Assessing the Impact of Green Entrepreneurial Activities on Organizational Financial Performance: An Employee's Perceptual Approach

Abstract

In recent decades, there has been a significant increase in global concern regarding the impact of economic activities on the environment and climate change. In this context, green entrepreneurship has become a growing trend in the business world. One of the most important benefits of green entrepreneurship is enhancing energy efficiency and resource utilization. By reducing the resources required to produce a product or deliver a service, green entrepreneurship can contribute to cost reduction and operational efficiency improvement. By implementing sustainable business practices, organizations can enhance their image in the eyes of consumers and attract new customers who are environmentally conscious. This chapter addresses the identified gap in the literature regarding the influence of green entrepreneurial activities on organizational financial performance from the perspective of employees in organizations engaged in such activities (waste reduction, waste recycling, energy conservation, air pollutant reduction, packaging reduction, sustainable transportation). Organizational financial performance is measured through perceived performance compared to the previous year and performance relative to expectations. Two visible financial indicators have been selected for analysis: turnover and net profit.

Citation

Bocean, C.G., Vărzaru, A.A., Berceanu, D., Simion, D., Mangra, M.G. and Cazacu, M. (2024), "Assessing the Impact of Green Entrepreneurial Activities on Organizational Financial Performance: An Employee's Perceptual Approach", Grigorescu, A. and Andrei, J.V. (Ed.) Entrepreneurship and Development for a Green Resilient Economy (Lab for Entrepreneurship and Development), Emerald Publishing Limited, Leeds, pp. 251-275. https://doi.org/10.1108/978-1-83797-088-920241010