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Improving Green Market Orientation, Green Supply Chain Relationship Quality, and Green Absorptive Capacity to Enhance Green Competitive Advantage in the Green Supply Chain

Yu-Hsien Lin (), Nisha Kulangara (), Krista Foster () and Jennifer Shang ()
Additional contact information
Yu-Hsien Lin: Department of Urban Industrial Management and Marketing, University of Taipei, Taipei 11153, Taiwan
Nisha Kulangara: Department of OMIS, Schulich School of Business, York University, 4700 Keele Street, Toronto, ON M3J 1P3, Canada
Krista Foster: IT, Analytics, and Operations Department, Mendoza College of Business, University of Notre Dame, Notre Dame, IN 46556, USA
Jennifer Shang: Joseph M. Katz Graduate School of Business and College of Business Administration, The University of Pittsburgh, Pittsburgh, PA 15260, USA

Sustainability, 2020, vol. 12, issue 18, 1-22

Abstract: This study examines the influences of market orientation, supply chain relationship quality, and absorptive capacity on competitive advantage in green supply chains. We examine the intensity of these relationships in a green supply chain context. This study aims to figure out the effects of green market orientation (GMO), green supply chain relationship quality (GRQ), and green absorptive capacity (GAC) on green competitive advantage (GCA) in a supply chain. We find a significant positive association between these constructs. It highlights the importance of antecedents such as GMO, GRQ, and GAC on improving GCA. We jointly investigate the effects of GMO, GRQ, and GAC on green supply chain competitive advantage. This study uses Process Macro 2.15 to test the mediation effect between GMO and GCA. The result shows that GRQ and GAC completely mediate the relationship between GMO and GCA and that the effect sizes are 0.11 and 0.20, respectively. This study also reruns the model to clarify whether competing models are better than our model. However, the performance of such a competing model is poor. Finally, we accept our model instead of the competing model. GMO and GRQ among team managers and employees appear to contribute positively to GCA. Although GAC does not directly influence GCA, GMO has a significant total effect on GCA when intervened by GRQ and GAC. The key contribution is that green market orientation, i.e., the employee culture and the emphasis on being environmentally responsible, is a key antecedent to GRQ, GAC, and GCA. Managerial implications of the findings are listed.

Keywords: green market orientation; green supply chain relationship quality; green absorptive capacity; green competitive advantage; green supply chain (search for similar items in EconPapers)
JEL-codes: Q Q0 Q2 Q3 Q5 Q56 O13 (search for similar items in EconPapers)
Date: 2020
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