Sustainable Economic Performance Research Articles

The Role Of Green Culture In Generating Sustainable Economic Performance And Increasing Post-Pandemic Stock Prices Healthcare Sector In Indonesia And Singapore

Green culture pada sektor healthcare menjadi isu baru dalam dunia ekonomi karena dinilai mampu meningkatkan nilai perusahaan, dengan cara melestarikan sumber daya alam agar pembangunan ekonomi tetap berkelanjutan. Penelitian ini bertujuan untuk mengetahui peran green culture dalam membangkitkan kinerja ekonomi berkelanjutan dan kenaikan harga saham pasca pandemi sektor healthcare di indonesia dan singapura, sehingga manajemen perusahaan dapat mengimplikasikan hasil penelitian ini yang diharapkan dapat memberikan manfaat langsung maupun tidak langsung bagi perusahaan-perusahaan di sektor kesehatan. Penulis mengumpulkan variabel independen yang terkait dengan penelitian yaitu sdgs dan stock return, dan variabel dependen green culture, dengan nilai perusahaan sebagai variabel intervening. Populasi penelitian ini adalah perusahaan sektor kesehatan yang terdaftar di bursa efek indonesia dan singapura. Penelitian ini menggunakan metode kuantitatif dengan data sekunder menggunakan analisis multivariat dengan pendekatan path analysis menggunakan eviews 13. Pengujian h1; h2; h3; yang mempunyai hasil signifikan karena mempunyai nilai p dibawah 0,05. Sedangkan h4 mempunyai hasil yang tidak signifikan karena mempunyai nilai p diatas 0,05. Untuk menjawab tantangan keuangan berkelanjutan diperlukan perangkat kebijakan dari berbagai kementerian dan lembaga terkait. Selain meningkatkan kesadaran masyarakat mengenai budaya hijau, kebijakan yang diambil diharapkan juga disertai dengan insentif atau disinsentif kepada sektor kesehatan guna meningkatkan porsi pembiayaan yang mendukung keuangan berkelanjutan menuju net-zero emisi.

MARKET OF PRODUCTS OF THE FEED INDUSTRY IN TODAY'S CONDITIONS

The article is devoted to the study of the state and prospects for the development of the feed industry market in Ukraine. The main reasons for the unstable activity of subjects of compound feed production, such as the high sensitivity of the market to changes in the grain industry, the limitation of the available raw material base, the lack of high-tech production in the necessary volumes, the constant increase in costs for the production of compound feed products, the insufficient development of the market infrastructure, the lack of sufficient solvent demand. The war in Ukraine affected the demand for compound feed products, production, sales, and logistics. The article provides statistical data of the Ukrainian market in 2022–2023 on the volume of compound feed production and the prices of compound feed components, namely grain and oil crops. Considering the export problems in Ukraine, raw materials are competitive in price policy. This situation is favorable for the Ukrainian production of compound feed, which, in turn, allows to increase the production of animal husbandry products . State influence in the direction of vertical integration makes it possible to control the beginning of the production chain, primarily grain producers to ensure the sale of agricultural products, protection from price fluctuations in raw materials markets, and flexible response to consumer requests. State stimulation of research and innovation , such as providing financial support and incentives for research in the field of compound fodder production, will contribute to the development of new technologies , improvement of feed quality, and increased competitiveness . To date, compound feed producers have overcome infrastructure challenges associated with the loss of logistics chains, damaged businesses, and demonstrated positive development trends and sustainable economic performance.

Moderating role of enterprise risk management in the relationship between sustainability performance and a firm’s competitive advantage

