Abstract

Amid global climate challenges, loss of biodiversity and resource depletion firms must act for sustainable performance (SP) and future well-being. It is crucial to understand the underlying mechanisms that enhance SP. This study aims to examine the impact of sustainable supply chain management (SSCM), and circular economy (CE), on SP in Bangladesh's green garment industry. Employing a quantitative research design, we tested the hypothesized structural model using data from 303 managers collected through surveys. The Partial Least Square Structural Equation Modeling (PLS SEM) statistical method was utilized to examine the hypotheses. The results indicate that SSCM positively impacts CE and SP, and CE mediates the SSCM-SP link. This study contributes to the literature by enhancing the Natural Resource-Based View theory, presenting SSCM-CE as resources that enhance SP. The findings hold valuable implications for Bangladesh's RMG policymaking practitioners.

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