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https://doi.org/10.1007/s11356-022-22221-7
RESEARCH ARTICLE
Received: 4 June 2022 / Accepted: 21 July 2022 / Published online: 2 August 2022
© The Author(s), under exclusive licence to Springer-Verlag GmbH Germany, part of Springer Nature 2022
Abstract
Small- and medium-sized enterprises (SMEs) in China have been hit hard by the coronavirus (COVID-19) outbreak, which
has jeopardized their going out of business altogether. As a result, this research will shed light on the long-term impacts of
COVID-19 lockdown on small businesses worldwide. The information was gathered through a survey questionnaire that 313
people completed. Analyzing the model was accomplished through the use of SEM in this investigation. Management and
staff at SMEs worldwide provided the study’s data sources. Research shows that COVID-19 has a significantly bad influence
on profitability, operational, economic, and access to finance. In the study’s findings, outside funding aids have played an
important role in SMEs’ skill to persist and succeed through technological novelty than in their real output. SME businesses,
administrations, and policymakers need to understand the implications of this study’s results.
Keywords COVID-19 · Sustainable business practices · SME · Technology innovation · Access to finance
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entrepreneurial orientation and market (Ahmad et al. 2021; behavior and attitude of SMEs and economic morality is
Lau et al. 2021; Liu et al. 2021; Rao et al. 2022). It is required. Standard economic theory cannot be relied upon to
believed that the attitude of owner-managers toward the nat- gain a deeper comprehension of this issue; rather, behavioral
ural environment can be used to predict the level of sustain- economics theory is what is required. We are developing
able performance achieved by small businesses (Irfan et al. a model of the practical connection between irrationality,
2021; Işık et al. 2021; Jan et al. 2021). Integration of top morality, and commercial ethics for SMEs. SMEs can ben-
organization teams’ behaviors has an optimistic impact on efit from this research. It provides a foundation for develop-
the organization’s orientation toward sustainability (Khokhar ing programs to permit SMEs to improve their economic
et al. 2020; Fu et al. 2021; Yumei et al. 2021; HUANG et al. mindset and behavior.
2022). Small- and medium-sized enterprises in developing The COVID-19 crisis has impacted international com-
economies typically have limited access to resources (Tang merce and tourism, which impacts the global economy
et al. 2021a, b; Rao et al. 2022; Tang et al. 2022b). Many (Rintanalert and Sirisunhirun 2021)(Chen et al. 2021a). The
believe that investing in sustainable performance constitutes adverse effects are widespread and permeate every aspect of
an unnecessary additional expense. However, sustainable human life, mainly related to health. The majority of finan-
performance is an essential resource for organizations to cial activities continue to be restricted as a result of public
consider when determining their performance. This resource isolation, travel limitations, lockdowns, and other similar
cannot be ignored because some of the researchers used the measures, which is a significant blow to a great number of
sustainable performance of SMEs to determine the perfor- businesses (Saputra and Herlina 2021). Industries and busi-
mance of firms, new ventures, and financial presentation. A nesses of all sizes have been severely wedged as a result of
finite number of studies examine the connection between COVID-19, and many are struggling to maintain their viabil-
sustainable performance and environmental performance; ity as a result of these effects. Despite this, some compa-
consequently, this study aims to develop this connection. nies have seized the opportunity to carve out a new market,
In addition, the researchers suggested that further research and many SMEs are attempting to adapt to the new envi-
into sustainable performance is required in both developing ronment. Small businesses are more susceptible to global
countries and developed countries. This is because sustain- crises because of their limited resources, and COVID-19
able performance is considered an essential component for is having an especially negative impact on them. There is
organizations. still a requirement to adopt strategies that will ensure long-
Xia et al. (2021) developed the technology-organization- term survival, even though environmental sustainability has
environment (TOE) model, used in the present study. The become one of the most important factors in the present
model is helpful when adapting to changing circumstances situation (Lu et al. 2021). Consequently, small- and medium-
because it allows one to study the interactions between pro- sized businesses are under increasing pressure to modernize
cesses, inputs, and outputs. The technology-organization- their operations through various technologies (Zaverzhenets
environment structure is adaptable and provides the optimal and Łobacz 2021). Sustainability in the industry is achieved
balance of external and internal drivers, essential for imple- by utilizing technologies that either develop or adopt envi-
menting innovations within organizations (Yung et al. 2021; ronmentally friendly practices. The current study will focus
Iqbal et al. 2021; Xiang et al. 2022b; Jin et al. 2022). There on the process for achieving sustainable performance that
have only been a few studies that have used this framework SMEs can use during the COVID-19 pandemic.
to examine sustainability. These studies cover sustainable The term “governance mechanism” refers to a broad con-
manufacturing practices (Baah et al. 2021), green IT initia- cept fraught with a number of debates on account of the
tives, and a green supply chain. This model helps develop numerous theoretical approaches and points of view (Chen
a holistic structure of sustainable functioning because it et al. 2021b)(Wu and Zhu 2021). Previous research has con-
combines numerous elements that can each play their part sistently found that a company’s governance mechanism has
in attaining sustainable business practices. Consequently, an impact on both the company’s financial results and its
this model is useful for establishing a comprehensive struc- communal outcomes (Costa et al. 2020)(Zhang et al. 2022)
ture of sustainable business practices. Sustainable business (Li et al. 2022). With fierce competition, governance mecha-
practices (such as green supply chain, green recycling and nisms tend to focus on ensuring that the interests of society,
remanufacturing, green HRM and information technology) the environment, and the economy are all taken into account.
are conceptualized as a process in this study, and sustainable To accomplish this goal, it is no longer a recommendation
performance is conceptualized as an output. Technological but rather a prerequisite for companies that participate in
innovation is conceptualized as an input. The panel’s theo- social and environmental responsibility initiatives (Wellal-
retical foundation is the resource-based view (RBV) theory. age et al. 2021).
Because of the current COVID-19 condition, a more in- There have only been a limited amount of experien-
depth investigation into the relationship between illogical tial research conducted on the result that technological
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1542 Environmental Science and Pollution Research (2023) 30:1540–1561
innovation has on sustainable performance in the SME precarious financial situation of SMEs. As a result, Chi-
sector through sustainable green practices. Further inves- na’s GDP growth rate fell 6.8% year over year in the first
tigation is necessary to fill in this gap. Generally speaking, quarter to its minimum level in the past couple of decades
only 2% of businesses use various forms of technology (Ko (Jafari-Sadeghi et al. 2022). Meanwhile, the labor mar-
et al. 2021). The ongoing COVID-19 pandemic, on the other ket was sluggish, with the unemployment rate rising from
hand, has made it unavoidable for businesses to abandon 5.3% in January to 6.0% in April. Because of this, China’s
their traditional methods in favor of more environmentally SMEs continue to feel the effects of this year’s pandemic
friendly ones to operate sustainably. To achieve this goal, outbreak. As soon as the COVID-19 pandemic comes to
SMEs will require technologies that can be customized. an end, the negative impact on the economy will not go
SME research focuses on the factors that lead to environ- away. SMEs will continue to face the challenge of long-
mental and social practices in small- and medium-sized term recovery and the pressures of survival and growth as
enterprises (SMEs). They are linked to environmental pro- the economy continues to recover (García-Pérez-de-Lema
ductivity and performance, social performance, governance et al. 2021).
