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Responding to direct and indirect regulatory pressure with sustainable supply chain practices

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Listed:
  • Yiming Zhuang
  • Frank Montabon

Abstract

Drawing on regulatory response theory and diffusion theory, this study develops a regulatory response framework for a firm's adoption of sustainable supply chain practices (SSCPs) using a conceptual deduction approach. Specifically, the framework highlights that it is important for firms to choose the appropriate temporal order of adoption of different types of SSCPs in response to direct and indirect regulatory pressure. Several propositions are offered to indicate the temporal adoption of various types of SSCPs. Our proposed framework guides practitioners in responding to regulatory pressures, strategically sequencing sustainable practices, and optimising resources for effective compliance and sustainability goal achievement. Moreover, policymakers, considering both direct and indirect regulatory pressures, should strategically design regulations to facilitate the sequential adoption of SSCPs, thereby enhancing widespread sustainable practices and achieving broader sustainability goals.

Suggested Citation

  • Yiming Zhuang & Frank Montabon, 2024. "Responding to direct and indirect regulatory pressure with sustainable supply chain practices," International Journal of Integrated Supply Management, Inderscience Enterprises Ltd, vol. 17(3/4), pages 209-238.
    • Handle: RePEc:ids:ijisma:v:17:y:2024:i:3/4:p:209-238
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