Absorptive capacity boosts environmental strategy for competitive advantage in industries.
The study looked at how absorptive capacity, innovation performance, and environmental strategy affect competitive advantage in the garment and textile industry in Indonesia. They found that absorptive capacity positively influences innovation performance and environmental strategy. However, only environmental strategy has a significant positive effect on competitive advantage. Innovation performance does not directly impact competitive advantage. Absorptive capacity affects competitive advantage through innovation performance, but not through environmental strategy.