IDEAS home Printed from https://ideas.repec.org/a/bla/bstrat/v33y2024i2p389-406.html
   My bibliography  Save this article

Heterogeneity in corporate green supply chain practice adoption: Insights from institutional fields

Author

Listed:
  • Yuan Chen
  • Qinghua Zhu
  • Joseph Sarkis

Abstract

Firms adopt different green supply chain management (GSCM) practices at varying levels. Drawing on institutional field theory, this study aims to explore the heterogeneity in GSCM practice adoption considering different firm characteristics, including firm size, industry, and ownership. Secondary data from 394 firms operating in China show that four organizational groupings—brown, light brown, light green, and green—firms exist. Multinomial logistic regression results show that larger firms and firms in the electronics industry are more likely to be greener, indicating that firm size and industry play a strong role in discriminating GSCM practice adoption. Interestingly, no differences between domestic and foreign‐owned firms exist, implying that the gaps in institutional perspectives between Chinese domestic and non‐domestic ownership may be disappearing. This study provides practical implications for strategic benchmarking of GSCM practices. The results also have broader implications for firm operations within China and Chinese firms competing elsewhere.

Suggested Citation

  • Yuan Chen & Qinghua Zhu & Joseph Sarkis, 2024. "Heterogeneity in corporate green supply chain practice adoption: Insights from institutional fields," Business Strategy and the Environment, Wiley Blackwell, vol. 33(2), pages 389-406, February.
    • Handle: RePEc:bla:bstrat:v:33:y:2024:i:2:p:389-406
    DOI: 10.1002/bse.3499
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/bse.3499
    Download Restriction: no
    File URL: https://libkey.io/10.1002/bse.3499?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Bryan W Husted & Ivan Montiel & Petra Christmann, 2016. "Effects of local legitimacy on certification decisions to global and national CSR standards by multinational subsidiaries and domestic firms," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 47(3), pages 382-397, April.
    2. Christoph G. Schmidt & Kai Foerstl & Birte Schaltenbrand, 2017. "The Supply Chain Position Paradox: Green Practices and Firm Performance," Journal of Supply Chain Management, Institute for Supply Management, vol. 53(1), pages 3-25, January.
    3. Nakamura, Masao & Takahashi, Takuya & Vertinsky, Ilan, 2001. "Why Japanese Firms Choose to Certify: A Study of Managerial Responses to Environmental Issues," Journal of Environmental Economics and Management, Elsevier, vol. 42(1), pages 23-52, July.
    4. Kristel Buysse & Alain Verbeke, 2003. "Proactive environmental strategies: a stakeholder management perspective," Strategic Management Journal, Wiley Blackwell, vol. 24(5), pages 453-470, May.
    5. Zhu, Qinghua & Cordeiro, James & Sarkis, Joseph, 2012. "International and domestic pressures and responses of Chinese firms to greening," Ecological Economics, Elsevier, vol. 83(C), pages 144-153.
    6. Anil K. Gupta & Vijay Govindarajan, 2000. "Knowledge flows within multinational corporations," Strategic Management Journal, Wiley Blackwell, vol. 21(4), pages 473-496, April.
    7. Alan Muller & Ans Kolk, 2010. "Extrinsic and Intrinsic Drivers of Corporate Social Performance: Evidence from Foreign and Domestic Firms in Mexico," Journal of Management Studies, Wiley Blackwell, vol. 47(1), pages 1-26, January.
    8. Alexander C. Lewis & Arkangel M. Cordero & Rachael Xiong, 2021. "Too Red for Crowdfunding: The Legitimation and Adoption of Crowdfunding Across Political Cultures," Entrepreneurship Theory and Practice, , vol. 45(3), pages 471-504, May.
    9. Magali Delmas & Michael W. Toffel, 2004. "Stakeholders and environmental management practices: an institutional framework," Business Strategy and the Environment, Wiley Blackwell, vol. 13(4), pages 209-222, July.
    10. Guang Victor Shi & James Baldwin & S.C. Lenny Koh & Thomas Y. Choi, 2018. "Fragmented institutional fields and their impact on manufacturing environmental practices," International Journal of Production Research, Taylor & Francis Journals, vol. 56(1-2), pages 431-446, January.
    11. Belderbos, René & Du, Helen S. & Slangen, Arjen, 2020. "When do firms choose global cities as foreign investment locations within countries? The roles of contextual distance, knowledge intensity, and target-country experience," Journal of World Business, Elsevier, vol. 55(1).
