The fashion, textile, and clothing industries are at a critical juncture, confronted with mounting pressure to adopt sustainable practices while simultaneously addressing the rising consumer demand. Digital innovation and smart manufacturing technologies are emerging as transformative forces, facilitating waste reduction, improving operational efficiency, and promoting a shift toward a circular economy. Contemporary discourse frequently reports and examines various technological applications within the context of complex fashion projects. Nevertheless, the extent to which digital technologies empower sustainability in fashion and alter traditional workflows remains inconclusive in existing literature. Consequently, systematic categorization is essential to elucidate the principal application domains alongside their respective advantages and limitations. This chapter explores significant technological advancements – such as artificial intelligence (AI), the Internet of Things (IoT), 3D printing, blockchain, and digital twins – and their role in optimizing design processes, production, and supply chain transparency. The research method encompasses a comprehensive literature review supplemented by reports and news sources, complemented by case studies about the recent implementation of digital technologies to enhance the sustainability in fashion brands. The analysis focuses on how these digital innovations contribute to sustainability by minimizing resource consumption, enabling on-demand manufacturing, and improving traceability. Furthermore, the chapter addresses challenges in technology adoption, including high implementation costs and workforce reskilling, while outlining emerging trends shaping the industry’s future. The findings identify four primary domains in which digital technologies are empowering the fashion industry: AI-driven design analysis, IoT and smart factory applications enhancing manufacturing processes, 3D printing and digital textiles, and blockchain technology safeguarding ethical practices. Although debates persist regarding the efficacy of digital technologies in supplanting conventional methods, several case studies demonstrate readiness of digital technologies to assist industrial sustainability. For instance, trend prediction and personalized style consultancy services have reduced product returns and increased customer retention by approximately 25%. Additionally, robotic systems in smart factories respond to orders 90% faster than human labor and reduce warehouse labor costs by 30%. Enhanced material traceability within supply chains contributes to a 30% reduction in fabric waste. The findings underscore the potential of digital transformation to harmonize economic growth with environmental responsibility, thereby fostering a more sustainable fashion ecosystem.
Felipe Bastos dos Reis, Adriana Marotti de Mello, João Valsecchi Ribeiro de Souza
Industry 4.0 technologies are increasingly recognized as important contributors to the transition toward a circular economy, yet their association with circular business models (CBMs) remains poorly understood. This paper examines how Industry 4.0 technologies contribute to CBM implementation. Drawing on a systematic literature review of 34 papers and an analysis of 13 illustrative cases from the Circular X and Ellen MacArthur Foundation databases, the study maps the relationship between technologies, applications, and CBM patterns. The findings identify seven core technologies, Artificial Intelligence, Big Data, Cloud Computing, Internet of Things, Additive Manufacturing, Augmented Reality, and Blockchain, and 14 key applications linked to circular business models, such as data integration, predictive maintenance, smart energy management, and supply chain traceability. The results suggest that technology adoption alone is not necessarily associated with circular outcomes. Most applications correspond to efficiency-oriented strategies, particularly the reduction of material and energy consumption, indicating that current uses of Industry 4.0 in CBMs remain strongly oriented toward digital optimization. When technologies are not aligned with circular value propositions, efficiency gains may generate rebound effects, potentially increasing environmental impacts. This study advances the circular economy literature by providing a configurational perspective on the implementation of Industry 4.0 technologies within CBMs and by mapping how digital capabilities contribute to specific circular applications. Practically, the findings offer guidance for managers seeking to prioritize technology investments and move circular business strategies beyond operational efficiency toward circular transformation. Overall, the study contributes to a more comprehensive understanding of how the association between Industry 4.0 technologies and circular transformation, rather than digital optimization alone, appears stronger when their applications align with CBM patterns and circular value propositions.
Abstract Integrating blockchain technology into green building (GB) projects presents substantial opportunities to improve transparency, traceability, and collaboration in the construction sector. However, blockchain’s successful implementation into GB projects remains limited due to the lack of a clear understanding of the critical success factors (CSFs) that facilitate effective adoption. This study identified and classified the CSFs affecting blockchain’s implementation within the GB context using a quantitative approach. A systematic literature review (SLR) and expert consultations initially were performed to establish a preliminary list of 27 CSFs. A validated questionnaire survey subsequently was conducted among industry professionals and academic specialists in GB and digital technologies, resulting in 115 valid responses. Data were examined through exploratory factor analysis (EFA) to identify the fundamental dimensions influencing the implementation of blockchain success. Emergent findings identified five critical factor groups, namely technology-related, organizational and strategic–related, government-related, stakeholder engagement–related, and environmental and GB alignment–related, which collectively explain 74.59% of the total variance. The reliability analysis validated internal consistency among all extracted factors. Practically, the results will support policymakers in designing regulatory and incentive mechanisms, assist organizations in developing strategic adoption plans, and help project stakeholders align blockchain initiatives with sustainability objectives, thereby accelerating digital transformation within the GB sector.