mechanisms, and green innovation. On the other hand, the The COVID-19 virus has been a major concern for the
authors do not discuss how new technology affects environ- Chinese government. Wuhan’s urban bus, subway, ferry, and
mental stewardship and SMEs’ ability to sustain themselves. long-distance passenger transportation services were shut
The goal of the current research is to develop a model that down on January 23, 2020. At the airport and train stations,
will offer a comprehensive theoretical structure for assessing the exit channels were also closed. More than 10 million
how environmental, organizational, and technological fac- people were completely cut off from a large metropolitan
tors can lead to long-term functioning levels in SME through area. China’s first-level public health emergency reaction
the adoption of environmentally friendly green practices. As was initiated sharply after the lockdown of Wuhan in an
a result, it will be a developed methodology for assessing attempt at virus containment and prevention (Zainal et al.
how technology advancement can contribute to long-term 2022a). Chinese authorities mobilized the entire country
performance levels in SMEs. to implement the most rigorous and comprehensive control
methods possible to save lives. Gatherings, meetings, and
conferences were banned; towns, municipalities, and com-
Literature review and hypothesis munities were put on lockdown; factories, businesses, and
development stores were shut down. As a precautionary measure, travelers
from Wuhan and other epidemic zones had to report their
COVID‑19 factors and sustainable business practices travel proceedings and self-quarantine for 2 weeks. To keep
population migration to a minimum, the Spring Festival
Equated to SARS, a lethal endemic in China in 2003, holiday was extended for 2 days. In addition, businesses in
COVID-19 is more contagious and hardy. Within 2 months, several provinces, including Sichuan Province, were not per-
there were more confirmed cases than SARS had in the pre- mitted to return to normal operations until February 10. In
ceding 8 months, and within 3 months, it had spread around order to keep the epidemic under control, many businesses
the world and was considered a pandemic. That many cases and factories across the country were forced to shut down
of SARS were reported after 8 months. When it comes to its for the majority of February.
effect on society and the economy, the COVID-19 outbreak These measures did help to slow the spread of the corona-
is unlike any other crises or epidemic in China or elsewhere virus. Still, at the same time, they posed a threat to the con-
(Al-Hakimi et al. 2021; Lau et al. 2021; Liu et al. 2021; Rao tinued existence of businesses in all fields and sectors, which
et al. 2022). could have had potentially disastrous economic repercus-
Small- and medium-sized enterprises in China are find- sions, societal and individual, such as a significant reduction
ing it difficult to survive due to COVID-19’s rapid spread. in the number of available jobs and increased social vulner-
On February 15, 2020, the China Association of SMEs ability (Sun et al. 2021b). Rahman et al. (2022) discovered
published a “Research Report on Countermeasures and that they could not return to the cities in which they worked
Suggestions for the Impact of COVID-19 Pandemic” that because the cities had been locked down, highways had been
found that nearly 67.69% of SMEs have reduced their hindered off, and suburban populations had been sealed off.
operating income; 21.61% of SMEs cannot timely repay Although these stringent measures successfully prevented
debts; 86.22% of SMEs cannot survive with funds on the the spread of the epidemic, they did so at the expense of
account for more than three months, and 33.73% of SMEs preventing workers from returning to work and disrupting
do not have enough funds to last for more than six months the movement of raw materials and finished goods. If there
(Wendt et al. 2021)(Iqbal et al. 2021; Tang et al. 2022a, b). are further limitations on traveling and, as a result, trade,
China’s economic growth was negatively impacted by the and business within China, the economic impact of the
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widespread disease may increase significantly (Ganlin et al. It is becoming increasingly accepted that small- and
2021a). Only time will tell whether or not this is the case. medium-sized businesses are the most important source of
H1: Small- and medium-sized businesses (SMEs) are developing new products and technologies (Le and Nguyen
more likely to implement sustainable business practices 2022b). Small- and medium-sized enterprises (SMEs) con-
(SBP) when put into lockdown. tinue to pose a significant challenge for business policymak-
ers and investors in light of the current dynamic business
climate. While innovation is important and even essential,
Technological innovation–sustainable business performance improvement is the key to motivating SMEs to
practices nexus implement CSR practices (Belyaeva and Levis 2022). SMEs
typically have a greater aptitude to increase performance
In technology in the business world, “innovation” refers to a through their CSR practices as a result of their increased
strategy that gives a company an advantage over its rivals by emphasis on innovation (Adam and Alarifi 2021). Compa-
facilitating the diversification of existing markets and creat- nies with strategic CSR objectives to improve performance,
ing new avenues for financial gain. Adopting a novel strategy such as achieving growth (Belyaeva and Levis 2022; Le and
or way of doing things within an organization is one defini- Nguyen 2022a, b), may need to make product and process
tion of innovation. According to Miocevic (2022), innova- innovations.
tiveness can be defined as the grade to which an organization Different researchers use different definitions of SMEs
uses technology or new ideas compared to their competitors due to the varied characteristics of these businesses (Abed
to gain competitive returns in terms of cost, time, and the 2020). These definitions are frequently based on size or
value of service. The ability to innovate is not only neces- turnover, and they are meant to reflect the economic, cul-
sary for businesses to continue existing in today’s economy, tural, and social norms of each country. It is generally
but it is also a significant factor in growth, productivity, and agreed that the number of employees, the level of invest-
competitiveness (Miocevic 2022). ment, and the volume of sales are the defining character-
Compliance with sustainable practices is just as important istics of SMEs. According to the European Commission,
in the highly competitive business environment as the inno- small- and medium-sized businesses have between 10 and 49
vation of new technologies; as a result, policies on corporate employees, while large businesses have between 50 and 250
social responsibility (CSR) are becoming more prevalent in employees (Adam and Alarifi 2021). The Small and Medium
SMEs. The achievement of excellence in the management Enterprises Act of 2012 in Kenya classifies SMEs according
of organizations is the primary focus of environmental sus- to their industry, the number of employees, and the amount
tainability. “A commitment to improving social well-being of investment they have (Yu and Schweisfurth 2020).
through discretionary business practices and the contribution H2: Green innovation (GIN) positively affects the imple-
of corporate resources” is how corporate social responsibil- mentation of sustainable business practices (SBP) by SMEs.
ity can be defined in a general sense.
