The interplay between green supply chain management practices and firm performance: does green technological innovation and institutional pressure matter?

Abstract

Purpose This study aims to investigate the impact of green supply chain management practices on firm performance and the intervening roles of green technological innovation and institutional pressures in this relationship. Design/methodology/approach This study relied on a Resource-Based View and Institutional Theory with explanatory research design to test the hypothesised relationships using original data from 303 companies in a sub-Saharan African market. Structured questionnaires were administered online, and the obtained data were analysed quantitatively using descriptive and Structural Equation Modelling techniques. Findings The results suggest that green technological innovation plays a significant intermediary role in translating green supply chain management practices into enhancing firm performance. Furthermore, institutional pressure positively moderates the indirect relationship between green supply chain management practices and firm performance through green technological innovation. This study recommends adopting green supply chain management practices and promoting green technological innovation by firms to enhance performance while reducing adverse environmental effects. Originality/value This study is novel in the supply chain management field as it critically examines the intervening role of green technological innovation and institutional pressure in the green supply chain management practices – firm performance link using the Resource-Based View and Institutional Theory in the African context.