Journal
PRODUCTION PLANNING & CONTROL
Volume 26, Issue 2, Pages 116-130Publisher
TAYLOR & FRANCIS LTD
DOI: 10.1080/09537287.2013.859324
Keywords
Malaysia; competitive advantage; greening the supplier; environmental performance
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A clear research need has been identified to confirm the structural relationships between greening the supplier, enhanced environmental performance and improved competitive advantage, to provide an impetus for firms to green their suppliers. A mail survey was conducted and empirical data of 119 ISO 14001 manufacturing firms in Malaysia was gathered for this study. Structural equation modelling technique was applied in this research article. Results from the analysis, reveal the existence of a positive and significant linkage between green suppliers with both environmental performance and competitive advantage. At the same time, environmental performance has also been shown to positively and significantly affect competitive advantage; while environmental performance plays a partial mediating role between greening the supplier and competitiveness. Such significant finding is especially essential for the manufacturing sector registered with ISO 14001 who intend to enhance their environmental performance and carve a niche competitive edge in the business arena.
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