Huriye Gonca Di̇ler, Münevvere YILDIZ, N. Serap VURUR, Letife Özdemir
In today's world, sustainability strategies play a critical role in the transformation of global economies and industries. Green Economic Growth (GEG), which prioritizes environmental factors, is gaining increasing importance. Financial and green innovation are identified as the main driving forces behind GEG. However, research on the effects of these factors in OECD countries remains limited, and existing findings often show inconsistencies regarding the direction and magnitude of these effects. This study aims to comprehensively examine the impact of financial and green innovation on GEG in OECD countries. Using annual data from 15 OECD countries for the period 1996–2021, panel data techniques are applied. Cointegration tests are conducted to determine the presence of long-run relationships among the variables. Subsequently, long-run coefficients are estimated using the panel quantile regression method. The robustness of the findings is tested through OLS and fixed effects models. Additionally, causality tests are employed to explore the directional relationships between the variables. The results indicate that green innovation has a positive long-run effect on GEG, whereas financial innovation exerts a negative impact. Causality tests reveal bidirectional relationships among all variables. Policy recommendations include the promotion of green bonds and sustainable finance instruments, support for green investments through regulations that take environmental risks into account, and the expansion of access to green projects via technologies such as blockchain-based carbon markets. This research provides valuable insights for policymakers in designing more effective strategies to foster sustainable economic growth.
Purpose The purpose of this paper is to apply the integration of signaling theory and self-congruity theory to explain the mechanism by which blockchain-enabled traceability and transparency influence consumers’ willingness to pay a premium for sustainable fashion products. Design/methodology/approach Quantitative data was collected through an online survey with 622 participants in Vietnam using snowball sampling. The participants were those who had awareness or experience with sustainable fashion and blockchain technology. The research model and hypotheses were tested using partial least squares structural equation modeling (PLS-SEM) techniques using SmartPLS 4 software. Findings The study found that blockchain signals strongly activate four types of symbolic meanings (status, environment, innovation and fashion). These symbolic meanings reinforce identification with personal identity and feelings of brand authenticity, which in turn promote willingness to pay a premium. Notably, the results showed that hyperopia did not play a moderating role in the relationships between psychological mechanisms and willingness to pay a premium. Originality/value This study contributes by extending signaling theory and self-congruity theory to a blockchain-enabled sustainable fashion context. Rather than proposing a fundamentally new psychological mechanism, it shows how blockchain-based traceability and transparency can function as credibility-enhancing signals that activate established symbolic, identity-related and authenticity-based processes associated with willingness to pay a premium.
Environmental Sustainability in Business
Consumer Behavior in Brand Consumption and Identification
This study examines whether green finance promotes green development across Chinese prefecture-level cities from 2005 to 2019. We find a positive association between green finance and green development using panel regressions with city and year fixed effects. This result remains robust after accounting for potential endogeneity and implementing a series of robustness checks. Further heterogeneity analysis shows that this positive effect is stronger in regions characterized by high fiscal capacity and within the Yangtze River Economic Belt. Additionally, green finance drives regional green development by promoting green innovation. Environmental decentralization moderates the relationship, with a stronger positive effect at higher levels of decentralization. This study offers empirical evidence regarding how green finance shapes green development outcomes.
