Strategic Pathways to Sustainability: Insights from Green Innovation Research: Literature Review

Abstract

Green innovation strategy has emerged as a critical paradigm for organizations aiming to balance economic growth with environmental sustainability. In the field of management strategies, this concept addresses how firms align environmental initiatives with competitive strategies to achieve sustainable organizational growth. This literature review examines green innovation strategies through the lens of strategic management, focusing on their integration into corporate frameworks. It seeks to explore how strategic management practices enable organizations to leverage green innovations as a core element of competitive advantage. The review employs the PRISMA (Preferred Reporting Items for Systematic Reviews and Meta-Analyses) guideline for a systematic approach. Relevant studies in strategic management and environmental innovation were identified through comprehensive database searches, followed by a rigorous screening and synthesis process. The analysis of 25 selected studies revealed critical findings on the adoption and implementation of green innovation strategies. Key drivers include leadership vision, regulatory frameworks, and stakeholder engagement. Findings highlight that green innovation contributes to enhanced operational efficiency, customer loyalty, and long-term profitability. However, barriers such as resource constraints, cultural resistance, and technological limitations persist. Studies also emphasize the role of cross-sector collaboration and transformational leadership in overcoming challenges and achieving sustainable outcomes. This review underscores the role of management strategies in driving the adoption and success of green innovation initiatives. It highlights critical gaps in strategic alignment and provides insights for future research on integrating green innovation into broader organizational strategies to enhance resilience and long-term sustainability.