Affiliation:
1. Malaysia University of Science and Technology, Malaysia
2. Malaysia University of Science and Technology, Malyasia
Abstract
Environmental issues emerge along with the development of firm performance, and it is a challenge to the business world. The aim of this study is to investigate the impact of green supply chain management (GSCM) practices on firm performance. In addition, this study also examined the role of green innovation in between GSCM and firm performance. The data is collected from 369 participants across 123 multinational corporations (MNCs) operating in Pakistan through purposive sampling technique. SmartPLS is employed to analyze the data. The results reveal that GSCM has positive and significant impact on green innovation and firm performance. Moreover, green innovation mediates the relationship between GSCM and firm performance. Researchers, practitioners, and industry leaders, while designing their environmental policies to experience the comparative benefits for both business and society, can use this influence of environmentally friendly practices.