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Book part
Publication date: 27 September 2021

Amalesh Sharma, Sourav Bikash Borah, Anirban Adhikary and Tanjum Haque

The extant literature provides much-needed support to understand marketing accountability and how marketing actions are related to financial performance (FP). However, we have…

Abstract

The extant literature provides much-needed support to understand marketing accountability and how marketing actions are related to financial performance (FP). However, we have limited understanding of the relationships between marketing actions and firms' social performance (SP) and environmental performance (EP). Understanding these links is critical to enhancing sustainable FP, SP, and EP. Moreover, the literature provides limited understanding of the measures by which SP and EP may be operationalized, or the data necessary to reach a conclusion. This study bridges these gaps by extensively reviewing the extant literature to offer a set of measures and data sources to operationalize SP and EP, and empirically show their relationships with marketing actions. We find that greenhouse gas (GHG) emission, environmental disclosure score, waste reduction, energy consumption, and recycling are prominent measures of EP, and that social disclosure score, philanthropy or community spending, and diversity of gender and race are prominent measures of SP. The KLD, ASSET4, and Bloomberg are prominent sources of data that can be used to operationalize SP, to which CDP may be added for EP. We also show that marketing actions positively affect EP and SP. This study contributes to the extant literature on SP and EP by identifying measures and data sources and linking marketing actions to both performance types. It contributes to policy development by identifying the importance of EP and SP and how marketing actions can help achieve such performance.

Article
Publication date: 2 July 2018

Wafaa Shihadeh Al-Ghwayeen and Ayman Bahjat Abdallah

The purpose of this paper is to examine the impact of green supply chain management (GSCM) on environmental performance (EP) and export performance in the context of a developing…

3109

Abstract

Purpose

The purpose of this paper is to examine the impact of green supply chain management (GSCM) on environmental performance (EP) and export performance in the context of a developing country, Jordan. In addition, the mediating effect of EP on the relationship between GSCM and export performance is investigated.

Design/methodology/approach

The study is based on survey data collected from 221 manufacturing companies in Jordan. The companies were selected from different industry types to ensure diversity. Validity and reliability analyses were performed using SPSS and Amos, and structural equation modeling was used to test the study hypotheses.

Findings

The results revealed that GSCM positively and significantly affects both EP and export performance. In addition, the results demonstrated that EP positively and significantly affects export performance. Further, it is also found that EP positively and significantly mediates the relationship between GSCM and export performance.

Originality/value

The current study is one of the first to investigate the impact of GSCM on export performance, especially in the context of a developing country. In addition, this study contributes to the existing literature by highlighting the mediating effect of EP on GSCM—export performance relationship. GSCM is an under-investigated area in Jordan. The results are expected to promote GSCM implementation among manufacturing companies in Jordan in order to achieve economic benefits by increasing their exports through improvements in EP.

Details

Journal of Manufacturing Technology Management, vol. 29 no. 7
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 1 June 2022

Hüseyin Temiz

This study aims to investigate the effects of environmental performance (EP) of firms and its pillars on both cost of debt and equity (COF) in emerging market context.

Abstract

Purpose

This study aims to investigate the effects of environmental performance (EP) of firms and its pillars on both cost of debt and equity (COF) in emerging market context.

Design/methodology/approach

This study uses 4,152 firm-year observations covering the years 2015–2019 from 17 emerging market countries. Data are obtained from ASSET4 and Datastream databases. OLS method with country, industry and year fixed effects are utilized in the main analysis of the study. Several robustness tests including 2SLS IV method are performed to test the sensitivity of the results.

Findings

The results suggest that aggregate EP of firms has reducing effects on both cost of debt and equity. All EP pillars have negative effects on the cost of debt while only emission performance has negative significant impact on cost of equity. This reveals that the effects of EP on cost of equity is mostly driven by emission performance of firms.

Practical implications

Given differences between emerging and developed countries in terms of environmental regulations, infrastructure and technology, it is suggested that regulatory bodies and governments urge firms to implement environmentally friendly policies. Besides, implications for emerging markets for capturing more shares from responsible investments are provided.

