Abstract
The primary objective of this study is to provide an empirical research using structural equation modeling to identify the factors that motivate shipping firms to adopt green shipping practices (GSP). Furthermore, it also examines if adopting GSP can enhance the shipping firms’ environmental and productivity performance. The findings show that shipping firms are motivated to adopt GSP mostly by industrial norms set by institutionalized associations. They are also motivated by customers’ demand for environmental friendliness and their own strategy to make good image. Unlike our expectation, government regulations and international environmental laws are not significant in influencing shipping firms to adopt GSP. Moreover, adoption of green shipping practices can improve the environmental and productivity performance of the shipping firms.
Highlights
With increasing international trade volume, aggravating global warming and climate change issues, reducing the emissions of greenhouse gases and other air pollutants has become a critical concern in the international shipping community
We developed the measurement instrument following the study by Chen and Paulraj [47] to meet the requirements for the reliability, validity and unidimensionality
Maximum likelihood ratio was utilized as the estimation method because it postulates that the data are univariate and multivariate normal and it is commonly used to manage missing data [60,61]
Summary
With increasing international trade volume, aggravating global warming and climate change issues, reducing the emissions of greenhouse gases and other air pollutants has become a critical concern in the international shipping community. A literature review on environmental sustainability in shipping [10] showed that increasing studies have been conducted in the last decade, whereas almost no studies existed prior to 2005. Most of these studies have dealt with speed reduction [11], fuel consumption, or new energy technology for environmental or economic benefits of shipping companies [12]. Even the study by Lai et al [4] only proposed theoretical propositions without providing any empirical evidence It is not addressed and tested yet in the literature whether shipping companies’ green activities help their environmental and/or economic performances. It is important to identify the primary motivation and principal factors
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