Abstract
In recent decades, multinational enterprises (MNEs) have increasingly endeavored to establish foreign direct investments (FDIs) across the globe. Consequently, they must face diverse and differential sustainability agendas, due to the homogeneous and heterogeneous sustainability issues and policies emerging from both home and host countries [1]. In this vein, MNEs must realize superior methods of establishing sustainable development and innovation-based solutions in both home and host countries [2]. Furthermore, the number of studies on sustainable international business and innovative practices by MNEs in developed markets has rapidly increased in recent years, providing knowledge on shareholder values, environmental agendas, and processes for managing macroeconomic instability. Indeed, there has been a stream of literature focusing on sustainability-oriented innovation, relating to both the environmental and social aspects of sustainability. Of these two, the environmental aspect has been particularly driven by the market demand for more sustainable products, and by strengthening environmental regulations and the desire for cost reductions. Nevertheless, unfortunately, there has been lack of studies focusing on sustainable international business and innovative practices by MNEs in emerging and frontier markets [1,2]; however, Brazil, Russia, India, China, and South Africa (BRICS) have undeniably progressed in terms of sustainable development and innovation-based solutions, by virtue of the operation of MNEs inside and outside of their home countries [1]. Additionally, innovation has assumed a rather different form in the case of emerging market MNEs (EMNEs) [3]. As research and development possibilities are limited, learning by doing and organizational capabilities possess greater weight in EMNEs [4,5].
