has studied issues related to system analysis of organic and inorganic flows in circular economy on three continents. He has conducted research in BP's Energy Bioscience Institute in Berkley California, KTU in Kaunas and Zhejiang University in Hangzhou, China. Dr Jouni has published 29 articles in 10 esteemed journals and in 14 international conferences.