The emergence of sustainable business practices has garnered interest among stakeholders. However, the question of whether sustainability performance provides companies with a competitive advantage is still being debated in the literature. This paper aims to examine the influence of sustainability performance – namely economic sustainability performance and environmental, social, governance (ESG) – on competitive advantage, with the effectiveness of enterprise risk management (ERM) as the moderating variable. This paper used 202 firm-year observations during 2015–2022 from non-financial sector companies listed on the Indonesia Stock Exchange. To test the hypotheses, panel data regression with a one-year time-lag analysis is conducted. The findings show that economic sustainability performance has no relationship with competitive advantage, while ESG has a positive effect. Furthermore, ERM effectiveness strengthens the effect of economic sustainability and ESG on competitive advantage. Further investigation used a two-year time-lag analysis for a long-term perspective. The analysis shows that economic sustainability performance and ESG have a positive impact on competitive advantage. In contrast, ERM effectiveness has no effect on the relationship between economic sustainability performance and competitive advantage. Moreover, additional analysis incorporates the effect of COVID-19 into the main model and shows that the pandemic did not affect competitive advantage; this is consistent with the main results. The findings encourage companies to improve their risk management and sustainability initiatives. The government may also take it into account when developing rules that promote the implementation of sustainable development. AcknowledgmentThis research was supported by the Ministry of Education, Culture, Research, and Technology of the Republic of Indonesia through the Center for Higher Education Fund (BPPT) and Indonesia Endowment Funds for Education (LPDP) for providing the Indonesian Education Scholarship (BPI-Beasiswa Pendidikan Indonesia).

Informal board hierarchy and corporate ESG performance

AbstractAgainst the backdrop of driving global economic sustainability, corporate Environmental, Social, and Governance (ESG) performance has gradually emerged as a crucial theoretical and practical concern. This study aims to enrich the theoretical understanding of the correlation between corporate governance and ESG. Notably, the theoretical contribution is based on the relational contract theory, indicating the significance of the informal structure and implicit characteristics of the board of directors for corporate ESG performance. Using Chinese listed firms as samples, this study empirically examines and reveals a positive correlation between the informal board hierarchy and corporate ESG performance. Moreover, based on theoretical deduction, this study identifies internal control, innovation efficiency, and financial performance as important mechanisms through which the informal board hierarchy promotes corporate ESG performance. Further analysis indicates that in firms characterized by higher board interaction, lower shareholding concentration, and the combination of the roles of chairman and CEO, the promoting effect of the informal hierarchy on corporate ESG becomes significantly more pronounced. Our findings contribute to the understanding of relational contract theory in the field of corporate sustainability, enriching the literature on corporate governance and ESG, and providing decision‐making references and practical insights for optimizing corporate development.

Interlinking networking capabilities, knowledge worker productivity, and digital innovation: a critical nexus for sustainable performance in small and medium enterprises

PurposeAs sustainable performance has a central role in the small and medium enterprises (SMEs) performance literature, this study aims to examine the influence of networking capabilities in enhancing sustainable performance through knowledge workers’ productivity and digital innovation. It also examines the sequential mediating role of knowledge workers’ productivity and digital innovation on networking capabilities and SMEs’ sustainable performance relationship.Design/methodology/approachData were collected from 308 knowledge workers in the information technology sector and analyzed using the Hayes Process Macro bootstrapping method to test the proposed hypotheses.FindingsResults indicate that knowledge workers’ productivity and digital innovation individually and sequentially mediate the relationship between networking capabilities and SME’s sustainable (economic and environmental) performance, surprisingly, they do not act as a mediator between networking capability and SME’s social performance. SMEs should prioritize investments in the professional development of their knowledge workers through training and skill enhancement programs. This investment equips knowledge workers with the tools to effectively use the knowledge and resources acquired through networking. Thus, knowledge workers may improve performance by using these resources to tackle challenges.Research limitations/implicationsAlthough this research focused on this specific context, it is prudent to acknowledge that additional factors may also exert influence on sustainable performance within SMEs, factors that managers may consider when making decisions. Methodologically, the cross-sectional design of this research poses a potential limitation, as it does not allow for the complete elimination of endogeneity concerns. However, it is worth noting that scholars have endorsed the use of cross-sectional data in cases where management researchers aim to expand beyond well-documented and longitudinal data sets.Practical implicationsThis research offers practical recommendations for SMEs to improve their sustainable performance through networking. SMEs should seek partnerships with complementary knowledge to improve operations and for other performance-oriented benefits.Originality/valueThis study adds significantly to the literature on sustainable SME performance by studying the interdependent effects of networking capabilities. It also represents the individual and sequential mediation mechanism that links networking capabilities to SME success through knowledge worker productivity and digital innovation.

