GREEN PRODUCT COMPETITIVENESS AND GREEN PRODUCT SUCCESS. WHY AND HOW DOES MEDIATING AFFECT GREEN INNOVATION PERFORMANCE?

Among the global warming issue and production process using machinery and modem technology, these Batik SMEs still strongly exist. This research aims at empirically proving the influence of green product competitiveness and green product success on green product innovation performance through green product competitiveness and green product success as the mediating variable. This research employs a survey approach and questionnaire to collect information related to the research samples. The quantitative approach in this research is conducted by testing the research hypotheses. 223 respondents consisting of Batik SMEs' owners/ managers in Yogyakarta, Indonesia are taken as the samples with a purposive sampling method. The hypotheses test results show positive and significant correlation between green product innovation and green product competitiveness and green product success. Green process innovation positively, significantly influences green product competitiveness and green product success. Green product competitiveness positively, significantly influences green innovation performance. Green process success positively, significantly influences green innovation performance.