Social implications

Although the adoption and implementation of environmentally-friendly policies are costly, improved environmental performance has financial advantages, including lower COF for firms. Therefore, firms would benefit from improving their EP in order to protect the nature, as well as to enjoy the economic benefits of better EP.

Originality/value

This study confirms that improved environmental performance has financial advantages for firms in emerging markets, such as lower COF.

Details

Sustainability Accounting, Management and Policy Journal, vol. 13 no. 5
Type: Research Article
ISSN: 2040-8021

Keywords

Article
Publication date: 4 May 2020

Yaw Agyabeng-Mensah, Esther Ahenkorah, Ebenezer Afum and Dallas Owusu

Firms are adopting strategies to advance product quality and environmental sustainability to achieve improved profitability and shareholders’ wealth. The study investigates…

1517

Abstract

Purpose

Firms are adopting strategies to advance product quality and environmental sustainability to achieve improved profitability and shareholders’ wealth. The study investigates strategies that create a superior quality performance to competitors and improve both environmental and business performances. This paper explores the direct and indirect influence of lean management and environmental practices on relative competitive quality advantage, environmental performance and business performance.

Design/methodology/approach

The study uses a quantitative method where data is gathered from 259 manufacturing firms in Ghana. The data is gathered through customized questionnaires. The partial least squares structural equation modeling (SmartPLS 3.2.8) is used to analyze the data. Firm size, industry type and importance of environmental issues are used as control variables in this study.

Findings

The findings of the study indicate that both lean management and environmental practices create relative competitive quality advantage and improve environmental performance and business performance. Environmental performance and relative competitive quality advantage mediate the influence of lean management and environmental practices on business performance. The results further indicate that lean management creates a higher relative competitive quality advantage than environmental practices, while environmental practices have more potency to enhance environmental performance than lean management.

Originality/value

The study develops and proposes a comprehensive theoretical framework that examines the potency of environmental practices and lean management in creating a relative competitive quality advantage and improving environmental performance and business performance from a Ghanaian perspective, which is an emerging economy in Africa. Lean management and environmental practices may jointly help firms create relative competitive advantage and improve environmental performance to enhance business performance.

Details

Journal of Manufacturing Technology Management, vol. 31 no. 7
Type: Research Article
ISSN: 1741-038X

Keywords

Article
Publication date: 10 August 2020

Arsalan Mujahid Ghouri, Venkatesh Mani, Mustafa R. Khan, Naveed R. Khan and Anugamini Priya Srivastava

The purpose of this study is to assess the key determinants of green human resource management (GHRM) and investigate its impact on environmental performance (EP) and business…

2476

Abstract

Purpose

The purpose of this study is to assess the key determinants of green human resource management (GHRM) and investigate its impact on environmental performance (EP) and business performance (BP).

Design/methodology/approach

The research employed SmartPLS 3 and follows a cross-sectional research design. Data from 179 employees were collected using a convenience sampling technique from the firms that adopted GHRM practices.

Findings

The research found a significant relationship of GHRM with EP and also reported the significant relationship between EP and BP. Moreover, EP significantly mediates the relationship of GHRM with BP.

Research limitations/implications

A relatively small sample size of employees was used that may suggest the need for a diverse and more representative sample. The paper is based on data collected from the Malaysian manufacturing industry – other economic sectors and Asian countries may offer different results.

Practical implications

The paper identifies the need for incorporating GHRM practices and culture at the workplace to encourage positive green behavior in employees which will increase the EP and BP of the firm.

Originality/value

This paper reported the initial empirical findings after the March 7th incident on EP of businesses in Malaysia, where businesses have initiated the adoption of GHRM practices.

Details

International Journal of Productivity and Performance Management, vol. 69 no. 8
Type: Research Article
ISSN: 1741-0401

Keywords

Article
Publication date: 5 February 2018

Lucy Wenxiang Lu and Martin Edward Taylor

The purpose of this paper is to study the relationships among environmental performance (EP), environmental disclosure (ED), and financial performance (FP) (three corporate…

3635

Abstract

Purpose

The purpose of this paper is to study the relationships among environmental performance (EP), environmental disclosure (ED), and financial performance (FP) (three corporate constructs) using data from Newsweek’s green rankings.

