Environmental Orientation, Green Supply Chain Management, and Institutional Pressures on Performance

Abstract

This study examines the direct and indirect effects of environmental orientation on sustainability performance through green supply chain management practices, and the conditional indirect effects of institutional pressures on sustainability performance. We use data from 202 manufacturing SMEs in Ghana and analysed the data with the Conditional Process Analysis software, PROCESS, (Hayes, 2017). The findings reveal that environmental orientation positively influences environmental performance but not economic performance. Furthermore, green supply chain management practices mediate the relationship between environmental orientation and environmental performance, but not economic performance. Finally, the conditional indirect relationship between environmental orientation and environmental performance through green supply chain management practices is positive at high levels of institutional pressures. The study contributes to the efficacy of environmental orientation on economic and environmental performance by providing evidence from an African economy.