This study examines how fiscal governance structures influence corporate environmental performance by exploiting China’s 2003 tax delegation reform as a quasi-natural experiment. The reform transferred corporate income tax collection authority from locally-governed Local Tax Bureaus (LTBs) to centrally-managed State Tax Bureaus (STBs) based on a firm registration date cutoff of January 1, 2002. Using a Regression Discontinuity Design (RDD) with micro-level panel data from Chinese manufacturing firms (2004-2008), we identify the causal impact of tax administration assignment on firm-level energy efficiency, measured as output per unit of energy consumed. Our findings reveal that firms under LTB administration exhibit 8-12% higher energy efficiency compared to comparable firms under STB administration. This effect persists across multiple robustness checks, including alternative bandwidth specifications, placebo tests using unaffected firms, and alternative energy efficiency measures. Mechanism analysis demonstrates that the energy efficiency gains stem from three primary channels: (1) relaxed financial constraints enabling greater investment capacity, (2) transition toward cleaner energy sources with reduced coal dependency, and (3) increased adoption of energy-saving technologies and green innovation. These effects are particularly pronounced among financially constrained firms, non-exporters, and firms in regions with higher fiscal capacity or stronger environmental pressure. These results contribute to three strands of literature. First, they provide novel evidence that fiscal administrative structures—traditionally viewed as purely revenue instruments—can have substantial unintended environmental consequences. Second, they demonstrate how local fiscal flexibility may create conditions conducive to green technological upgrading by alleviating financial frictions. Third, they extend the Porter Hypothesis to the institutional level, showing that supportive governance arrangements can simultaneously enhance economic efficiency and environmental sustainability. The findings suggest that integrating environmental performance metrics into local tax administration evaluation frameworks could align fiscal incentives with sustainability objectives, offering a promising pathway for emerging economies to achieve coordinated economic and environmental goals. • LTB oversight improves firm energy efficiency by 8–12% over STB control. • Lenient tax enforcement eases financing constraints for cleaner energy adoption. • Environmental benefits are stronger in fiscally surplus or high-pressure cities. • Financing-constrained and non-exporting firms benefit most from LTB regulation. • Study links decentralized tax control to unexpected environmental improvements.
We examine how capital allocation responds to the technological abatement of a major environmental externality in cryptocurrency markets. Exploiting 34 million account-level trades around Ethereum's The Merge, a quasi-natural experiment that reduced the asset's carbon footprint by over 99.9%, we examine the presence of environmentally conscious (green) investors. To disentangle environmental concerns from general yield-seeking or reactions to altered protocol tokenomics, we identify these investors ex-ante by their revealed preference to divest when public attention to global warming escalated during a pre-event quiet period. Results show that these sophisticated green investors apply a significant brown discount pre-Merge, purchasing less Ether than their peers. Interestingly, this gap closed entirely post-Merge, indicating the rational removal of an environmental penalty rather than a market-wide pursuit of new staking yields. A decomposition of returns reveals that green investors earned superior financial gains relative to the non-green peers pre-Merge. However, the advantage vanished thereafter, indicating that the trading activeness reflects the sophisticated pricing of environmental transition risk rather than pure altruism. Overall, we argue that technological abatement can reshape capital flows and thus serve as a powerful complement to environmental regulation.
Marta Massi, Andrea Vocino, Chiara Piancatelli, Paola Cillo · 5 authors
Non-fungible tokens (NFTs) are revolutionizing luxury fashion by offering digital experiences that promise innovation, exclusivity, and sustainability. While luxury brands increasingly experiment with these technologies, little is known about how they influence consumer perceptions of sustainability, brand legitimacy, and purchase likelihood. Drawing on dematerialization theory, institutional and legitimacy theory, and the sufficiency model, this research investigates NFTs’ role in promoting sustainable consumption and brand legitimacy. Building on insights from a preliminary qualitative study, three experiments test how product type (non-NFT, NFT, digital twin) affects purchase likelihood and how perceived product sustainability and brand legitimacy moderate and mediate these effects. Study 1 shows that digital twin products combining physical and NFT components yield the highest likelihood of purchase. Study 2 finds the positive effect of NFTs strengthens when perceived product sustainability is high. Study 3 reveals perceived product sustainability acts as a boundary condition, shaping how product type influences brand legitimacy and purchase likelihood. Findings offer theoretical insights and actionable guidance for managers.
Open access
Consumer Behavior in Brand Consumption and Identification
This research investigates how inclusive digital finance affects corporate green technological innovation, environmental decentralization, and how green transformational leadership moderates these relationships. As finance becomes more digitalized, especially in an inclusive manner, it encourages corporations to adopt sustainable practices, such as green technology integration, and to further decentralize their adaptive environmental strategies. This research applies the Resource-Based View (RBV) theory to explore the role of digital finance in promoting organizational green innovations, and the Ability-Motivation-Opportunity (AMO) leadership framework regarding the innovation mediating role of leadership. This study seeks to its address empirical research gaps regarding the role of inclusive digital finance in fostering environmentally sustainable corporate practices from an environmental and financial inclusivity perspective. The anticipated results would inform policy and practice in digital finance as a driver for sustainable corporate green innovations.