The literature (Sun et al. 2021b; Ganlin et al. 2021a; Organizational factors and sustainable business
Rahman et al. 2022; Miocevic 2022) contains significant practices
research on the relationship between innovative practices
and environmentally sound practices. Therefore, the addi- Albats et al. (2020) corporate social performance model was
tion of new products, processes, and managerial activities employed in the study to further describe how sustainable
involved in the delivery of a product or service can be under- practises are implemented in firms. There are three stages
stood to constitute innovation. Pedauga et al. (2022) found a of solicitation for groups committed to sustainable devel-
relationship between environmental sustainability practices opment. As a first step, enterprises need to understand the
and innovation and suggested that businesses should act fol- fundamentals of sustainable development (SD). These prin-
lowing the ethics of corporate social responsibility (CSR) in ciples, as established by society, are institutional forces (Sun
their manufacturing practices by making use of new tech- et al. 2021a). In response, organizations establish policies
nology that is kind to the environment (Eldeeb et al. 2021). and programmes tailored to their specific qualities. Stake-
This was based on Bansal’s finding a relationship between holders have a right to expect the entrepreneur to respond
innovation and environmental sustainability practices. The appropriately to their demands.
purpose of corporate social responsibility (CSR) is to simul- According to Jesemann et al. (2021), one of the steps that
taneously advance fiscal growth, community justice, and must be taken to comprehend the phenomenon of corpo-
environmental protection (Surya et al. 2022). Many initia- rate ownership of SD is to investigate the company’s attrib-
tives have recently been launched to encourage businesses utes. Corporations are required to address the potentially
to frame their disclosure activities to demonstrate their com- bad impacts their organizational circumstances may have
mitment to sustainable development (Le and Nguyen 2022a). in order to prevent a similar situation from occurring in the
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future (Zainal et al. 2022b). As a result, organizational cir- environmental factors, and environmentally friendly mar-
cumstances influence how businesses respond to SD con- keting practices can only be effective in an encouraging
cerns. According to this strategy, the behaviors anticipated external environment. The implementation of environmen-
in SD are those dictated by the very nature of the business tally responsible marketing strategies needs backing from
that is being analyzed. The business plan, financial perfor- environmental factors. Factors in the environment drive
mance, and innovation are examples of these contingent fac- organizations to pursue and implement environmentally
tors (Rakshit et al. 2021). Dai et al.’s (2021) interpersonal friendly innovations (Zutshi et al. 2021). The policies that
behavior theory is applied to the characteristics of entrepre- the government and the legal system have in place to protect
neurs in this study. According to this theory of interpersonal the environment have an effect on the innovative practices
behavior, individuals make decisions about how they will act of an organization. Incorporating environmentally friendly
based on their intentions, habits, and other supportive factors innovations into daily life relies heavily on preexisting envi-
(Hossain et al. 2021). The theory’s goal is to shed light on ronmental factors such as policy orientation, certainty, sup-
human behavior. Affect, self-image, and the perception of port, and market alignment. These factors have the poten-
consequences are all factors that are considered in addition tial to trigger different kinds of innovations. Consequently,
to the norms and roles that are discussed above. In light of environmental factors are also a factor in whether or not
the above, we will assume that: green innovations are adopted. Consequently, the subsequent
H3: Green marketing (GMK) has a positive impact on premises are put forward for consideration:
SMEs’ application of sustainable practices. H6: Social awareness has a positive impact on SMEs’
H4: The acceptance of a green supply chain (GSCM) has application of sustainable practices.
a beneficial affect on SMEs’ use of corporate sustainability. H7: Environmental awareness has a positive impact on
H 5: Green HRM (GHRM) has a positive impact on SMEs’ application of sustainable practices.
SMEs’ application of sustainable practices.
Green practices–sustainable business practices
Environmental awareness–sustainable business nexus
practices nexus
It is generally accepted that protecting the environment leads
The external environment that the organization operates in is to the development of socially desirable outcomes (Denico-
represented in the TOE model by the environmental factors lai et al. 2021). The regulatory setting defines the business
component. The willingness of small- and medium-sized context and identifies the types of private and public institu-
businesses to adopt environmentally responsible practices tions that adhere to CSR practices and services (Iborra et al.
heavily depends on the government’s support (Bai et al. 2020). Enhancing collaboration among stakeholders, provid-
2021). There is a strong correlation between technological ing economic support for environmental conservation, and
advancement and the ability of organizations to implement providing sufficient substructure to support environmental
sustainable green practices in uncertain environments. sustainability are all part of the Regulatory Setting’s mission
There is a strong correlation between environmental fac- to control environmental conservation (Yeon et al. 2022)
tors and the adoption of green practices. Without additional (Chen et al. 2020) and protect international environmental
support from the outside, it is impossible to implement green legislation. These goals will be accomplished by ensuring
HRM practices. In the absence of support from the govern- environmental sustainability (Yang et al. 2020)(Hu et al.
ment, the organization that is committed to implementing 2021).
environmentally friendly practices might fail. As a result, the There are three points of view on the current state of the
support provided by ecological factors makes the adoption of business environment, according to Hussain et al. (2022).
environmentally responsible HR practices easier. An impor- The first point of view concentrates on parties external to
tant part of supply chain management is outward activities. the company that interferes with its operations. These par-
Therefore, the kinds of elements surrounding the organi- ties include customers, other businesses in the industry, sell-
zation can affect the practices that are used in the supply ers, and government regulations. The second point of view
chain. Regulations imposed by environmental bodies have emphasizes the qualities exhibited by external forces, such as
become an important factor in spreading environmentally intricacy, lethargy, and generosity (Aidoo et al. 2021). The
responsible behaviors (Hrovatin et al. 2021). For an organi- marketplace orientations can be moderated by the external
zation to implement environmentally friendly supply chain environmental aspects, which influence firm performance
practices, relevant environmental aspects must be present. (Tolstoy et al. 2021). According to the findings of a study
Environmental factors are also a factor in how marketing carried out by Raymond (Le and Nguyen 2022c), the third
strategies are implemented. The adoption of environmentally perspective expresses concern regarding the sensitivities
friendly marketing practices is made easier by the relevant associated with decision-making regarding environmental
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Environmental Science and Pollution Research (2023) 30:1540–1561 1545
aspects. It was discovered that the alignment of an organi- growth, innovation, and gain a long-term advantage in the
zation’s interior and exterior environments had a moderat- market. However, most of this type of research concentrates
ing effect on the performance of the business (Dyduch et al. on the effects of information technology on the economy.
2021). Top management ought to comprehend their results, These types of arguments bring us to our first proposal,
grab chances to safeguard the company from extortions, and which will serve as the basis for our investigation into the
measure both internal and external factors that affect the role that various kinds of information technology resources
company’s performance (Zhang et al. 2021). After going play in contributing to the strategy of businesses in develop-
through all of this previous research, the researcher con- ing their capacity for sustainability (Fig. 1).
cluded the following hypothesis. H11: Information technology adoption has a positive
H8: Green manufacturing (GRNM) has a positive impact effect on SMEs’ application of sustainable practices.
on SMEs’ application of sustainable practices.
