Green is the New Gold: How Green Innovation Builds Organizational Reputation in the context of Beverage Companies in the Kurdistan Region, A Quantitative Study.

Abstract

This study aims to investigate how different dimensions of green innovation shape and influence how companies are perceived by stakeholders in the context of the selected three major beverage companies operating in the Kurdistan Region of Iraq and if environmentally friendly products and processes can impact the way stakeholders perception of how they view a company. Based on Stakeholder Theory and Resource-Based View, the study argues that green innovation represents a tangible resource that can assist companies to gain a competitive edge. The methodology of the research is quantitative, and data were collected from employees of three major beverage companies, randomly after access was granted by the Human Resources Managers. The researchers collected a total of 293 responses through an online structured questionnaire, and the data collected were statistically analyzed using PLS-SEM, known as SmartPLS software, to test the research hypotheses. The results show that both green product innovation and green process innovation dimensions have a positive and significant effect on organizational reputation, explaining 53% of its variance based on the R2, and both independent variables (Product and Process Innovations) as dimensions of green innovation have a significant effect on organizational reputation, with both P=0.000. The researchers assessed the validity and reliability of the scales to ensure data accuracy and consistency. These findings confirm that sustainable and green practices are not only environmentally responsible but also strategically beneficial for reputation building, and they contribute to the body of literature on green innovation in the low-tech industry, especially in developing economies.