This research aims to investigate financing decisions of capital-constrained small and medium-sized enterprise (SME) manufacturers and distributors under a Green Supply Chain (GSC) framework. By evaluating the impact of Supply Chain Finance (SCF) instruments, this study utilizes Stackelberg game model to explore a decentralized decision-making system. To our knowledge, this investigation represents the first exploration of game models that uniquely compares financing through trade credit, where the manufacturer offers zero-interest credit without discounts with reverse factoring, while also considering distributor’s efforts on sustainable marketing under the impact of supportive government policies. Our study suggests that manufacturers should adopt reverse factoring for optimal profits and actively participate in distributors’ financing decisions to address inefficiencies in decentralized systems. Furthermore, the distributor’s demand quantity, profits and sustainable marketing efforts show significant increase under reverse factoring, aided by favorable policies. Finally, the results are validated through Python 3.8.8 simulations in the Anaconda distribution, offering meaningful insights for policymakers and supply chain managers.
The effect of competitive pressure on ESG may diverge. On the one hand, when competitive pressure increases, firms have incentives to increase moral capital by fulfilling ESG to hedge against risks, on the other hand, the decline in firm performance due to competition may weaken firms' ability to fulfill ESG. Research on this issue has important theoretical and practical significance. Based on data from Chinese listed companies from 2010 to 2022, we used business similarity as a proxy for competitive pressure and find it significantly improves corporate ESG performance, i.e., the risk hedging effect of ESG dominates. Corporate financing constraints negatively moderate this effect. The ability of firms to transfer risk increases as their business becomes more decentralized, which in turn weakens this effect. Conversely, when firms have more concentrated sales, their ability to transfer risk diminishes, amplifying this effect. Our study explores the measure of competitive pressure and business similarity, also expands the research on the impact of business characteristics on the non-economic consequences of firms and ESG motivations.
This thesis investigated how leading fashion brands navigated the adoption of Web3 technologies in loyalty programs during the peak of the hype surrounding the topic (2020-2022). Through a qualitative approach, which combined 12 expert interviews and comparative case studies (Nike, Adidas, Hugo Boss, and Lacoste), it analyzed the strategic drivers of adoption, the role of timing, and the organizational conditions that influenced the success or stagnation of these initiatives. The findings revealed that brands like Nike and Adidas adopted Web3 mainly as a signal of innovation leadership and cultural relevance, rather than as a means of delivering functional value to the consumer. However, sustainable success was more strongly associated with organizational ambidexterity, cross-functional integration, and technological adaptability than with early market entry. The thesis proposes the innovative Strategic Hype Readiness Framework, which identifies six critical variables to transform symbolic adoption into sustainable innovation: (1) strategic clarity beyond short-term hype, (2) level of internal alignment, (3) cultural openness to experimentation (4) narrative clarity and consumer centricity, (5) internal capability development, and (6) learning and recalibration mechanisms.
Organizational Leadership and Management Strategies
This bibliometric study explores the evolution of green finance research from 2000 to 2024, employing a comprehensive dataset derived from Scopus. It analyzes the development of themes, the geographic distribution of research, and the dynamics of academic collaboration within the field. Our findings indicate a significant growth in literature, with a pronounced focus on sustainable investments, green bonds, and the integration of environmental concerns into banking practices. The study highlights the role of technological innovation and decentralized finance in advancing the field, reflecting a shift towards more efficient and transparent financial processes. Geographical analysis reveals a strong contribution from countries like China, India, and the United States, with extensive international collaborations across continents. The research landscape is characterized by a diverse array of contributions that address both the economic and environmental aspects of green finance. This study provides valuable insights into the intellectual structure of green finance and suggests areas for future research, including the need for more interdisciplinary approaches and empirical studies to assess the effectiveness of green finance mechanisms.