Design/methodology/approach

Previous studies document mixed results about the relations among the three constructs. A firm’s overall management strategy may affect the three constructs simultaneously; therefore, the interrelationships among EP, ED, and FP were jointly examined. A simultaneous equations approach was used to test the hypothesis.

Findings

The three-stage least square (3SLS) estimation results show a negative relationship between EP and FP and a positive relationship between EP and ED, suggesting that financially successful firms are less likely good environmental performers but green firms are more likely to disclose their EP.

Research limitations/implications

Since the sample firms examined in this study are US large-size companies, the results found in this paper may not apply to small- and/or medium-size firms or to companies in other countries.

Practical implications

Three corporate constructs are jointly correlated with each one. A firm’s overall strategic plan on environmental engagement is likely reflected in how it engages in each of the constructs that affect costs and benefits. Sustainable efforts, in short term, may put firms at risk. Companies may need to take a long-term perspective when cutting costs is curtailed.

Originality/value

The research contributes to the ED and EP literature by using a 3SLS simultaneous equation method and analyzing a more recent and comprehensive multi-industry data. By controlling industry effect, the research investigates the interrelationships among three corporate constructs and finds interesting results. An interpretation and discussion are provided.

Article
Publication date: 23 February 2024

Imen Ouragini, Imen Ben Achour and Lassaad Lakhal

The current study’s goal is to investigate how lean, agile, resilient and sustainable human resource management (LARS HRM) affects green innovation and environmental performance

Abstract

Purpose

The current study’s goal is to investigate how lean, agile, resilient and sustainable human resource management (LARS HRM) affects green innovation and environmental performance, both directly and indirectly.

Design/methodology/approach

Partial least squares-structural equation modeling (PLS-SEM) was used to analyze the data based on a sample of 273 Tunisian businesses in the industrial and service sectors that were certified ISO 9001.

Findings

With the exception of AHRM–GPdtI, the results show that the mainstream advanced theory on direct effects was verified. With regard to indirect effects, everything of the literature that was presented was accepted, with the exception of the relationship between AHRM–GPdtI–EP, AHRM–GPssI–EP and RHRM–GPdtI–EP.

Originality/value

This research is distinctive in that it aims to incorporate every LARGS paradigm within the HRM field. By taking green innovation into consideration, it closes the current gaps on the direct and indirect effects of LARS HRM on environmental performance. Our study is unique in that it incorporates large, industry-operating, certified ISO 9001 firms with those in the service sector, with the goal of achieving greater generalization of results.

Details

International Journal of Quality & Reliability Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 19 September 2023

Lahcene Makhloufi, Farouk Djermani and Tang Meirun

Drawing upon the natural resource-based view (NRBV), green absorptive capacity (GAC) is the backbone of firm green dynamic capabilities. It converts the developed knowledge into…

Abstract

Purpose

Drawing upon the natural resource-based view (NRBV), green absorptive capacity (GAC) is the backbone of firm green dynamic capabilities. It converts the developed knowledge into knowledge application. Understanding how GAC could benefit corporation environmental performance (EP) is still ambiguous and debated. Hence, this study introduced three facilitator factors, namely, managerial environmental concern (MEC), green innovation performance (GIP) and green entrepreneurship orientation (GEO), in which GAC can improve EP. The study tested the moderation effect of GAC and GEO on the MEC-GEO and the MEC-EP relationships and predicted the mediation effect of MEC, GEO and GIP on the GAC-EP relationship.

Design/methodology/approach

The quantitative study used a self-administered survey and cross-sectional research design; the study collected data from top management employees working in Chinese manufacturing firms.

Findings

The results indicated that GAC positively influences MEC, GEO and GIP, and these last three constructs influence EP. While MEC positively affects GIP, the MEC-GEO relationship was insignificant. The study found that GAC moderates the MEC-GEO relationship, whereas GEO failed to do so between MEC and EP. The results confirm a partial mediation effect between GAC-EP through the three intermediary constructs.