Eco-dynamic capability: A surest way to sustainability performance of SMEs?

PurposeTo endure and cope in the rapidly changing environment, it is required of firms to gain a deeper acquisition of knowledge on market dynamics and subsequently concentrate on corporations' capacity to create, restructure and integrate their internal and external competences. Hence, the objective of this study is to investigate the influence of eco-dynamic capability (EDC) on the sustainability performance of small and medium-sized enterprises (SMEs).Design/methodology/approachStructured questionnaires were used to obtain primary data. The data were solicited from 500 employees and owner-managers of SMEs. The study’s hypotheses were tested using standard multiple regression through IBM SPSS Statistics (version 24).FindingsThe study revealed that EDC has a substantial positive effect on the economic, social and environmental sustainability performance dimensions.Originality/valueThe focus of this study is on EDC. Thus, although dynamic capability has been the subject of substantial study, little is known regarding the effect of EDC on the economic sustainability performance (ESP) (financial), environmental sustainability performance (ENSP) and social sustainability performance (SSP) of SMEs, predominantly amongst SMEs in emerging economies.

The Role of Sustainability Orientation and Sustainable Environmental Performance in Improving Sustainable Economic Performance of the Batik Industry

The batik industry is starting to develop rapidly, and its contribution is improving the Indonesian economy. On the other hand, the batik industry produces waste that pollutes the environment. Batik SMEs do not realize the importance of sustainability orientation, and that some consumers prefer environmentally friendly batik products. The purpose of this study was to examine the relationship between sustainability orientation and sustainable economic performance, both directly and through sustainable environmental performance. The study was conducted in Surabaya, as well as the Regencies of Tuban, Lamongan, Sidoarjo, and Jombang. With the purposive sampling technique, 32 Batik SMEs were selected with 89 respondents. SEM-PLS was the method of data analysis used in this investigation. According to data analysis findings, sustainable economic performance benefits from sustainable environmental performance. Sustainable environmental performance is positively impacted by sustainability orientation. Sustainable economic performance is not directly impacted by sustainability orientation. Sustainability orientation indirectly influences sustainability economic performance through sustainable environmental performance. Increasing sustainability orientation can increase sustainable environmental and economic performance for realising the green batik industry.
 Keywords: sustainable development, sustainability orientation, sustainable economic performance, green batik industry

Green logistics and circular economy in alleviating CO2 emissions: Does waste generation and GDP growth matter in EU countries?

The integration of Green Logistics (GL) and Circular Economy (CE) have been recognized as critical concepts for achieving sustainable economic and environmental performance. However, there is a lack of understanding on the combine impacts of CE and GL in alleviating CO2 emissions in pioneering nations relying on these concepts. This study examines the role of CE and GL sustainable in curbing CO2 emissions of 13 developed European Union (EU) countries from 2000 to 2020. The neoclassical growth and IPAT models, including the pool mean autoregressive distributed lags (PMG-ARDL) and the vector error correction model (VECM) are employed to estimate the short- and long-run effects and heterogeneous causal relationships. The long-run results reveal that CE and GL can mitigate CO2 (carbon dioxide) emissions, while the generation of municipal waste (GMW) has negative impact on the environment. Moreover, the long-run relationship between economic growth, CE, GL, and GMW validates the Environmental Kuznets Curve (EKC) hypothesis. The study also confirms a bidirectional causality between CE, GL, and CO2 emissions over the long run. This study proposes a model for assessing the impact of CE and GL initiatives on environmental performance and sustainability in both pioneering developed regions and emerging economies yet to embrace green growth concepts.