H9: Green design (GRND) positively impacts the applica-
tion of sustainable practices by SMEs. Methodology
H10: Recycling and remanufacturing (R&R) positively
impact the application of sustainable practices by SMEs. Sample and data collection
Information technology–sustainable business A research method known as a survey was used in this par-
practices nexus ticular study. Previous research served as the foundation for
the development of the questionnaire. The validity of the
As was previously mentioned, the establishment of close initial questions was established through a pilot study, in
collaborations and the exchange of information both within which academics and managers were allowed to review the
and between companies, made possible by information sys- questions. A preliminary test was carried out to validate both
tems, are necessary for companies’ growth of sustainability the content and the appearance of these instruments. Five
abilities. It has been demonstrated that the combination of experts thoroughly reviewed the scales’ content validity to
information technology resources with their corresponding determine their reliability. The appropriateness of the word-
human and management resources can support the capa- ing, ease of understanding, relevance, and item sequence
bilities that provide companies with a competitive advan- of each measurement scale was brought to the attention of
tage (e.g., Górska et al. (2021)). The three factors found specialists who were invited to conduct the review. Addition-
in information technology systems are technical elements, ally, the experts were allowed to provide qualitative com-
human technical and management abilities, and undefinable ments regarding the measures. The content validity ratio
IT-enabled assets like efficiency and customer awareness. (CVR) was determined by following the guidelines provided
It has been found that combining human and informational by Turkyilmaz et al. (2021). After the initial review by the
technology (IT) resources (such as infrastructural applica- experts, the CVR for the scale was set at 1, and no experts
tions, for example) confers companies with advanced abili- recommended removing any of the items from the scale.
ties that help them increase overall effectiveness, revenue However, all of the experts did recommend making some
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1546 Environmental Science and Pollution Research (2023) 30:1540–1561
minor adjustments to the item sequence and original word- Ganlin et al. (2021b) and used Xiang et al. (2022a, b) single
ing. Ten industry and academic professionals with relevant factor to check for common method bias.
expert knowledge were required to consider the scales in When using the maximum likelihood (ML) method in
order to deliver proof of the scales’ alleged face validity. structural equation modeling (SEM) analysis, the observed
They had to rate for every item’s specificity and significance variable and sample size ratio of 1:10 is the smallest sam-
on a Likert scale and suggest any items for removal. All ple size requirement (Wendt et al. 2021). It was possible
fourteen items were kept after receiving comments from the to collect 313 reliable samples as part of this investigation
ten people who participated. (Table 1).
There are several factors that go into calculating the The demographic information of the SME manag-
environmental impact of a company, and these factors are ers surveyed is presented in Table 1. All these SMEs are
not limited to just one company. However, there is a lack organizations with 1 to 100 employees, where 81.9% of the
of relevant research on supply chain performance metrics respondents indicated that they had had 2–15 years of pro-
(Miocevic 2022). Sustainable business practices (SBP) fessional work experience. The sample is split between firms
and its relation with other variables (like green innovation, with annual sales less than or equal to NZ$16.5 m (43.7%)
green design, green HRM, COVID cases, green, informa- and those with more than NZ$16.5 m (56.3%), which sug-
tion technology, recycling and remanufacturing, and green gests that there is good coverage of SMEs. Responses were
marketing) assessed in the study, which focuses mostly on collected from various types of organization: third-party
perception data (Turkyilmaz et al. 2021; Zhang et al. 2021; logistics providers (25.7%); manufacturing (18.9%); retail
Górska et al. 2021). With important suppliers and custom- (17.3%); and automotive and transportation (11.8%). Over-
ers, SBP are measured in terms of four activities: strategic all, 80.2% of the respondent firms are involved in distribu-
planning, employing various information or communica- tion, retail, and manufacturing.
tion technologies, attaining operational-level integration, AMOS version 23 and SPSS version 23 are both utilized
and forming strong partnerships (Younis and Elbanna 2021; throughout carrying out the analysis for SEM. When using
Miocevic 2022). Results are categorized under the following this software, the primary objective is to determine whether
outcomes: green innovation, green HRM, green marketing, or not the preliminary model is reinforced and decoded by
green supplychain, COVID-19, and green information rech- the data gathered. As can be seen in Fig. 2, the preliminary
nology (Yao and Yang 2022). When evaluating the value of study model has been redrawn as a path diagram within
SBP to small- and medium-sized businesses, we look at few AMOS to facilitate analysis. All of the observed variables
key performance indicators: green marketing, green inno- in this study are self-rating items, which were done so that
vation, green HRM, green design and green recycling and researchers could gauge the respondents’ opinions. These
green remanufacturing. We also look at social and environ- observed variables are also taken as gages of various under-
mental indicators, such as charity support and relationships lying variables, which are depicted by great abbreviations
with the local community (Le and Ikram 2021). in the graph. Indicator variables of a latent practice vari-
SMEs in this study are defined as companies with 100 able include things like partnerships, strategic planning,
employees, and we use the terms “small” and “medium” process integration, and the use of information and com-
to describe these two categories. Business owners or man- munications technology (ICT). In other words, we are mod-
agers of SMEs were the primary focus of the study, and eling the various latent variables by utilizing variables that
a representative sample of these companies was drawn at act as indicators. Even though we do not directly measure
random from the yellow pages, trade publications, and other the latent variables, it is still very important that we have a
industry-specific resources. The survey method was used in
this investigation (both mail and online). In order to safe-
guard the privacy of respondents and the confidentiality of Table 1 Enterprise profile
information that was exposed, the entire data gathering pro- Characterization Frequency Percent
cess was anonymous. We sent out a thousand surveys, but
SME size 5–10 employees 29 35.5
only 313 people completed them. Despite the low response
11–20 employees 24.5 24.5
rate (10.7%), we used Armstrong and Overton’s (1977) to
21–50 employees 36.5 29
measure non-response bias. We used a t-test to compare the
51–99 employees 10 11
first 25% of responses with the last 25% of responses based
SME age Less than 10 47 54
on demographic characteristics (degree of professional job
11 to less than 20 18 15
experience, annual sales, industry type). There were no sta-
21 to less than 30 22 8.7
tistically significant differences in the means of the ques-
31 to less than 50 21 13.3
tions between the two groups; therefore, there is no reason
51 and more 12 9
to worry about non-response bias. We followed the advice of
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Environmental Science and Pollution Research (2023) 30:1540–1561 1547
good understanding of them. To determine whether or not a The model does not fit the raw data well, as demonstrated
certain practice positively influences the outcome, we must by the bootstrap estimate. According to the results of the
have a solid understanding of the fundamental connections MLE analysis, the chi-square for the first model is 170.330,
between the practice and the result. For the initial analysis, and the associated probability level is 0.000. The conclu-
we have all of the weights set to 1, which is the default set- sion suggests that the model does not fit the raw data well,
ting. After completing the numbering, the model is now in a which contradicts the null hypothesis. TLI, CFI, RMSEA,
usable state. It is now possible to estimate AMOS linkages, and HOELTER are the descriptive model-fit tests that were
such as practice leading to outcome and outcome leading to chosen to be referenced after being chosen from a larger
performance. pool of candidates. According to Hu and Bentler (1999),
Several solutions were implemented to decrease the a good model fit would have TLI values larger than 0.9,
amount of missing data. As a direct consequence of this, CFI values larger than 0.9, RMSEA values less than 0.08,
the rate of missing data has been successfully maintained and HOELTER values larger than 66. On the other hand,
at or below 5 percent. Because this study only has a small the descriptive statistics tests do not support the assertion
number of missing data points, the researchers decided to that the model is a good fit. That is to say, by signifying
use list-wise deletion as their data imputation method. to the bootstrapping, chi-square, and descriptive model-
The maximum likelihood estimation (MLE) method fit tests, we are now able to realize that the original model
was selected as the optimal choice for use in combination has a poor entire fit to the raw data (chi-square = 170.330,
with confirmatory factor examination to assess the viabil- p < 0.000, TLI = 0.721, CFI = 0.770, RMSEA = 0.140 and
ity of the primary model. The most critical assumption is HOELTER = 37).
