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Improving Green Market Orientation, Green Supply Chain Relationship Quality, and Green Absorptive Capacity to Enhance Green Competitive Advantage in the Green Supply Chain

Author

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  • Yu-Hsien Lin

    (Department of Urban Industrial Management and Marketing, University of Taipei, Taipei 11153, Taiwan)

  • Nisha Kulangara

    (Department of OMIS, Schulich School of Business, York University, 4700 Keele Street, Toronto, ON M3J 1P3, Canada)

  • Krista Foster

    (IT, Analytics, and Operations Department, Mendoza College of Business, University of Notre Dame, Notre Dame, IN 46556, USA)

  • Jennifer Shang

    (Joseph M. Katz Graduate School of Business and College of Business Administration, The University of Pittsburgh, Pittsburgh, PA 15260, USA)

Abstract

This study examines the influences of market orientation, supply chain relationship quality, and absorptive capacity on competitive advantage in green supply chains. We examine the intensity of these relationships in a green supply chain context. This study aims to figure out the effects of green market orientation (GMO), green supply chain relationship quality (GRQ), and green absorptive capacity (GAC) on green competitive advantage (GCA) in a supply chain. We find a significant positive association between these constructs. It highlights the importance of antecedents such as GMO, GRQ, and GAC on improving GCA. We jointly investigate the effects of GMO, GRQ, and GAC on green supply chain competitive advantage. This study uses Process Macro 2.15 to test the mediation effect between GMO and GCA. The result shows that GRQ and GAC completely mediate the relationship between GMO and GCA and that the effect sizes are 0.11 and 0.20, respectively. This study also reruns the model to clarify whether competing models are better than our model. However, the performance of such a competing model is poor. Finally, we accept our model instead of the competing model. GMO and GRQ among team managers and employees appear to contribute positively to GCA. Although GAC does not directly influence GCA, GMO has a significant total effect on GCA when intervened by GRQ and GAC. The key contribution is that green market orientation, i.e., the employee culture and the emphasis on being environmentally responsible, is a key antecedent to GRQ, GAC, and GCA. Managerial implications of the findings are listed.

Suggested Citation

  • Yu-Hsien Lin & Nisha Kulangara & Krista Foster & Jennifer Shang, 2020. "Improving Green Market Orientation, Green Supply Chain Relationship Quality, and Green Absorptive Capacity to Enhance Green Competitive Advantage in the Green Supply Chain," Sustainability, MDPI, vol. 12(18), pages 1-22, September.
  • Handle: RePEc:gam:jsusta:v:12:y:2020:i:18:p:7251-:d:408917
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    References listed on IDEAS

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    Cited by:

    1. Izabela Nielsen & Sani Majumder & Eryk Szwarc & Subrata Saha, 2020. "Impact of Strategic Cooperation under Competition on Green Product Manufacturing," Sustainability, MDPI, vol. 12(24), pages 1-28, December.
    2. Abdel-Aziz Ahmad Sharabati, 2021. "Green Supply Chain Management and Competitive Advantage of Jordanian Pharmaceutical Industry," Sustainability, MDPI, vol. 13(23), pages 1-17, December.
    3. Raghuveer Negi & Amit Kumar Gupta & Vidhu Gaur, 2023. "Effect of green marketing orientation dimensions on green innovation and organizational performance: A mediation‐moderation analysis," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5435-5458, December.
    4. Panagiotis Reklitis & Damianos P. Sakas & Panagiotis Trivellas & Giannis T. Tsoulfas, 2021. "Performance Implications of Aligning Supply Chain Practices with Competitive Advantage: Empirical Evidence from the Agri-Food Sector," Sustainability, MDPI, vol. 13(16), pages 1-21, August.
    5. Tai Abdulrahman Alshammari & Khalid Mhasan Alshammary & Fahad Maiyah Alshammari, 2022. "Green Product and Process Innovation, Corporate Environmental Ethics and Competitive Advantages among Manufacturing Firms in the Kingdom of Saudi Arabia," Journal of Economics and Behavioral Studies, AMH International, vol. 14(2), pages 51-61.

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