Cultural Integration for Sustainable Supply Chain Management in Emerging Markets: Framework Development and Empirical Validation Using Public Data

Tsai Hsin Jiang () and Yung Chia Chang
Additional contact information
Tsai Hsin Jiang: Department of Industrial Engineering and Management, National Yang Ming Chiao Tung University, Hsinchu 300, Taiwan
Yung Chia Chang: Department of Industrial Engineering and Management, National Yang Ming Chiao Tung University, Hsinchu 300, Taiwan

Sustainability, 2025, vol. 17, issue 18, 1-26

Abstract: This study develops and empirically validates a framework integrating cultural factors into sustainable supply chain management (SSCM) for emerging economies. We introduce the Cultural Affinity Index (CAI), a multi-dimensional construct quantifying cultural compatibility between supply chain partners based on language compatibility, regional trust, trade networks, and historical trade patterns. Using publicly available data from UN COMTRADE, the World Bank, and Hofstede Insights, we analyze 850 supplier–manufacturer dyads across five Southeast Asian countries (2019–2023). Through Monte Carlo simulation with empirically calibrated parameters, we demonstrate that high cultural affinity (CAI > 0.7) shows positive associations with economic performance (+18.0%), environmental compliance (+12%), and social sustainability (+32%) compared to baseline scenarios. We test both linear and interaction models, finding that language compatibility and regional trust exhibit synergistic effects ( β = 0.15, p < 0.01). Multi-objective optimization reveals Pareto-optimal solutions achieving simultaneous improvements across all triple bottom line dimensions. Sensitivity analysis confirms robustness across varying cultural weights (±20%) and institutional contexts. The framework’s effectiveness varies by institutional quality, with stronger associations in weaker institutional environments (correlation = −0.92). While focused on manufacturing, we discuss adaptations for service sectors. This research provides both theoretical contributions to the SSCM literature and practical tools for organizations managing culturally diverse supply chains in emerging markets.

Keywords: sustainable supply chain management; cultural factors; emerging markets; Cultural Affinity Index; triple bottom line; empirical validation; Southeast Asia; public data (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.mdpi.com/2071-1050/17/18/8363/pdf (application/pdf)
https://www.mdpi.com/2071-1050/17/18/8363/ (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:17:y:2025:i:18:p:8363-:d:1752052

Access Statistics for this article

Sustainability is currently edited by Ms. Alexandra Wu

More articles in Sustainability from MDPI
Bibliographic data for series maintained by MDPI Indexing Manager ().