Two Perspectives From Hoteliers and Customers: Green Intellectual Capital and Ambidexterity as Strategic Drivers of Green Innovation and Sustainability in Service Firms

ABSTRACT This study explores the possible methods through which Egyptian hotels can overcome the gap through the application of customer co‐creation and strategic learning to change sustainability issues into competitive strengths. Thus, the study discusses the importance of green innovation in terms of sustainability at an organisational level and co‐creating customer value on the premise of green intellectual capital, green ambidexterity and entrepreneurial orientation. The framework was built by identifying green intellectual capital and green ambidexterity as antecedents, then positioning green innovation as the mediating mechanism between them. After that, it specified organisational sustainability (TBL) and customer value co‐creation as outcomes. The framework is theoretically supported by Dynamic Capabilities Theory, in the sense of how resource reconfiguration happens, and by Absorptive Capacity Theory, which explains green knowledge acquisition and later exploitation. Study 1 ( N = 428 workers) investigates the mechanisms by which green intellectual capital (human, social and structural) and green ambidexterity lead to green innovation, which in turn attains triple‐bottom‐line sustainability (social, environmental and economic). Findings validate the entrepreneurial orientation's moderating effect in strengthening the innovation‐sustainability relationship. Results seek to offer managerial implications for five‐star hotels intending to integrate innovation strategies with sustainability objectives and value co‐creation for consumers. Study 2 ( N = 393 customers) demonstrates how organisational sustainability practices lead to more abundant value co‐creation experiences, and environmental and social dimensions are found to exert considerable influence. These insights attempt to provide practical contributions to organisations that seek to balance innovation strategies with sustainability goals and co‐create value with customers.