Green Intellectual Capital Modified Scale Design and Validation in Small and Medium-sized Enterprises

Purpose: This study seeks to investigate the development and application of green intellectual capital (GIC) within small and medium-sized enterprises (SMEs), aiming to design a customized GIC measurement scale that accounts for their distinct resource limitations and operational environments. Design/methodology/approach: Employing a mixed-methods research design, this study commenced with semi-structured interviews with SME top managers to elicit qualitative insights into GIC practices. The existing GIC scale was refined through content analysis and subsequently validated via a pre-test involving three accounting professors and one industry expert. A pilot study utilizing 42 questionnaires was conducted to evaluate the scale's reliability and validity. Findings: The revised GIC scale exhibited strong internal consistency and effectively captured SME-specific dynamics, including resource optimization, reliance on policy frameworks, and localized stakeholder engagements. The findings underscore the significance of streamlining green structural capital and fostering green relational capital amid resource constraints, thereby enabling SMEs to adhere to sustainability regulations while enhancing their competitive edge. Research limitations/implications: The sample size on manufacturing SMEs might constrain the generalizability of its findings across industries. Future research should encompass a broader range of sectors and longitudinal studies to validate the scalability of the scale. Originality/value: This study addresses a critical research void by developing the first GIC scale specifically for SMEs, thereby rectifying biases inherent in scales designed for large enterprises. It offers actionable insights for policymakers to formulate targeted green transition strategies and provides SMEs with a tool to harmonize sustainability practices with economic resilience.