Assessing Corporate Social Responsibility's Impact on Green Innovation Within the Spanish Wine Industry: A Structural Equation Modelling Approach

Introduction

The dialogue surrounding environmental sustainability has united environmentalists, corporate figures, and scholars around the significant influence that business practices have on the planet's ecological well-being. This influence manifests through various channels, such as the exacerbation of climate change, degradation of air quality, overexploitation of natural resources, and use of toxic substances, as underscored by Soceanu et al. (2021). In light of these impacts, integrating environmental preservation into corporate strategies has emerged as an essential objective.

The growing emphasis on organizations to implement socio-environmental tactics has captured the attention of the academic community, with a keen focus on 'green' practices. This includes initiatives like environmentally oriented HR policies, sustainable supply chain operations, the adoption of reverse logistics, and fostering environmental innovation, as highlighted by Seman et al. (2019). Such a shift underscores the evolving notion that achieving a competitive edge today requires a holistic perspective that balances economic success with social and environmental stewardship. Consequently, this research zeroes in on Green Innovation Performance (GIP) as a crucial indicator for assessing a company's environmental stewardship via Green Innovations (GIs), steered by Corporate Social Responsibility (CSR) efforts. The critical contribution of GIs to both a firm's sustainable growth and its overall performance has been well-documented, with studies by Qiu et al. (2020) and Yusliza et al. (2020) affirming their significance for enduring corporate success.

Within the contemporary corporate landscape, Corporate Social Responsibility (CSR) is increasingly recognized as a multifaceted strategy that seeks to align business operations with societal, environmental, and economic goals, a concept elaborated by Hernández et al. (2020). While the economic benefits of CSR have been extensively studied, as noted by Javed et al. (2020), its environmental aspects, especially its effects on Green Innovation Performance (GIP), have not been as thoroughly explored. This study aims to fill this research void by investigating CSR's effect on GIP, positioning CSR as a pivotal factor influencing GIP. Moreover, it delves into the roles of Green Intellectual Capital (GIC) and Knowledge Management (KM) as mediators in the CSR-GIP linkage, drawing on theories from the Intellectual Capital View (ICV) and the Knowledge-Based View (KBV).

This research is specifically focused on the wine industry in Spain, a sector with significant influence on the nation's economy, society, and environment, as underscored by Marco-Lajara et al. (2022a). The industry faces increasing demands to improve its environmental sustainability in light of the adverse effects its practices can have, including pollution from wine production, as Goncharuk (2017) emphasizes. Challenges such as the use of environmentally damaging cleaning agents, as Benedetto (2013) points out, and the environmental costs associated with bottling and transportation, including elevated CO2 emissions and packaging waste, as Bonn et al. (2020) discuss, underscore the urgent need for greener practices in this sector.

Furthermore, the wine industry faces external challenges such as rising energy costs, water scarcity, heightened environmental consciousness among stakeholders, and the impacts of climate change, as described by Annunziata et al. (2018). In this scenario, the study is crucial as it examines how Corporate Social Responsibility (CSR) practices in wineries influence their Green Innovation Performance (GIP), vital for the industry's economic sustainability and societal legitimacy in Spain. The research aims to address four key Research Questions (RQs): the potential effects of CSR on GIP (RQ1), the impact of Green Intellectual Capital (GIC) as a mediator in the CSR-GIP relationship (RQ2), the role of Knowledge Management (KM) as a mediating factor in the CSR-GIP link (RQ3), and suitable CSR practices for winery managers to enhance GIP (RQ4). To explore these questions, a theoretical model based on literature review is developed and tested using structural equation modelling, with data collected through a questionnaire from September 2021 to January 2022.