that each indicator variable follows a normal distribution In particular, to respond to the questions posed by the
when running MLE. Byrne (2001) suggests that the value research, it is essential to understand the one-to-one relation-
of any skewness coefficients or kurtosis for indicator vari- ships that exist between practice, outcome, and performance.
ables must not exceed the value of 1.96 in order to guarantee The consequences of the study are presented in Table 2,
that the variables are normally distributed. Despite this, the and when the p values are considered, it appears that all
total value of the multivariate kurtosis statistic (45.035) is of the regression weights and the loadings are significant.
significantly greater than the threshold value of 10. Based Two deductions can be strained from this: The first is that
on this result, it is clear that the initial model suffers from each indicator variable has a significant loading on the latent
a severe breach of multivariate normality. The MLE solu- variables. According to regression weights, practice posi-
tion will produce more biased estimates than they would be tively impacts performance, and the outcome has a positive
otherwise, even though Tevapitak and Bert Helmsing (2019) impact on performance. This is consistent with the research
claims that an SEM result may still be precise and valid question. One example of this is strategic planning, which
even after a severe violation of multivariate normality. The significantly influences practice. Other examples include
application of a bootstrap estimate is considered a potential partnership, process integration, and information and com-
solution to reduce the amount of bias present in this study. munication technology (ICT).
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1548 Environmental Science and Pollution Research (2023) 30:1540–1561
We referred to the modification indices in AMOS to probability level = 0.068; Bollen-Stine bootstrap p = 0.433;
locate a model that was a better fit for the data. These modi- CFI = 0.955; TLI = 0.938; RMSEA = 0.07; and HOE-
fication indices included strategic planning, greenness, resil- LTER = 83). We found that these variables, which had
iency, and innovation. After taking out these four observed a high contribution to the modification indices, could be
variables—strategic planning (in practice), environmental an accurate representation of the current situation. Strate-
friendliness (in outcome), resiliency (in outcome), and gic planning and SBP are two practices lacking in China’s
innovativeness—a model that fits the data well has been small- and medium-sized enterprises (SMEs) (Troise et al.
developed (in outcome). 2022). Based on the data above, we can conclude that stra-
All of the Cronbach’s alpha values are more than 0.7, tegic planning, partnership, process integration, and ICT use
depicting that the structure is consistent. The practise value significantly influence practice. More importantly, to some
is 0.718, the outcome value is 0.840, and the performance degree, practice is positively related to outcome, while the
value is 0.709. The validity of the model is demonstrated outcome is positively related to performance.
by the fit indices, which are as follows: chi-square = 45.807, This study also shows that SBP is not an artifact exclu-
probability level = 0.068; Bollen-Stine bootstrap sively for large enterprises. Although the collected data did
p = 0.433; CFI = 0.955; TLI = 0.938; RMSEA = 0.07; and not fully support the initial model, the final model proposes
HOELTER = 83. that SMEs can work on three characteristics of sustainable
It was determined whether the model assumption held for business practices to obtain competitive advantages. The
the modified model. The conclusion drawn from the find- SMEs’ outcomes mainly reflect efficiency, agility, and secu-
ings is that the revised model exhibits serious deviations rity performance.
from normality distribution. In light of this, the chi-square
test will be carried out in conjunction with the bootstrap Common method bias
estimate. TLI = 0.938, CFI = 0.955, RMSEA = 0.07, and
HOELTER = 83 all show a consistent result, which further Since the data for this study were gathered through the use of
approves that the final model has a good fit to the raw data. the key informant method, common method bias is a poten-
This can be seen by further examining TLI, CFI, and HOE- tial issue that can lead to measurement errors. These errors,
LTER tests. TLI = 0.938, CFI = 0.955, RMSEA = 0.07, and in turn, have the potential to call into question the validity
HOELTER = 83. As shown in Table 3, each weight and load- of the inferences regarding the relationships between the
ing is of significant importance. hypotheses. In the first step of the process, a single-factor
We refer to this modified model as the final model. test developed by Harman was used to examine the possibil-
The proposed structural model was analyzed to test the ity of common method bias. According to the findings, no
hypothesis and determine whether the initial model had a single variable could be credited with adequately explain-
poor fit. We modified it and obtained a good-fit model after ing all of the variances. In addition to the Harman test, the
removing four observed variables (chi-square = 45.807, marker-variable technique was used. This was done because
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the Harman test tends to be quite conservative when detect- cannabis on the human body, you need to look no further
ing bias (Fleming et al. 2016). Although it had no theoreti- than these studies. When it came to measuring sustainable
cal association with any of the other variables in this study, performance, five items were selected.
the questionnaire that asked respondents, “Would you pre-
fer to visit Ha Long Bay during the national holiday this Statistical analysis procedure
year?” was used as a marker variable. When the effects of
the relationships between the marker variable and the other There was an online survey that could be completed and sub-
constructs were taken into account, the mean change in the mitted. Each of the responses received was given an initial
correlations between the primary constructs was only 0.03. scan using the SPSS 23 program. The procedure resulted in
As a result, it appears from the results of all of the tests that the submission of 756 questionnaires. Eighty-seven of the
have been outlined above that this study does not exhibit responses received were deemed ineligible for further analy-
common method bias. In addition to that, the study investi- sis based on the initial scanning of the responses and the fact
gated whether or not this study could be subject to multicol- that many of the questions had the same response (e.g., all
linearity. The maximum inner variance inflation value was of the questionnaires were strongly agreed or strongly disa-
2.48, which is a significant amount lower than the value of greed). As a result, 88.5% of the total completed question-
10, which is the “rule of thumb.” As a result, the degree of naires were valid, resulting in 669 questionnaires for analy-
multicollinearity in this study is practically nonexistent. sis. Using partial least squares (PLS), this sample size was
appropriate for the study (Miocevic 2021). Using the PLS-
Measures SEM technique, the structural model used in this study was
evaluated on a computer running the SmartPLS program.
An investigation of the relationship between technological Two primary stages of analysis were performed on the
innovation (inputs) represented by technological, organiza- final valid data, which were the questionnaires. The first
tional, and environmental factors, as well as green practices phases of the project focused on testing the adopted meas-
(processes) like green human resources management, green urement to ensure its validity. The tests for skewness and
innovation, green supply chain, and sustainable performance kurtosis ensured that the items being used had a normal dis-
was the primary goal of this study (as outputs). In addition tribution. The Cronbach’s alpha and composite reliability
to this, the study investigated the causal impact that techno- (CR) tests ensured that the study mode had reliable internal
logical innovation has on environmentally friendly practices consistency. Following that, the research model was vali-
and the impact that environmentally friendly practices have dated by using convergent and discriminant validity tests.
on sustainable performance. A survey instrument composed The multicollinearity test, which included both an inner and
of questions culled from previously developed surveys was an outer test, was performed with the variance inflation fac-
created to test this conceptual model. This survey was trans- tor (VIF) method before the structural equation modeling
lated into Arabic in order to confirm that all participants test. This was done to know whether or not any strong errors
understood the questions. In this case, the measurement was could occur as a result of the strong connections between the
made using perception, and the individual served as the unit latent variables.
