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How environmental orientation influences firm performance: The missing link of green supply chain integration

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  • Cong Zhou
  • Weili Xia
  • Taiwen Feng
  • Jijiao Jiang
  • Qingsong He

Abstract

Although the importance of environmental orientation has been recognized, how it affects firm performance remains unclear. Drawing on resource dependence theory, we explore how environmental orientation affects firm performance via green supply chain integration and the moderating effect of technology turbulence. We test hypotheses using hierarchical regression analysis by collecting data from 264 Chinese firms. The results reveal that both external environmental orientation and internal environmental orientation are positively related to green supply chain integration. Furthermore, green supply chain integration partially mediates the relationships between external environmental orientation and two types of firm performance and fully mediates the relationships between internal environmental orientation and two types of firm performance. The results also indicate that technology turbulence negatively moderates the relationship between internal environmental orientation and green supply chain integration and positively moderates that between external environmental orientation and green supply chain integration. This article contributes to green supply chain integration theory and practices by providing novel insights into how environmental orientation influences firm performance.

Suggested Citation

  • Cong Zhou & Weili Xia & Taiwen Feng & Jijiao Jiang & Qingsong He, 2020. "How environmental orientation influences firm performance: The missing link of green supply chain integration," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(4), pages 685-696, July.
    • Handle: RePEc:wly:sustdv:v:28:y:2020:i:4:p:685-696
    DOI: 10.1002/sd.2019
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    3. Chavez, Roberto & Malik, Mohsin & Ghaderi, Hadi & Yu, Wantao, 2021. "Environmental orientation, external environmental information exchange and environmental performance: Examining mediation and moderation effects," International Journal of Production Economics, Elsevier, vol. 240(C).
    4. Xiaoli Guo & Weili Xia & Taiwen Feng & Hongyan Sheng, 2022. "Sustainable supply chain finance adoption and firm performance: Is green supply chain integration a missing link?," Sustainable Development, John Wiley & Sons, Ltd., vol. 30(5), pages 1135-1154, October.
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    8. Xiu-e Zhang & Xinyu Teng, 2023. "Effects of environmental orientation on agricultural enterprises’ performance: mediation and moderation analyses," Asian Business & Management, Palgrave Macmillan, vol. 22(3), pages 955-977, July.
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