Between Sustainability Goals and the Bottom Line: A Moderated Mediation Model of Entrepreneurial Stress and Sustainability Behavior

Mir Shahid Satar, Ghadah Alarifi, Safiya Mukhtar Alshibani and Sager Alharthi

Corporate Social Responsibility and Environmental Management, 2025, vol. 32, issue 6, 7854-7870

Abstract: This study investigates how sustainability orientation influences entrepreneurs' sustainability behavior through the mediating role of stress, and how this relationship is shaped by bottom‐line mentality and intrinsic motivation. Based on matched dyadic survey data from 396 entrepreneurs and 787 of their subordinates working in small and medium‐sized enterprises (SMEs) in Saudi Arabia, we apply partial least squares structural equation modeling (PLS‐SEM) to test a moderated mediation model grounded in self‐determination theory (SDT) and cognitive dissonance theory (CDT). The findings reveal that stress significantly mediates the relationship between sustainability orientation and sustainability behavior. Additionally, bottom‐line mentality strengthens, while intrinsic motivation weakens, the effect of sustainability orientation on stress. These results demonstrate that the psychological experience of value conflict plays a pivotal role in sustainability implementation. The study contributes to the entrepreneurship literature by integrating motivational and dissonance‐based explanations of sustainability behavior. It also offers practical insights for policymakers seeking to design support systems that reduce stress and encourage authentic sustainability engagement in institutional contexts.

Date: 2025
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https://doi.org/10.1002/csr.70108

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Persistent link: https://EconPapers.repec.org/RePEc:wly:corsem:v:32:y:2025:i:6:p:7854-7870

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