Effects of Institutional Pressures on the Intentions to Continue Green Supply Chain Management Practices

Abstract

To meet environmental and economic goals, organizations must implement green practices both inside and outside their borders. This study looked at whether GSCM techniques are subject to the same or different regulatory, market, or competitive challenges when applied internally or externally. Institutional theory was used to identify distinct types of pressures, and resource dependency theory was used to examine the influence of internally and externally GSCM practices. A survey of manufacturing executives in Pakistan used a structured questionnaire to gather data for empirical research. The least squares structural equation modeling (PLS-SEM) approach was used to analyze data from 200 respondents. Both internally and externally GSCM practices were found to be influenced by normative pressures, whereas coercive and mimetic pressures had a favorable effect on both. Internal GSCM procedures were shown to have a greater influence on environmental performance than external GSCM activities and to be more effective in enhancing environmental performance. It was found that employees' work performance was significantly improved by external GSCM methods, while the organization's overall performance was positively affected as a result. Academics, legislators, and industry professionals may all benefit from an understanding of the consequences, both theoretical and practical.