of analysis. Each scale consisted of multiple dimensions and
had multiple levels. The level of technological innovation
was evaluated based on responses to 18 questions, which Analysis and results
were then broken down into three categories: environmen-
tal factors, organizational factors, and technological factors, Measurement assessment
each of which was evaluated based on responses to seven,
six, and five questions, respectively. Based on previous In mode A, the variables used for the research were meas-
research, these factors have been incorporated into the new ured using reflective one-dimensional variables of first and
study (Krasniqi et al. 2021). Twenty-two criteria were used second-order reflective types. The SEM-PLS methodology
to evaluate green practices during this period, which were was selected for this investigation because of the subsequent
then grouped into four categories: green technology, green considerations: (1) the landscape of the objects being reflec-
marketing, green human resources, and green supply chain. tive; (2) the design of the quantitative–predictive type of
Criteria for evaluating the effectiveness of green HRM were research; and (3) the size of the sample in addition to the
drawn from six sources (Barrett et al. 2021). In addition, robustness of the model with first- and second-order con-
five items taken from (Crovini et al. 2021) were used to structs. According to Le and Nguyen (2022) the constructs
evaluate green marketing, and five items were taken from and indicators of this research are classified as a part of the
(El Chaarani et al. 2021), were used to evaluate the green social sciences because they examine the actions and busi-
supply chain. If you want to know more about the effects of ness activities of SMEs’ front-runners. Reflective models are
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Environmental Science and Pollution Research (2023) 30:1540–1561 1551
INFT
for by an unnoticed variable known as the common factor
0.89
and the random errors associated with that variable. This
model assumes that measurement errors do not correlate
with any of the other variables, constructs, or other types of
R&R
errors. The latent variable cannot be directly observed in any
0.78
0.78
given situation. The only evidence that indirectly supports
the existence of the indicators is the pattern of correlations
between them. The indicators all have something in com-
GRND
mon and the fact that the chain of causality goes from the
0.70
0.54
0.62
construct to the measurements.
The two-stage approach was utilized when analyzing
the multidimensional constructs (of the second order). In
GRNM
order to accomplish this, the scores of the latent variable
0.74
0.54
0.56
0.61
were analyzed. These aggregate scores are used to model
the second-order construct after the first-order dimensions
have been estimated. This process is broken down into two
ENVA
stages. Using the SEM-PLS, the method based on variance
0.69
0.63
0.58
0.55
0.61
was applied to perform an analysis of the statistical data of
the anticipated theoretical model. The software SmartPLS
Professional version 3.3.5 was utilized to analyze both the
structural and measurement models. All of the first- and SOCA
0.73
0.45
0.39
0.35
0.45
0.47
second-order constructs had factorial loads that were either
very close to or significantly higher than the value of 0.707.
GHRM
Model validity
The bold values in the diagonal line represent the square root of the average variance extracted
0.81
0.32
0.40
0.51
0.39
0.41
0.41
In this study, a quantitative approach was taken, and the
technique known as CB-SEM (covariance-based structural
GSCM
0.81
0.48
0.36
0.35
0.46
0.47
0.38
0.37
0.40
Table 4 Square roots of AVE and factor correlation coefficients
0.74
0.45
0.39
0.31
0.36
0.52
0.42
0.41
0.38
0.42
GRNM
GSCM
GRND
not the scales are discriminant (Table 4). The fact that the
ENVA
SOCA
GRM
INFT
R&R
GIN
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squared correlation between them in every instance provides shown in Table 5. Therefore, in addition to the results of
evidence in favour of the measurement scales’ capacity to Harman’s single factor test deliberated earlier, these two
discriminate between different types of phenomena. results guarantee that there will not be any issues with
Second, compared to PLS-SEM, CB-SEM has some multicollinearity.
advantages. In particular, CB-SEM can distinguish between In Fig. 2, all of the model’s path coefficients (β) values
the measurement error and the manifest variable, enabling are displayed. To find out whether or not something is sig-
it to produce the most accurate estimate of the factor load- nificant, a bootstrapping algorithm with 5000 samples was
ings possible. One more benefit of using CB-SEM is that it used in PLS (Table 5). The t value was greater than 1.96,
can accurately identify the multicollinearity problem. This and the p value needed to be less than 0.05 to validate the
is made possible by the modification index tool associated hypothesis. The error probability for the β values was esti-
with this application (Caballero-Morales 2021). In con- mated to be 5% based on these two values.
trast to PLS-SEM, which does not offer this advantage, the The findings shows that organizational factors have a
CB-SEM methodology makes it possible for the researcher positive impact on green HRM, green innovation, green
to determine which components of the construct have the marketing, and a green supply chain. In addition, techno-
potential to have a negative impact on the meaning of the logical factors contribute to green HRM, green innovation,
construct. In addition, the construct reliability of CB-SEM green marketing, and green supply chain (= 0.33, 0.50, 0.17,
may be more reliable than that of PLS-SEM due to the pos- and 0.20, respectively). In addition, environmental factors
sibility of bias in the estimates of factor loading value pro- (= 0.22, 0.37, 0.25, and 0.41, respectively) increase green
duced by PLS-SEM. PLS-SEM has the potential for bias, innovation, green marketing, and green supply chain. Sus-
so this is not recommended. It is also clear that CB-effect tainable performance can also be improved by implementing
on construct reliability is more pronounced than PLS-when green HRM, green innovation, and green marketing strate-
SEM’s it comes to average variance extract estimates in vari- gies (= 0.41, 0.24, and 0.19, respectively).
ous samples and models. Furthermore, Kijkasiwat (2021) According to a p value of 0.109, environmental factors
claims that CB-SEM is preferred to PLS-SEM in parameter did not affect green human resources management. H 9 is
precision. As a result of using a consistent estimator, the also rejected because the green design has no significant
CB-SEM estimation method can produce consistent attrib- impact on sustainable performance (= 0.01; p 0.05). All
utes across different contexts. A questionnaire-based online remaining constructs had significant path coefficients ()
survey was used as the primary source of information. and p values. Thus, all remaining hypotheses were found
to be correct. Furthermore, the coefficient of determination,
Analysis of structural model R2, was used to evaluate the relationship between the latent
dependent variable (sustainable performance) and the total
Before the structural modeling test was carried out, the variance. GHRM, GIN, GR&R, and GSC each accounted
variance inflation factor (VIF) method attempted to rule for about 51.5% of the total variance, explained by techno-
out the possibility of any errors being caused by strong logical, organizational, and environmental factors, as shown
correlations between the latent variables utilized in the in Fig. 2. About 52.9% of the variation in long-term per-
study. Using PLS-SEM, a collinearity problem was indi- formance could be explained by the four factors mentioned
cated when the VIF was less than 3.3. The VIF values above.