    12. Christopher Marquis & András Tilcsik, 2016. "Institutional Equivalence: How Industry and Community Peers Influence Corporate Philanthropy," Organization Science, INFORMS, vol. 27(5), pages 1325-1341, October.
    13. Patten, Dennis M., 1991. "Exposure, legitimacy, and social disclosure," Journal of Accounting and Public Policy, Elsevier, vol. 10(4), pages 297-308.
    14. Peter Tashman & Valentina Marano & Tatiana Kostova, 2019. "Walking the walk or talking the talk? Corporate social responsibility decoupling in emerging market multinationals," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 50(2), pages 153-171, March.
    15. Lai, Kee-hung & Wong, Christina W.Y. & Venus Lun, Y.H., 2014. "The role of customer integration in extended producer responsibility: A study of Chinese export manufacturers," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 284-293.
    16. J. Scott Long & Jeremy Freese, 2006. "Regression Models for Categorical Dependent Variables using Stata, 2nd Edition," Stata Press books, StataCorp LP, edition 2, number long2, March.
    17. Andrew A. King & J. Myles Shaver, 2001. "Are aliens green? Assessing foreign establishments' environmental conduct in the United states," Strategic Management Journal, Wiley Blackwell, vol. 22(11), pages 1069-1085, November.
    18. Rick Hardcopf & Rachna Shah & Ujjal Mukherjee, 2019. "Explaining Heterogeneity in Environmental Management Practice Adoption across Firms," Production and Operations Management, Production and Operations Management Society, vol. 28(11), pages 2898-2918, November.
    19. Singh, Neelam & Jain, Suresh & Sharma, Prateek, 2015. "Motivations for implementing environmental management practices in Indian industries," Ecological Economics, Elsevier, vol. 109(C), pages 1-8.
    20. Arpita Joardar & Joseph Sarkis, 2021. "An examination of sustainable development of supply chain using foreignness perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 630-642, January.
    21. Christopher Marquis & Gerald F. Davis & Mary Ann Glynn, 2013. "Golfing Alone? Corporations, Elites, and Nonprofit Growth in 100 American Communities," Organization Science, INFORMS, vol. 24(1), pages 39-57, February.
    22. Qinghua Zhu & Joseph Sarkis & Kee‐hung Lai & Yong Geng, 2008. "The role of organizational size in the adoption of green supply chain management practices in China," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 15(6), pages 322-337, November.
    23. Nicole Darnall & Irene Henriques & Perry Sadorsky, 2010. "Adopting Proactive Environmental Strategy: The Influence of Stakeholders and Firm Size," Journal of Management Studies, Wiley Blackwell, vol. 47(6), pages 1072-1094, September.
    24. V. Kumar & D. Holt & A. Ghobadian & J.A. Garza-Reyes, 2015. "Developing green supply chain management taxonomy-based decision support system," International Journal of Production Research, Taylor & Francis Journals, vol. 53(21), pages 6372-6389, November.
    25. Heather Berry & Aseem Kaul & Narae Lee, 2021. "Follow the smoke: The pollution haven effect on global sourcing," Strategic Management Journal, Wiley Blackwell, vol. 42(13), pages 2420-2450, December.
    26. Chonnikarn (Fern) Jira & Michael W. Toffel, 2013. "Engaging Supply Chains in Climate Change," Manufacturing & Service Operations Management, INFORMS, vol. 15(4), pages 559-577, October.
    27. Vastag, Gyula & Kerekes, Sandor & Rondinelli, Dennis A., 1996. "Evaluation of corporate environmental management approaches: A framework and application," International Journal of Production Economics, Elsevier, vol. 43(2-3), pages 193-211, June.
    28. Mary Ann Glynn, 2008. "Configuring the Field of Play: How Hosting the Olympic Games Impacts Civic Community," Journal of Management Studies, Wiley Blackwell, vol. 45(6), pages 1117-1146, September.
    29. Valentina Marano & Tatiana Kostova, 2016. "Unpacking the Institutional Complexity in Adoption of CSR Practices in Multinational Enterprises," Journal of Management Studies, Wiley Blackwell, vol. 53(1), pages 28-54, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sreejith Balasubramanian & Vinaya Shukla & Sachin Mangla & Janya Chanchaichujit, 2021. "Do firm characteristics affect environmental sustainability? A literature review‐based assessment," Business Strategy and the Environment, Wiley Blackwell, vol. 30(2), pages 1389-1416, February.
    2. Christin Seifert & Edeltraud Guenther, 2020. "Who cares?—Stakeholder relevance for voluntary environmental management in hospitals," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(4), pages 1786-1799, July.
