Abstract

This study aims to investigate the impacts of dependence on supplier and supplier trust on green supplier integration, and the moderating role of contract management difficulty. In this study, we develop a dependence-trust-integration model based on resource dependence theory, social capital theory and transaction cost theory. We examine the hypothesized relationships using hierarchical regression analyses based on data collected from 187 Chinese firms. Our findings suggest that dependence on supplier has positive impacts on green supplier integration and supplier trust. Supplier trust partially mediates the relationship between dependence on supplier and green supplier integration. In addition, contract management difficulty negatively moderates the relationship between supplier trust and green supplier integration. This research contributes to the literature by offering empirical evidence concerning the indirect relationship between dependence on supplier and green supplier integration via supplier trust, and the trust-integration link depends on the level of contract management difficulty.

Highlights

  • Economic performance is generally a critical priority for firms in emerging countries [1]

  • It is crucial to improve the understanding of inter-organizational relationships and green supply chain integration

  • We investigate the influence of dependence on supplier on green supplier integration, the mediating role of supplier trust, and the moderating role of contract management difficulty

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Summary

Introduction

Economic performance is generally a critical priority for firms in emerging countries [1]. To establish a balance between economic performance and environmental performance, firms are beginning to integrate suppliers into their planning and operational activities to solve environmental problems jointly [4,5,6,7,8,9,10]. We define the extent to which the firm integrates its major supplier into joint problem-solving activities for reducing its negative influence on the natural environment as green supplier integration [6]. The major purpose of green supplier integration is to solve environmental problems jointly and reduce the adverse impacts of production and operational processes on the natural environment, which is different from supplier integration in previous studies [6,12]. There is a need to investigate the impacts of dependence and trust on green supplier integration

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