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This paper investigates the strategic dimensions influencing the adoption of environmental inno-vations (EIs) in small and medium-sized manufacturing enterprises (SMEs) in Mexico City. The study aims to understand the fundamental strategic dimensions defining eco-innovation and ex-amine how SMEs manage the complexities of incorporating these practices. Employing a mixed methods approach with documentary analysis and expert interviews; the study identifies key factors influencing EI adoption through causal maps and the Viable System Model. Findings high-light the significance of external and internal factors such as competitive pressure, economic con-straints, technological capabilities, political support, and social influence. This integrative approach emphasizes the importance of adaptability and responsiveness, presenting eco-innovation as a source of sustainable competitive advantage for SMEs.
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Barragán-Hernández et al. (2024) studied this question.
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