Exploring the indirect role of green business practices in transmitting eco-market orientation into positive organizational outcomes: an empirical study

Abstract

PurposeThis study aims to examine whether the types of eco-market orientation (eco-proactive market orientation and eco-responsive market orientation) result in green knowledge acquisition and positive organizational outcomes (green customer satisfaction [GCS], green brand image [GBI] and green value-based competitiveness [GVC]). The study further aims to explore the mediation role of green business practices in the relationship between the types of eco-market orientation and organizational outcomes.Design/methodology/approachQuestionnaire was used to garner data from managers from Ghanaian hospitality firms. The hypothesized relationships were tested using partial least square structural equation modeling.FindingsThe result confirms the notion that although both eco-proactive market orientation and eco-responsive market orientation contribute significantly to enhancing the acquisition of green knowledge, eco-responsive market orientation has a strong effect on green knowledge acquisition. Also, the outcome of the mediation analysis proves that green business practices (GBPs) play an important indirect role in the relationship between eco-market orientation (eco-proactive market orientation and eco-responsive market orientation), GCS, GBI and GVC.Originality/valueAnchored on the resource advantage theory and natural resource-based view theory, this study offers a fresh contribution to marketing and environmental management literature by developing a unified research model that explores the mediation roles of GBPs between the types of eco-market orientation (eco-proactive market orientation and eco-responsive market orientation), GCS, GBI and GVC.