(both inner and outer) that fall below this threshold are
Table 5 Hypothesis test results Hypothesis Path β coefficients T statistics P values Result
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are using new technology to produce and deliver products presently implementing novel policies, such as using skill for
during the COVID-19 pandemic. Additionally, they work their market tactics. In totaling, they are experiencing severe
with subcontractors and suppliers who adhere to environ- economic problems and inferring this from the fact that cor-
mental standards and participate in eco-friendly design porate tactic has a minor but significant negative impact on
and development. Researchers (reference) have previously business functioning. According to the theory of competitive
found a link between technological factors and green man- behavior, these findings support the use of business strate-
agement practices, and this new finding now corroborates gies in the face of external impacts from the COVID-19
their findings. pandemic. The theory of business resources and capabilities
Recent years have seen a rise in the number of busi- can now be used to explain these findings. SMEs’ lack of
ness professionals and academics who are interested in the managerial and financial capabilities are strong barriers to
concept of sustainability. In addition to concentrating on gaining organizational and financial advantages. It has been
the financial profits that can be made from their activities, hypothesized in studies of competitive behavior that risen
businesses need to take into account the effects that those net profit for businesses is a result of successful competition.
activities will have on both society and the environment RBV displays that businesses that successfully implement
(Elkington 1994; Elkington et al. 2004). It is possible that market and economic tactics are primarily capable to act so
by doing so, businesses will be able to cut costs, increase because of the quantity of physical and impalpable resources
effectiveness, maintain their business marketplace, and ulti- they have, which provides them with a modest benefit and
mately become practical contributors to both society and the eventually leads to more long-term financial achievement.
business market over a long period of time. Financial constraints can have an effect on how quickly a
We summarise an integrated sustainability framework and company adopts new products and market strategies as well
research model based on the resource-based view of the firm as on the adoption of innovative practices and economic
and literature in SCM, MIS, HRM, and sustainability. In indicators. Because of this, the market cannot expand as
this model, it is suggested that the integration of HR, SCM, quickly as it could Ahokangas et al. (2021). SMEs may
and IT resources is vital for businesses to advance sustain- have financial constraints or capacities and organizational
ability capabilities that enable them to deliver sustainabil- uncertainty, which may explain why a substantial relation-
ity value to stakeholders while all at the same are adding ship between market and economic techniques and novelty
wealth and gaining sustainable competitive advantages for has not been located. Ulvenblad and Barth’s (2021) find-
the firms themselves. Specifically, our proposals argue that ings align with our findings, confirming the importance
different types of IT resources, such as automation, informa- of learning from consumers, opponents, and suppliers in
tion, transformation, and infrastructure, can make distinct identifying chances and improving innovation controlling
contributions to businesses in developing sustainability in SMEs. However, these challenges can inspire managers
capabilities for various sustainability goals spread across the of small- and medium-sized enterprises (SMEs) to be more
four quadrants of the integrated sustainability framework. creative and, of course, to put the focus on promoting inno-
Our study adds several important new insights to the body vation (Belas et al. 2021). According to our findings, SMEs
of knowledge we already possess regarding environmental have become more vulnerable to the COVID-19 pandemic,
responsibility. according to Barabaschi et al.’s (2022) findings. SMEs are
In this section, we will discuss the most important find- struggling to keep their financial health in check and grow
ings from the research study that was conducted based on innovative marketing strategies, which have resulted in a
the theory of competitive behavior and the theory based significant and critical company’s competitive wear, to the
on resources and capabilities. The following describes the point where they are only capable of surviving and covering
findings obtained from the testing of the theories contained their operational expenses, which has a severe impact on
within the suggested theoretical model to address the aims their financial returns.
and concerns raised by the investigation. The findings of hypotheses 4 and 5 are discussed in the
The first section will examine hypotheses H 1, H2, and second block, where they are shown to have significant and
H3. According to the findings, SME competitiveness has not favorable effects. Based on these findings, we can conclude
been boosted by financial or market-oriented business strat- that small- and medium-sized enterprises in this area are
egies. According to Ulvenblad and Barth (2021), Business engaged in a fiercely competitive tussle. The organizations
strategy has no significant impact on the management of known as SMEs are providing support for this attack of the
innovation or SMEs’ economic indicators, according to these COVID-19 pandemic. Despite Mexico’s lack of economic
findings. To survive in a highly competitive market during incentives to combat the global economic crisis, this is still
a pandemic, businesses often shift their focus to new kinds the case. In order to maintain a competitive edge in the
of activities that permit them to achieve outcomes quickly. market, it is essential to keep an eye on and manage inno-
This suggests that small- and medium-sized businesses are vation. As a result of their ability to maintain a reasonable
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Environmental Science and Pollution Research (2023) 30:1540–1561 1555
amount of sales and financial advantages, they can meet our findings. SMEs in underdeveloped regions, on the other
their commitments (Saguy 2022). Considering that those hand, have unreliable economic strategies and a deprived
in charge of running SMEs are putting their innovative and ethos of economic health, which results in economic indi-
creative skills to adapt to the market’s shifting dynamics — cators that are neither profitable nor sustainable; Pattinson
from physical markets to virtual ones — these results are et al. (2022) demonstrated this.
in relevent with the theory of resources and competencies. In totaling to the basic hypotheses on which the model
The findings support the theory of resources and competen- was based, two additional control variables were examined.
cies. Pattinson et al. (2022) found that management models According to the results, small- and medium-sized busi-
and processes need to be adopted and implemented to fos- nesses in the zone can improve their innovation practices and
ter organizational innovation. As a result, the companies’ overall business performance by conducting business online.
employees and managers must put in a lot of effort, which SMEs adopted and applied technological innovation during
helps the companies become more competitive and deliver COVID-19 by enhancing their sales and marketing practices
better results over time. Researchers Molina-Ibáñez et al. via social linkages and digital platforms. On the other hand,
(2021) found that intangible assets and corporate strategy small- and medium-sized businesses adapt to new ways of
play an important role in determining a company’s inno- working by implementing home offices as part of their inno-
vation and financial performance. Our research results are vative strategies. In order to meet current global challenges,
very similar to theirs. SMEs during the COVID-19 epi- these actions and strategies are commanding firms to opti-
demic were more inventive and were able to establish new mize their innovation management methods.
kinds of promoting tactics and acclimate their goods to Work–life balance is a hot topic right now, and the
the requirements of customers, as Canhoto et al. (2021) COVID-19 crisis may be the catalyst for a paradigm shift in
reveal. These factors permitted them to stay in the market corporate culture. This is true not only for established busi-
and achieve satisfactory financial outcomes, which allowed nesses but also for those who have started their businesses
them to steady their processes and maintain their profitabil- themselves. Associations and people that work jointly for a
ity. As a result of the current market’s shift to the digital common goal can achieve great things. Many of the world’s
age, studies like those done by Kukanja et al. (2022b) show most challenging issues could benefit from the expertise
that ambidextrous innovation (both disruptive and incre- of people in other countries. Fresh inspiration for creative
mental) is a daily occurrence in SMEs. endeavors can be found when different ideas are brought
The outcome of the H6 experiment is discussed in the together in new ways. As a result of companies realizing that
third and final blocks. According to the findings, the eco- they cannot do everything on their own, they have formed
nomic impact had a moderately positive and statistically partnerships, collaborations, and alliances with like-minded
significant effect on the operational performance of SMEs organizations. The illustration of people getting together to
in this region. Because of these findings, we can conclude face a shared opponent is previously improbable partner-
that the business abilities and competitive behavior of these ships. One example of society coming together to face a
companies’ managers have enabled these businesses to common adversary is previously impossible partnerships.
keep their economic fitness in a balanced state (in terms of Remote innovators rely on different information, such as
the level of debt, liquidity, and economic solvency), while information based on technology or science, that is fewer
also being able to cover their operating expenses and costs. responsive to time than market relevent information.