    3. Francesco Testa & Olivier Boiral & Fabio Iraldo, 2018. "Internalization of Environmental Practices and Institutional Complexity: Can Stakeholders Pressures Encourage Greenwashing?," Journal of Business Ethics, Springer, vol. 147(2), pages 287-307, January.
    4. Nguyen Phong Nguyen & Samuel Adomako, 2022. "Stakeholder pressure for eco‐friendly practices, international orientation, and eco‐innovation: A study of small and medium‐sized enterprises in Vietnam," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(1), pages 79-88, January.
    5. Abdul Majid & Muhammad Yasir & Muhammad Yasir & Asad Javed, 2020. "Nexus of institutional pressures, environmentally friendly business strategies, and environmental performance," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(2), pages 706-716, March.
    6. Pei Sun & Jonathan P. Doh & Tazeeb Rajwani & Donald Siegel, 2021. "Navigating cross-border institutional complexity: A review and assessment of multinational nonmarket strategy research," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 52(9), pages 1818-1853, December.
    7. Oksana Seroka‐Stolka, 2023. "Towards sustainability: An environmental strategy choice, environmental performance, and the moderating role of stakeholder pressure," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5992-6007, December.
    8. Tatoglu, Ekrem & Bayraktar, Erkan & Sahadev, Sunil & Demirbag, Mehmet & Glaister, Keith W., 2014. "Determinants of voluntary environmental management practices by MNE subsidiaries," Journal of World Business, Elsevier, vol. 49(4), pages 536-548.
    9. Jo Crotty & Peter Rodgers, 2012. "Sustainable Development in the Russia Federation: The Limits of Greening within Industrial Firms," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 19(3), pages 178-190, May.
    10. Wu, Tienhua & Jim Wu, Yen-Chun & Chen, Yenming J. & Goh, Mark, 2014. "Aligning supply chain strategy with corporate environmental strategy: A contingency approach," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 220-229.
    11. Qi Guoyou & Zeng Saixing & Tam Chiming & Yin Haitao & Zou Hailiang, 2013. "Stakeholders' Influences on Corporate Green Innovation Strategy: A Case Study of Manufacturing Firms in China," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 20(1), pages 1-14, January.
    12. Javier González‐Benito & Óscar González‐Benito, 2006. "A review of determinant factors of environmental proactivity," Business Strategy and the Environment, Wiley Blackwell, vol. 15(2), pages 87-102, March.
    13. Xu, Kai & Hitt, Michael A. & Brock, David & Pisano, Vincenzo & Huang, Lulu S.R., 2021. "Country institutional environments and international strategy: A review and analysis of the research," Journal of International Management, Elsevier, vol. 27(1).
    14. Sahasranamam, Sreevas & Arya, Bindu & Mukundhan, K.V., 2022. "Dual institutional embeddedness and home country CSR Engagement: Evidence from Indian MNEs," Journal of Business Research, Elsevier, vol. 141(C), pages 163-174.
    15. Hartmann, Julia & Inkpen, Andrew & Ramaswamy, Kannan, 2022. "An FsQCA exploration of multiple paths to ecological innovation adoption in European transportation," Journal of World Business, Elsevier, vol. 57(5).
    16. Vinod Kumar & Zillur Rahman & A. A. Kazmi, 2016. "Assessing the Influence of Stakeholders on Sustainability Marketing Strategy of Indian Companies," SAGE Open, , vol. 6(3), pages 21582440166, September.
    17. James Cordeiro & Manish Tewari, 2015. "Firm Characteristics, Industry Context, and Investor Reactions to Environmental CSR: A Stakeholder Theory Approach," Journal of Business Ethics, Springer, vol. 130(4), pages 833-849, September.
    18. Anton Shevchenko, 2021. "Do financial penalties for environmental violations facilitate improvements in corporate environmental performance? An empirical investigation," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 1723-1734, May.
    19. Jesús Valero-Gil & Pilar Rivera-Torres & Conchita Garcés-Ayerbe, 2017. "How Is Environmental Proactivity Accomplished? Drivers and Barriers in Firms’ Pro-Environmental Change Process," Sustainability, MDPI, vol. 9(8), pages 1-15, July.
    20. Lyton Chithambo & Ishmael Tingbani & Godfred Afrifa Agyapong & Ernest Gyapong & Isaac Sakyi Damoah, 2020. "Corporate voluntary greenhouse gas reporting: Stakeholder pressure and the mediating role of the chief executive officer," Business Strategy and the Environment, Wiley Blackwell, vol. 29(4), pages 1666-1683, May.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:bstrat:v:33:y:2024:i:2:p:389-406. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1099-0836 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.