Abstract

This paper proposes and empirically tests a model of the relationship between green supply chain management (GSCM) practices and corporate performance. Based on a literature review, we identified five determinants, namely, environmental commitment, supplier collaboration, supplier assessment, information sharing among suppliers, and business process improvement that are used as determinants in a structural model which influence environmental and economic performance. The model was analyzed using the data from a survey of sample of Japanese manufacturing firms. The results suggest that the degree of supplier collaboration has an influence on the environmental performance directly. Meanwhile, the impact of supplier assessment on the environmental performance is mediated by the information sharing and/or business process improvement. Furthermore, we find positive relationship between environmental performance and economic performance.

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