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Servitized SMEs’ performance and the influences of sustainable procurement, packaging, and distribution: The mediating role of eco-innovation

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  • Bhatti, Sabeen Hussain
  • Rashid, Majid
  • Arslan, Ahmad
  • Tarba, Shlomo
  • Liu, Yipeng

Abstract

The current paper is one of the pioneering studies to specifically analyze the role of both inbound and outbound sustainable supply chain practices (SSCP) of servitized SMEs in a relatively high-risk emerging economy context of Pakistan. Building on Porter’s Value Chain Model, this study analyzes the influence of sustainable servitization on multiple performance indicators (including environmental, economic, social, and operational) of servitized SMEs. We further investigate the role of eco-innovation as a mediator. The study employs a time-lagged research design, based on primary data collected from 280 managers of servitized SMEs. We found that sustainable practices positively impact servitized SMEs’ performance, except for sustainable procurement’s influence on operational performance. Finally, eco-innovation was found to partially mediate the analyzed inter-relationships.

Suggested Citation

  • Bhatti, Sabeen Hussain & Rashid, Majid & Arslan, Ahmad & Tarba, Shlomo & Liu, Yipeng, 2023. "Servitized SMEs’ performance and the influences of sustainable procurement, packaging, and distribution: The mediating role of eco-innovation," Technovation, Elsevier, vol. 127(C).
    • Handle: RePEc:eee:techno:v:127:y:2023:i:c:s0166497223001426
    DOI: 10.1016/j.technovation.2023.102831
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    References listed on IDEAS

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    1. Vishal V. Agrawal & Ioannis Bellos, 2017. "The Potential of Servicizing as a Green Business Model," Management Science, INFORMS, vol. 63(5), pages 1545-1562, May.
    2. Paiola, Marco & Schiavone, Francesco & Grandinetti, Roberto & Chen, Junsong, 2021. "Digital servitization and sustainability through networking: Some evidences from IoT-based business models," Journal of Business Research, Elsevier, vol. 132(C), pages 507-516.
    3. Xing, Yijun & Liu, Yipeng & Davies, Philip, 2023. "Servitization innovation: A systematic review, integrative framework, and future research directions," Technovation, Elsevier, vol. 122(C).
    4. Mohammad Asif Salam, 2007. "Social responsibility in purchasing: the case of Thailand," International Journal of Procurement Management, Inderscience Enterprises Ltd, vol. 1(1/2), pages 97-116.
    5. Harpreet Kaur & Surya Prakash Singh, 2019. "Flexible dynamic sustainable procurement model," Annals of Operations Research, Springer, vol. 273(1), pages 651-691, February.
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