Environmental ethics and green practices in the manufacturing sector: The role of green innovation and environmental policy

AbstractNumerous studies have indicated that incorporating an environmental ethic (EE), green innovation (GI), and environmental policy (EnP) can enhance a company's sustainable performance, that is, environmental performance (EP) and economic performance (EcP) in the manufacturing industry. However, to encourage eco‐friendly production and processes, it is crucial to promote sustainable practices across different industries. Nevertheless, some researchers have overlooked the significance of these implementations. Integrating these practices into the manufacturing sector can be challenging. To address this issue, this study has developed an empirical model that assesses two pillars of sustainable performance in the Jordanian manufacturing industry. The study analyzes the direct correlation between a firm's EE, GI, and sustainable performance. It also examines whether GI plays a mediating role in the relationship between company EE and sustainable performance and if EnP moderates the relationship between GI and sustainable performance. The study collected data from 386 respondents belonging to various manufacturing industries in Jordan and analyzed it using SmartPLS. The research revealed that a manufacturing firm's EE is significantly boosted by GI, EP, and EcP. These findings suggest that companies with higher EE are more likely to innovate sustainably and perform better in terms of sustainability. In particular, the study found that GI plays a mediating role between a firm's EE and its sustainable performance. Furthermore, the impact of EnP on the relationship between GI and EP was mixed, showing a moderating effect on the former but not on EcP. The study provides valuable insights into the implementation of green practices in the manufacturing sector and discusses policy implications for manufacturers.

THE MODERATING ROLE OF ORGANIZATIONAL SUPPORT ON THE RELATIONSHIP BETWEEN GREEN SUPPLY CHAIN PRACTICES, GOVERNANCE AND SUSTAINABLE ECONOMIC PERFORMANCE: EVIDENCE FROM CHINA

Recently, sustainable economic performance (SEP) has been the foremost requirement due to uncertainty of the economy and environment. This issue needs best practices and governance and also needs researchers’ focus. Thereby, the paper aims to assess green supply chain (SC) practices, green SC governance and their role in the achievement of SEP in the manufacturing sector of China. The paper also attempts to explore the moderating effect of organizational support in proposed framework. PLS-SEM model was employed to test model’s reliability and validity. The very same method has applied to test the linkage among outlined constructs. Obtained results confirms the moderating impact of organizational support among traditional governance, relational governance and the achievement of SEP in the manufacturing industry in China. This article provides guidelines to the regulators in developing policies related to the achievement of SEP using green SC practices and governance.

Heritage Tourism Resilience and Sustainable Performance Post COVID-19: Evidence from Hotels Sector

Heritage tourism in Egypt, differentiated by its distinctive ancient wonders and cultural prosperity, has faced numerous challenges through its history, with political unrest, economic fluctuations, and, most recently, the global COVID-19 pandemic. This research paper investigates the dynamic interplay between planned and adopted resilience within the hotel sector in Egyptian heritage sites and their consequential effects on both social and economic sustainability. A quantitative research method was employed to empirically explore these dynamics. A structured questionnaire was distributed to 550 top and middle managers in hotels located in heritage sites, capturing insights into their perspectives on planned and adopted resilience. The collected data underwent rigorous analysis utilizing “partial least squares structural equation modeling” (PLS-SEM), providing a robust foundation for drawing meaningful conclusions. Findings from the research underscore the necessity of aligning planned and adopted resilience to generate sustainable social and economic performance. The synthesis of planned and adopted resilience was revealed to be pivotal in generating sustainable social and economic performance for hotels. This synthesis catalyzes the hotels’ ability to mitigate uncertainties, adjust to changing environment, and ensure long-term viability. This research might contribute to the current literature by suggesting industry-specific awareness for the reciprocal relationship between planned and adopted resilience in the hotel businesses and their combined influence on both sides of sustainability (social and economic). The findings provide actionable recommendations for hotel management, policymakers, and industry stakeholders to enhance resilience, foster social cohesion, and ensure the economic sustainability of heritage tourism in an everchanging environment.

Refining ESG Disclosure's Role in Corporate Economic, Environmental, and Social Sustainability Performance

Refining ESG Disclosure's Role in Corporate Economic, Environmental, and Social Sustainability Performance

Wealth inequality and economic growth: Evidence from the US and France

Economic inequality, in terms of income or wealth, is one of the most complex and perplexing challenges of our current capitalist economic system. While the dynamic relationship between income inequality and economic growth has been extensively investigated (since the beginning of the last century), the dynamic link between wealth inequality (or wealth concentration) and economic growth has been largely ignored in the literature, taking more attention in recent years. This paper asserts that the accumulation of non-productive assets/luxury goods is an important determinant of wealth inequality, as well as a determinant of the relationship between wealth inequality and economic growth. In this paper our aim is to show that an increase in wealth inequality is associated with a slowdown in economic growth. In particular, the paper shows that there is a negative relationship between wealth inequality and economic growth in France because poor households own a relatively large fraction of non-productive luxury goods. Nevertheless, this is not the case in the US, which is what explains that such negative relationship is not observed there. We conclude that a redistribution of wealth (from the rich to the poor) is important for attaining a sustained economic growth performance.

