Environmental strategy, green supply chain integration and sustainable performance: examining the synergistic effects

Abstract

Purpose

Manufacturers are facing growing institutional pressures to enhance the manufacturers' sustainability. Establishing appropriate environmental strategy and implementing green supply chain integration (GSCI) are imperative initiatives for them. Nevertheless, prior research has predominantly examined the individual net impacts on sustainable performance. Drawing on the strategy-structure-environment (SSE) framework and configurational perspective, this study investigates the synergistic effects and multiple equivalent combinations of environmental strategy and GSCI under diverse institutional forces.

Design/methodology/approach

To empirically validate this relationship, the present study utilizes fuzzy-set qualitative comparative analysis (fsQCA) to analyze two-wave survey data collected from 317 manufacturers in China.

Findings

The findings indicate that individual dimension of environmental strategy and GSCI is not independently necessary. However, when combined, this results in seven equifinal configurations that lead to high sustainable performance. Combining all dimensions of environmental strategy and GSCI leads to the simultaneous achievement of high environmental, economic and social performance under perceived social pressure.

Practical implications

This study offers firms the flexibility to select from a range of pathways, allowing the firms to strategically filter and develop diverse combinations of environmental strategy and GSCI. These choices empower firms to enhance the firms' sustainable performance while navigating various institutional forces.

Originality/value

This study contributes to the existing literature by utilizing the SSE framework to investigate the configurational paths that influence sustainable performance. Additionally, this work introduces the fsQCA method to enhance the understanding of sustainable performance in the literature.

Citation

Liu, Y., Fang, W., Feng, T. and Xi, M. (2023), "Environmental strategy, green supply chain integration and sustainable performance: examining the synergistic effects", Management Decision, Vol. 61 No. 9, pp. 2603-2628. https://doi.org/10.1108/MD-04-2022-0532