Drivers of Eco-Innovation in the Italian Wine Industry

Abstract

The importance of eco-innovations for industry has been rising exponentially in recent years. However, even if recent trends show that firms are increasingly committed to eco-innovations, there is little knowledge on why and how companies integrate environmental sustainability into new product development. In this paper we offer a comprehensive analysis of the drivers of eco-innovation in the Italian wine industry on the basis of a large survey on Italian wine producers. We analyse the impact of firms’ characteristics and their technological and organizational capabilities on the introduction of eco-innovations. The relevance of the drivers in influencing the probability of introducing eco-innovations is measured with a latent class econometric model. Our evidence shows that business characteristics and firms’ scientific search processes and their general innovative behaviour are key drivers of eco-innovation. Therefore, according to our results, firms’ commitment to eco-innovate does not differ substantially from other types of innovation activities.