Interplay between absorptive capacity, analytics competence and sustainable economic performance of MSMEs in supply chain: the mediating role of risk resilience

Interplay between absorptive capacity, analytics competence and sustainable economic performance of MSMEs in supply chain: the mediating role of risk resilience

Emergence of AI enabled smart buildings in India: a road towards sustainable performance

Purpose The concept of sustainable performance is gaining attention from researchers all over the world for the betterment of society as a whole. Pollution and climate change has instigated an awareness to switch to sustainable built environment. The present research aims to analyze the indicators of adoption of smart buildings and their impact on dimensions of sustainability, namely, economic, social and environmental performance. Design/methodology/approach Data was collected from 332 respondents staying in smart buildings. Structural equation modeling was applied to analyze the data. Findings The results of the study indicated adoption of smart buildings depicted a stronger perceived sustainable environmental and economic performance while social performance emerged as a weak outcome variable as compared to the other two performances. Originality/value The study thus has tremendous implications for construction companies so that they may design smart buildings by adequately using artificial intelligence. To the best of the authors’ knowledge, this research is one of the initial studies to understand the perception of residents of smart buildings using smart technology in India.

Stakeholder participation in the ISSB’s standard-setting process: the consultations on the first exposure drafts on sustainability reporting

PurposeThis paper aims to provide empirical evidence on formal stakeholder participation (or “lobbying”) in the early phase of the International Sustainability Standards Board’s (ISSB’s) standard-setting.Design/methodology/approachDrawing on a rational-choice framework, this paper conducts a content analysis of comment letters (CLs) submitted to the ISSB in response to its first two exposure drafts (published in 2022) to investigate stakeholder participation across different groups and jurisdictional origins. The analyses examine participation in terms of frequency (measured using the number of participating stakeholders) and intensity (measured using the length of CLs).FindingsPreparers and users of sustainability reports emerge as the largest participating stakeholder groups, while the accounting/sustainability profession participates with high average intensity. Surprisingly, preparers do not outweigh users in terms of participation frequency and intensity; and large preparers outweigh smaller ones in terms of participation intensity but not participation frequency. Internationally, stakeholders from countries with a private financial accounting standard-setting system participate more frequently and intensively than others. In addition, country-level economic wealth and sustainability performance are positively associated with more participating stakeholders.Practical implicationsThis study is of interest for organizations and stakeholders involved in or affected by standard-setting in the field of sustainability reporting. The finding of limited participation by investors and from developing countries suggests the ISSB take actions to enhance the voice of those stakeholders.Social implicationsThe imbalances in stakeholder participation that were found pose potential threats to an important aspect of the input legitimacy of the ISSB’s standard-setting process.Originality/valueTo the best of the authors’ knowledge, this paper is the first to explore stakeholder participation by means of CLs with the ISSB in terms of frequency and intensity.

EU countries’ digital transformation, economic performance, and sustainability analysis

Digital transformation generates challenges and opportunities at the individual and organizational levels. Implementing digital technologies impacts all countries’ economic growth and orientation toward sustainability. This paper aims to evaluate the effects of digital transformation on the economic performance and sustainability of European Union (EU) countries. The paper employs artificial neural network analysis, structural equation modeling, and cluster analysis to investigate the relationships among digital transformation, economic performance, and sustainability. Economic performance is measured using GDP per capita, while SDG scores represent sustainability. The use of computers and the Internet in enterprises, the volume of e-commerce, and the percentages of implementing new digital technologies, such as cloud computing, Big Data, and the Internet of Things, illustrate digital transformation. The research findings reveal the extent of digital transformation in each country and the significant influence of digital transformation on economic performance and sustainability. The main drivers of digital transformation are the use of computers and the Internet in enterprises and e-commerce. However, new digital technologies exert increasingly noticeable effects, particularly in developed European countries. This study elucidates the profound implications of digital transformation on economic performance and sustainability. It underscores the pivotal role of digital technologies, especially in advanced European countries, in driving economic growth and sustainability. The results can be helpful to regulators in developing digitization strategies that underpin sustainable economic performance.

