Environmental orientation and sustainability performance; the mediated moderation effects of green supply chain management practices and institutional pressure

Abstract

This research delves into the examination of how green supply chain management practices serve as a channel, and how institutional pressures act as limiting factors, affecting the connection between environmental orientation and sustainability performance. The investigation draws on data collected from 202 small and medium-sized manufacturing enterprises (SMEs) in Ghana. The results of the study indicate that while environmental orientation has a positive impact on environmental performance, it does not significantly influence economic performance. Moreover, the study highlights that the relationship between environmental orientation and environmental performance is mediated by the adoption of green supply chain management practices. However, this mediation is not observed in the context of economic performance. Notably, the research underscores that the positive indirect correlation between environmental orientation and environmental performance, facilitated by green supply chain management practices, remains significant with the boundaries of regulatory institutional pressure. This study makes a noteworthy contribution by offering empirical evidence from an African economy, shedding light on the effectiveness of institutional pressures and environmental orientation on both economic and environmental performance.