Ameliorating sustainable business performance through green constructs: a case of manufacturing industry

Perusing the ways to drive sustainable business performance is at the forefront of research. However, recent studies call for deeper research into evolving phenomena of 'sustainability' to provide ultimate contribution in the UNESCO sustainability agenda, 2030. Therefore, the current study attempts to identify the role of green constructs (consists of green motives, sustainability-oriented values, green dynamic capabilities, and green practices) in creation of sustainable business performance through the mediation of green value co-creation and green innovation. Moreover, the study is intended to identify the moderating role of top management support and knowledge sharing to strengthen the direct association of green constructs and sustainable business performance. Quantitative research approach was used to collect the data from employees (executive level) of manufacturing organizations located in Pakistan. Following the positivism paradigm, the survey technique (close-ended questionnaire) was cast off to obtain 449 valid responses (showing an 87% response rate) from the targeted sample. PLS-SEM was used to test the hypothesis about direct and indirect association of green constructs and sustainable business performance. Results acquiesced that green capabilities are the significant and imperative facets of manufacturing organizations that enable them to co-create value for their ultimate stakeholders and green innovation, which in turn leads to sustainable business performance. To theoretically corroborate our empirical findings, the study unified the comprehensive moderated mediation framework of top management support and knowledge sharing, because neither standpoint alone can elucidate an extant research model.

Automated summary

This study aims to explore the role of green constructs in sustainable business performance, with the mediation of green value co-creation and green innovation. It also examines the moderating effects of top management support and knowledge sharing. The results highlight the significance of green capabilities in manufacturing organizations, which contribute to value creation and green innovation, leading to sustainable business performance.