Do Green Entrepreneurship Affect Financial Sustainability of Businesses in Kenya Today Evidence From Kenyan Business Firms

Journal of Business Management andEconomic Research2025, 9 (1): 1‐13 DOI: 10.21325/jotags.2025.1653Journal Homepage: https://www.jobmer.orgDo Green Entrepreneurship Affect Financial Sustainability ofBusinesses in Kenya Today? Evidence From Kenyan Business FirmsPhilip BiiSchool of Business & Economics, Bomet University, KenyaGeoffrey Biwott *Department of Management Science, Bomet University, Kenya*Corresponding Author: [email protected] study aims to provide an analytical framework that focuses on green entrepreneurship as amechanism through which businesses obtain their financial sustainability in Kenya. The main objectivesof the study were to identify the role of Creative green entrepreneurship, Green washingentrepreneurship and Institutional Structure entrepreneurship on the Financial Sustainability ofBusinesses. The research employed explanatory design and random sampling techniques to obtain datafrom a sample of 376 businesses in Kenya using a structured self‐administered questionnaire. Resultsindicate that green entrepreneurship strongly impacts the financial sustainability of businesses inKenya, and the three variables significantly predict the financial sustainability of businesses in Kenya.The findings of the research revealed that creative green entrepreneurship at (β = 0.41, p<0.05), greenwashing at (β = 0.33, p<0.05) and institutional Structure at (β = 0.21, p<0.05) all had a positive andsignificant effect on the financial sustainability of Businesses. Finally, results show that greenentrepreneurship affects financial sustainability of businesses in Kenya in the direct effect model. Thesefindings reveal that green entrepreneurship and Financial Sustainability of Businesses in Kenya Todayhave a strong influence in cultivating new business models that can make an important contribution tothe Green Growth transition. Furthermore, it further deepens the understanding that greenentrepreneurship among businesses is a critical asset for sustainability through creative, green washingand institutional green entrepreneurship. The financial sustainability of Businesses in Kenya asconfirmed by the study findings and can be enhanced through green entrepreneurship awareness inorder to improve the impact and return on investment of today’s businesses.