The effect of green shipping practices on multinational companies’ loyalty in Malaysia
The International Journal of Logistics Management
ISSN: 0957-4093
Article publication date: 18 November 2019
Issue publication date: 27 November 2019
Abstract
Purpose
The globalization of market and production activities with unequal distribution of market demand and resources has accelerated the demand for shipping services. Public concerns about environmental issues and the impacts of shipping service providers’ green shipping practices (GSPs) on the reputation and performance of multinational companies (MNCs) motivated the authors to test the impact of shipping companies’ GSPs on MNCs’ loyalty by considering timeliness and perceived value as moderators. The paper aims to discuss this issue.
Design/methodology/approach
The data were collected from 141 MNCs and analyzed using the partial least squares technique.
Findings
The results show that company policy and procedure, shipping documentation, shipping equipment and shipping materials have significant effects on MNCs’ loyalty. Furthermore, timeliness positively moderates the impacts of shipping materials and shipping design on compliance, while perceived value positively moderates the effects of shipping equipment and shipping design for compliance on MNCs’ loyalty.
Practical implications
The results provide insight for shipping service providers on GSPs that may lead to MNCs’ loyalty by considering the roles of lead time and freight rate.
Originality/value
The results extend the literature by testing empirically the impacts of GSP of shipping companies on MNCs’ loyalty and also by investigating the moderating impacts of perceived value and timeliness.
Keywords
Citation
Jozef, E., Kumar, K.M., Iranmanesh, M. and Foroughi, B. (2019), "The effect of green shipping practices on multinational companies’ loyalty in Malaysia", The International Journal of Logistics Management, Vol. 30 No. 4, pp. 974-993. https://doi.org/10.1108/IJLM-01-2019-0005
Publisher
:Emerald Publishing Limited
Copyright © 2019, Emerald Publishing Limited