An absorptive capacity model for green innovation and performance in the construction industry

Applying the model of absorptive capacity (ACAP), antecedents, predictors and moderators for green innovation and performance in the construction industry are investigated. The aim is to identify mechanisms that influence green innovation and environmental performance in a construction company. Data come from a questionnaire survey assessing environmental attitudes, management and performance within the Swedish construction industry. For data analysis, linear regression analysis was used. From testing the ACAP theory and model, it was concluded that it has a promising potential in explaining mechanisms behind green innovation and performance. The application of ACAP has resulted in a revised ACAP model, green ACAP. Findings indicate that organizations can affect their capacity to absorb green innovations and improve their business performance by focusing on three predictors of green business advantage: acquisition, assimilation and transformation. As such, the green ACAP can serve as a framework for focused efforts within the construction industry.