ABSTRACT Blockchain technology, when combined with smart contracts, enables buyers to distinguish between greenwashed and genuinely eco‐friendly products. The presence of counterfeit items can severely impact supply chains by diminishing brand value, eroding consumer confidence, and undermining market trust. This article explores how smart contracts can help mitigate the circulation of counterfeit goods and safeguard brands by establishing institutional trust through tamper‐proof data, enhanced transparency, and improved traceability. Information asymmetry on digital marketing platforms significantly contributes to the proliferation of greenwashed counterfeit goods. We introduce an infection‐leakage model based on anecdotal case evidence to explain the interactions between different market types. The transition from relying solely on traditional written contracts, certifications, and brands to incorporating blockchain and smart contract technology is analyzed for its potential to strengthen supply chains and curtail the spread of counterfeit greenwashed products. Blockchain technology provides consumers with detailed product information, empowering them to choose authentic green products over counterfeit “lemons.” Our theoretical framework suggests that this shift to blockchain smart contracts can reduce the transaction costs associated with counterfeit infiltration, thereby protecting brands and the intellectual property rights of authentic sustainable products.
This study aims to explore the impact of key drivers on the integration of blockchain technology implementation and green innovation practices within green supply chains. This study combines the TOE and TAM frameworks to identify six key driving factors that in the proposed model. A survey was conducted with Vietnamese enterprises, resulting in 328 valid responses from senior managers across various sectors. The PLS-SEM approach was conducted to analyze the relationships between the variables and to gain deeper insights into their interactions. The research findings highlight the significant potential of adopting blockchain and green innovation programs to enhance organizational performance. Six essential factors act as key drivers for implementing these initiatives, exerting a positive influence. Among them, Perceived Usefulness, Organizational Readiness, and Partnerships emerge as the three most influential variables within this research framework. Our research offers several valuable implications, both theoretical and practical. The structural framework model provides empirical evidence demonstrating the feasibility of achieving expected benefits for green supply chains, particularly in emerging economies such as Vietnam. Thus, these results serve as valuable references for senior managers and policy makers.
Cong Doanh Duong, Thanh Hieu Nguyen, Thi Viet Nga Ngo, Thu Van Bui · 5 authors
Purpose The current study aims to investigate the impact of perceived blockchain-related information transparency on consumers’ intention to purchase organic food. This study examines how perceived blockchain- related information transparency, directly and indirectly, affects purchase intentions through attitudes, perceived behavioural control and subjective norms. Additionally, the study explores how blockchain-based trust moderates the influence of perceived blockchain-related information transparency on these factors and the intention to purchase organic food. Design/methodology/approach Based on the theory of planned behaviour framework and a sample of 5,326 consumers, this study uses partial least squares structural equation modelling to test the research model. Findings This study finds that perceived blockchain-related information transparency directly enhances consumers’ attitudes towards organic food purchase, perceived behavioural control, subjective norms and intention to purchase organic food. Additionally, perceived blockchain-related information transparency indirectly affects consumers’ intention to buy organic food through three antecedents of the theory of planned behaviour model. Notably, these indirect effects were moderated by consumers’ blockchain-based trust. Practical implications This study provides recommendations for leveraging blockchain to enhance transparency and build trust, which could boost consumer engagement and organic food purchases. Originality/value This research contributes to blockchain literature by empirically examining the role of perceived blockchain-related transparency and blockchain-based trust in consumers’ purchasing decisions regarding organic food. It provides valuable insights into the consumer-centric benefits of blockchain technology. Furthermore, this study also contributes to the literature on organic food, particularly its promotion through blockchain technology.
Purpose Achieving sustainability and sustainable performance has emerged as a critical area of focus for both academic research and practice. However, this pursuit faces challenges, particularly concerning the inadequacy of supply chain information. To address this issue, our study employs the organizational information processing theory to explore how adopting blockchain technology enables firms to learn from and collaborate with their supply chain partners, ultimately facilitating their sustainable performance even in the presence of organizational inertia. Design/methodology/approach Underpinned by the organizational information processing theory and drawing data from 220 manufacturing firms in China, we use structural equation modeling to test our conceptual model. Findings Our results demonstrate that blockchain technology adoption can significantly enhance sustainable performance. Furthermore, supply chain learning acts as a mediator between blockchain technology adoption and sustainable performance, while organizational inertia plays a negative moderating role between blockchain technology adoption and supply chain learning. Originality/value These findings extend the existing literature on blockchain technology adoption and supply chain management, offering novel insights into the pivotal role of blockchain in fostering supply chain learning and achieving sustainable performance. Our study provides valuable practical implications for managers seeking to leverage blockchain technology to enhance sustainability and facilitate organizational learning.