Abstract
This study adopts the opposing theoretical views of legitimacy – institutional and strategic – in evaluating firm performance and top management commitment as antecedents to green procurement and green supplier development. Additionally, the impact of green procurement and green supplier development on supplier performance is analysed. Using a sample of western European companies, we develop a structural equation model to test our hypotheses. We find that the buying firm’s market performance positively relates to the adoption of green procurement. While financial performance has no effect on green procurement, top management commitment is found to be an important driver of both green procurement and green supplier development. Moreover, the relationship between green procurement and supplier performance is fully mediated by green supplier development. The paper addresses a research gap concerning firm-level antecedents for green procurement and green supplier development showing that both practices may impact supplier performance. Furthermore, it is shown that legitimacy concerns drive basic green procurement, whereas top management is decisive for advanced practices, such as green supplier development.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