Innovative actions (improvements in products, processes, Thus, implementation, open innovation, and dynamic
and management) and fresh sales networks like the use of practices constitute a challenge for businesses on both
social linkages and digital networks have permitted SMEs organizational and financial levels. Telecommuting and
to invest in these strategies to enhance their marketing prac- other forms of remote work can serve as a catalyst for open
tices within new sales networks. Due to the actions taken innovation and the development of latest business techniques
by these companies, they have successfully maintained and by facilitating the gathering of new information regarding
gained new clientele to boost sales and profits (Ulvenblad society and markets. Businesses can precisely syndicate cli-
and Barth 2021). Thanks to these actions, they have been ent feedback while also permitting customers to be more
able to improve their marketing practices through the use deeply engaged in the design development and management
of new sales networks, such as digital programs and social of product cycles.
linkages. Resource-based theory and competitive behavior In conclusion, we have included this section because
theory both support these findings. As Belas et al. (2021) we believe it is very significant to examine the findings of
found, small- and medium-sized enterprises (SMEs) in most the multigroup investigation incorporated into the study.
regions face high levels of debt and cannot generate a profit In order to achieve this objective, the categorical variable,
from their operations, which is in line with our findings. which consists of family businesses and non-family busi-
Research conducted by Barabaschi et al. (2022) is similar to nesses, was incorporated into the proposed theoretical model
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1556 Environmental Science and Pollution Research (2023) 30:1540–1561
to test its effects. In order to lessen the impact of the global innovation, green human resource management, and green
economic crisis, managers of non-family businesses were marketing when small- and medium-sized businesses are
found to have paid particular attention to implementing inno- looking to achieve sustainable performance. Since envi-
vative strategies. This was revealed by the fact that they were ronmental responsibility and commitment are key compo-
the ones who express the most responsiveness to the research nents of sustainable development, small- and medium-sized
and development of these strategies. The multigroup study’s enterprises (SMEs) must devote more time and resources
findings, which revealed that family-owned and non-fam- toward this goal during a pandemic by adopting recruitment
ily-owned businesses had been hit hard by the COVID-19 strategies based on environmental standards, such as being
pandemic, should be cited because they are critical to under- environmentally responsible and committed. It also neces-
standing the situation. Within the scope of this investigation, sitates higher investment in research and development to
we took a look at two important strategic moves that can improve ecological efficiency and better-quality goods or
be made as part of open innovation. The research on open services to encounter new environmental standards. This
innovation strategies in family and non-family businesses for necessitates the use of updated technology in the produc-
small- and medium-sized enterprises is completely incom- tion process and the delivery of service. Businesses of all
patible. In some circles, non-family businesses are thought sizes, especially small- and medium-sized ones, can ben-
to be better able to foster innovation and make larger capital efit from the pandemic by using environmentally friendly
investments than family businesses. As a result, open inno- products and promoting their services and goods via digital
vation is more common in non-family businesses, giving communication methods that promote an internal culture of
them the appearance of being more open to collaborating reducing emissions, resource consumption, and the environ-
with the outside world and capturing new knowledge. A mental impact of their products. SMEs are better equipped
company’s financial performance can be affected by its abil- to weather economic downturns and continue to reduce haz-
ity to improve its innovative practices (Molina-Ibáñez et al. ardous waste, increase the use of environmentally friendly
2021). The findings of our multigroup analysis are reflected materials, improve environmental compliance, and empha-
in these postulates. size green human resource management and green innova-
tion due to these efforts.
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Environmental Science and Pollution Research (2023) 30:1540–1561 1557
performance of small- and medium-sized enterprises is been tainted. These restrictions include the study’s focus on
strongly supported by this combination (SMEs). Sustain- Brazilian respondents and the sample’s overall size.
able human resource management should be top of mind for
Omani SMEs. For Omani SMEs to succeed in green mar-
keting strategies, they need to focus more on environmental Limitations and future research
considerations, according to the findings of this study. When
developing a strategy for green innovation, technological Despite the significant contributions it makes, the current
factors are the most important to consider, as expected. study has some shortcomings that should be considered.
Even though there were two waves of data collection, it was
Practical and academic implications impossible to deduce any causal correlations between the
different variables. As a result, the validity of such associa-
This study contributes to the existing body of academic tions can be strengthened through the conduct of a longitudi-
research by providing a conceptual framework that simulta- nal study. Second, during the current COVID-19 pandemic,
neously integrates the constructs of technical, human/organi- this study investigated Vietnamese manufacturing SMEs’
zational, green product development practices, and company industrial hygiene (IO) and environmental practices. This
performance. According to the findings, the importance of study relied on self-reported data from managers because,
considering technical aspects of GPD and environmental third, it was difficult to obtain objective data on environ-
management, in general, is reinforced by previously pub- mental performance from manufacturing SMEs in Vietnam
lished research (Canhoto et al. 2021). These findings sup- (because of privacy issues), so the study relied on data
port the hypothesis that environmental management can be reported by the managers themselves. In the future, research
competitive. This is because GPD may have an impact on should collect objective data so that environmental perfor-
performance. Despite this, the findings of this study do not mance can be evaluated. A further potential limitation of the
support the hypothesis that human and organizational fac- study is that it was conducted in a geographically specific
tors significantly influence GPD. Research on GHRM and context. Because this study was carried out with Vietnamese
green organizational culture will benefit from these find- small- and medium-sized manufacturing companies, it may
ings. Organizations must prioritize environmental manage- have some restrictions in its applicability in other countries.
ment’s human component and provide more direct support Accordingly, from the perspective of institutional theory,
for the field’s most cutting-edge environmental management there is a need for additional research to be carried out in
practices. These new perspectives on improving these per- nations that have a variety of political systems, approaches
formance indicators have not been highlighted in previous to international relations and international trade, cultural
research. Still, the findings of this study show a connection values, and environmental regulations.
between GPD and the three different types of performance
(e.g., and reliability and GPD or success and GPD in begin-
Author contribution Lijie Du, conceptualization, data curation, meth-
ning new products). odology; Asif Razzaq, writing — original draft, data curation, visu-
Environmental management and the adoption of GPD alization, supervision; Muhammad waqas, editing, writing — review
practices are suggested to organizational managers as poten- and editing, and software.
tial influences on a company’s performance, including mar-
ket, functional, and environmental outcomes. Performance Data availability The data can be available on request.
in all three areas is included here. As a result, when working
to improve one’s performance, GPD is crucial. Study shows Declarations
that businesses must invest in HOA, which is not always the
Ethics approval and consent to participate We declare that we have no
case, based on the technical aspects. GPD implementation is human participants, human data, or human tissues.
not limited to large companies, businesses with an EMS, or
companies under environmental pressure from green regula- Consent for publication N/A
tions, according to the findings of this study. Is it something
Competing interests The authors declare no competing interests.
that could be implemented and has a wide-ranging impact
on performance is GPD?
There must be more research into the link between human
factors and GDP and the development of strategies to make
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