Practical implications

To promote EP, firms GAC should prioritize developing MEC ad GIP. Firms' GEO can exploit eco-friendly opportunities enabled by GAC, a process that bridges the existing knowledge and skills gap between MEC and GEO. GAC is one of the leading green strategic capabilities that help GEO to achieve green business growth and better EP. MEC is the process of facilitating GIP to deliver eco-products and protect the external environment. When MEC failed to address GEO's green business agenda, GEO could not enhance EP.

Originality/value

The study highlights the necessity of GAC to develop firms' green dynamic capabilities to boost EP. The study confirms GAC's vital role in strengthening the manager's environmental awareness and bridging the knowledge gap between GEO and MEC. In addition, GIP can drive entrepreneurial green opportunities and enhance EP when GAC is involved and converts knowledge creation to knowledge applications. Strategically speaking, given the importance of the triple green pillars of the NRBV, GEO would not balance green business growth and EP unless GAC leveled up MEC to match GEO's green business agenda and drive EP.

Details

Management of Environmental Quality: An International Journal, vol. 35 no. 1
Type: Research Article
ISSN: 1477-7835

Keywords

Article
Publication date: 23 September 2019

Ayman Bahjat Abdallah and Wafaa Shihadeh Al-Ghwayeen

The purpose of this paper is to examine the impact of green supply chain management on environmental performance (EP), operational performance (OP), and business performance in…

4184

Abstract

Purpose

The purpose of this paper is to examine the impact of green supply chain management on environmental performance (EP), operational performance (OP), and business performance in the context of a developing country, Jordan. In addition, the mediating effects of environmental and OP on the relationship between green supply chain management and business performance are investigated.

Design/methodology/approach

The study is based on survey data collected from 215 manufacturing firms from different industries in Jordan. Validity and reliability analyses were carried out using SPSS and Amos. Direct and indirect effects were tested using structural equation modeling.

Findings

The results revealed that green supply chain management positively and significantly affects both EP and OP. The results also demonstrated that the total effect of green supply chain management on business performance is positive and significant. The direct effect of green supply chain management on business performance proved to be negative, but insignificant. Thus, the total positive effect of green supply chain management on business performance is indirect and fully goes through EP and OP.

Originality/value

This study is one of the first to examine the direct and indirect effects of green supply chain management on business performance, especially in a developing country and the Middle East in particular. Furthermore, this study contributes to the existing body of knowledge by investigating the mediating effects of EP and OP on the green supply chain management and business performance relationship.

Details

Business Process Management Journal, vol. 26 no. 2
Type: Research Article
ISSN: 1463-7154

Keywords

Article
Publication date: 13 June 2023

Bahadur Ali Soomro, Ghada Mohamed Elhag, Mitho Khan Bhatti, Nadia A. Abdelmegeed Abdelwahed and Naimatullah Shah

The purpose of this study is to examine the development of environmental performance (EP) through sustainable practices (SPs), environmental corporate social responsibility …

Abstract

Purpose

The purpose of this study is to examine the development of environmental performance (EP) through sustainable practices (SPs), environmental corporate social responsibility (environmental CSR) and behavioural intentions (BIs) among Pakistan’s small and medium enterprises (SMEs).

Design/methodology/approach

In this study, the researchers applied a quantitative approach which involved significant cross-sectional data. The authors used an online survey to serve the aim of this study. The survey’s respondents are top managers of Pakistan’s manufacturing firms. The authors received 196 valid cases to obtain suitable outcomes from the data.

Findings

By using the structural equation model, the path analysis shows that green practices (GPs) have a positive and significant effect on SPs and environmental CSR. This study’s findings also demonstrate that environmental CSR plays a substantial role in developing the SPs, BIs and EP. The results of this study also show that SP plays a positive and significant role towards BIs and EP. Finally, BI predicts the EP.

Practical implications

This study's findings provide planners and policymakers with guidelines to create EP through environmental CSR, SPs and BIs. This study's findings are valuable results in identifying green practices’ significant role in establishing environmental CSR and SPs. Finally, this study's findings offer a new perception of integrating these factors and their contribution to EP.

Originality/value

This study examined the development of EP in the challenging situation of the COVID-19 pandemic. Therefore, in terms of the empirical findings, this study provides original value.

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