Energy prices volatility, natural resource policy-making and green economic recovery in post COVID-19 era: Evidence from BRICS countries

The connectedness of natural resource volatility and economic growth has been an area of central attention for academicians and researchers before and even after the COVID-19 pandemic. The global as well as the Asian financial crises have negatively impacted the natural resources and economic growth of countries. Literature lacks the impact of crises on natural resources especially in BRICS economies. Hence, the current study examines the agriculture, livestock, crude oil, metal, and, coal-based natural resource commodities in determining the sustainable economic growth of BRICS countries. To achieve the objectives, data from the GSC index (Goldman Sachs Commodity Index) and different World Bank indicators is collected over a period from 2002 to 2022 which also includes the era of Post COVID-19 pandemic. Augmented dicky fuller test is used to explore the stationarity of constructs while ECM (error correction model) and Granger causality test are used to capture the connectedness between the explanatory and dependent variables. The empirical results infer that prices of commodities based on agriculture, livestock, oil, coal, and valuable metals are positively linked with sustainable economic performance in BRICS Countries. The results may be supportive of accelerating economic growth by improving the extraction and consumption of natural resources, livestock, agriculture, precious metals, oil, and coal.

Sustainable Development Solutions: Growing and Processing Raspberries on Lithuanian Farms.

The EU's goals by 2050 are to ensure food security, prevent bio-diversity loss, and strengthen the EU food system's resilience. Recent scientific research and the situation in the global market show that the cultivation and processing of raspberries is currently completely unsustainable. This sector is experiencing a huge decline in Lithuania. Therefore, we chose the sustainability of raspberry growing (from farm) and processing (to fork) as an object. The aim of this article was (i) to analyze the raw material of the raspberry plant for product sustainable processing, (ii) to create a digital sustainability measurement model, and (iii) to present sustainable development solutions for effective raspberry growing and processing on Lithuanian farms using content and descriptive methods. This paper discusses how to help small raspberry growers and processors achieve sustainable economic, environmental, and social performance from field raw material to processed products. Analysis of the scientific literature has revealed qualitative and quantitative sustainability indicators for improving raspberry production. The assessment of the sustainability according to our created model revealed the (un)sustainable factors and the current situation in raspberry farms on a Likert scale from very unsustainable to very sustainable. Based on the evaluation we have determined sustainable development solutions. Raspberry growing and processing in Lithuania can contribute to environmental conservation, economic growth, and social well-being, fostering a more sustainable and resilient agricultural sector by investing in R&D, improving productivity, creating employment opportunities and supporting rural communities, establishing a robust waste management system, and embracing renewable energy sources. Raspberry growers and processors can use the digital model we created for the sustainability, efficiency, and development directions of their farm.

Mapping the link between CSR and sustainability performance through GHRM practices in hotel industry

This study investigated the mediating role between corporate social responsibility (CSR) and sustainability performance. This is the first study which has focused specifically on mediating role of green human resource management (HRM) between CSR and sustainability performance dimensions which is remained unanswered in the literature. Survey data from the 139 hotels in Pakistan was collected and SmartPLS was applied for structural equation modeling. Findings reveal that CSR is positively and significantly related with green HRM practices. In addition, green HRM practices mediate the relationship between CSR and environmental and social dimensions of sustainability performance. Contradictory to the expectation, green HRM was found insignificant mediator between CSR and economic sustainability performance. The findings demonstrate various theoretical and managerial implications. The study offers novelty by unfolding the unobserved mediating relationship of green HRM between CSR and dimensions of sustainability performance. The study also contributes to the literature of resource-based view (RBV) theory which depicts that CSR and green HRM are the intangible resources for the hotels in achieving sustainable performance and competitive advantage. The study will help the policy makers and managers by adopting theoretical framework for their cleaner production capabilities.