Green Innovation, green entrepreneurship, and Vietnamese SME development: the role of market turbulence

Abstract

Micro, small and medium enterprises (MSMEs) are significant part of the national economy, which contributed up to 40% of GDP. However, in today’s globalized world, the competition in the marketplace is increasing complex. Besides, the state attention is more concerned with sustainable environmental. Thus, Vietnamese enterprises, especially MSMEs or small medium enterprises (SMEs) that want to stand up and develop should pay attention to innovation not only consider business opportunities but also benefits of being environmental friendly business. The goals of this study are to investigate the impact of green innovation (GI) on SME development (SMED) in the turbulent market conditions with mediation effect of green entrepreneurship (GE). Based on the research results, the study provides useful solutions to help SMEs development and help policy makers adjust appropriate policies. The activating of SMEs activities in Ho Chi Minh business City is corresponded to the demographic census of this study. A sample of 280 senior managers of SMEs is surveyed for the study. The questionnaire tool is used to measure the research variables. A five point Likert scale is used to measure the questionnaire. To test the hypotheses, the study use SEM method with the support of Amos software. The primary contribution of this study is empirically examining the role of GE in relationship between GI and SMED in market turbulence. However, this study use convenience sample of Ho Chi Minh City. Thus, limitation of this study is inevitable. Cross-region sample and undergraduate will be conducted for the further research