Proactive environmental strategies and corporate performance: Role of green product design and green supply chain processes in the Chinese high-tech industry

Research output: Contribution to journalArticle

  • Authors:
  • Shaorui Li
  • Vaidyanathan Jayaraman
  • Antony Paulraj
  • Kuo-chung Shang

Abstract

Though many firms still believe that passive environmental strategies are sufficient, it is pertinent that they move beyond this belief and take a proactive supply chain-wide environmental stance so as to create a sustainable environment. In this paper, we seek to extend current work within green supply chain management by considering multiple green supply chain capabilities and performance measures. We hypothesise the linkage between environmental orientation, green supply chain capabilities and performance by drawing upon stakeholder theory and natural resource-based view. More importantly, our study is the first to distinguish between product and process-related capabilities in the green supply chain area and study their direct and mediating role with respect to environmental and financial performance measures. Using survey data collected from 256 Chinese-based high-tech firms, we analyse several hypothesised relationships. Our results provide strong support for the significant role that green product design and green supply chain processes can play in improving firms’ environmental and financial performance. Interestingly, our results also suggest that green product design may not have a direct impact on financial performance.

Bibliographical metadata

Original languageEnglish
Pages (from-to)2136-2151
JournalInternational Journal of Production Research
Volume54
Issue number7
Early online date8 Dec 2015
DOIs
Publication statusPublished - 2016