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HUNG VUONG UNIVERSITY JOURNAL OF SCIENCE AND TECHNOLOGY Vol. 37, No. 4 (2024): 15 - 24
*Email: pkduy@bdu.edu.vn
TẠP CHÍ KHOA HỌC VÀ CÔNG NGHỆ
TRƯỜNG ĐẠI HỌC HÙNG VƯƠNG
Tập 37, Số 4 (2024): 15 - 24
HUNG VUONG UNIVERSITY
JOURNAL OF SCIENCE AND TECHNOLOGY
Vol. 37, No. 4 (2024): 15 - 24
Email: tapchikhoahoc@hvu.edu.vn Website: www.hvu.edu.vnjst.hvu.vn
STRATEGIC MANAGEMENT OF RENEWABLE ENERGY ENTERPRISES:
A PSM AND PLS-SEM APPROACH TO SUSTAINABLE BUSINESS MODELS
IN VIETNAM
Phan Khanh Duy1*
1 Faculty of Economics, Binh Duong University, Binh Duong
Received: 17 November 2024; Revised: 05 December 2024; Accepted: 07 December 2024
DOI: https://doi.org/10.59775/1859-3968.229
Abstract
The findings reveal that strategic management practices significantly improve both financial (β=0.35, p<0.01)
and environmental (β=0.42, p<0.01) performance. Innovation capabilities and operational efficiency were
confirmed as critical mediators, with innovation primarily influencing financial outcomes (β=0.15, p<0.05)
and operational efficiency driving environmental performance (β=0.18, p<0.05). The study provides actionable
recommendations for managers in renewable energy enterprises, emphasizing the need to foster innovation,
enhance operational efficiency, and develop sustainable business models. Strategies are vital for aligning
profitability with sustainability objectives in Vietnam’s rapidly expanding renewable energy sector.
Keywords: Strategic nanagement, innovation, renewable energy, sustainability.
1. Introduction
The global push for renewable energy is
a key strategy in combating environmental
degradation and achieving Sustainable
Development Goals (SDGs). As a signatory to
the Paris Agreement, Vietnam has positioned
itself as a regional leader in renewable
energy adoption, with ambitious plans to
increase renewable energy to 32% of its
total power capacity by 2030 [1]. Renewable
energy enterprises are pivotal in this
transition, driving innovation in solar, wind,
and biomass technologies while contributing
to economic growth [2]. However, these
enterprises face numerous challenges,
including financial constraints, regulatory
hurdles, and volatile market conditions.
Strategic management practices have been
identified as critical for overcoming these
barriers. By fostering innovation capabilities
and enhancing operational efficiency, these
practices improve enterprise resilience,
financial performance, and alignment
with sustainability goals [3]. Despite their
importance, the role of strategic management
in Vietnam’s renewable energy sector remains