Market Orientation, Innovation and Its Impact on Environmental Sustainability Practices: Evidence from Indonesian Palm Oil Companies

This study aims to examine the effect of market orientation on innovation and then its impact on environmental sustainability practices. Data was obtained through questionnaires distributed to 178 respondents who were the top and middle managers of the palm company. Data then analyzed by SEM-PLS analysis techniques through WarpPLS 5.0. Results showed that market orientation has a significant effect on innovation and environmental sustainability practices. Further analysis found that innovation mediates the relationship between market orientation and environmental sustainability practices. This study suggests that environmental sustainability practices are important to ensure the sustainability of Palm Oil Company.