Title: Improving suppliers' environmental performance: the role of environmental engagement and relationship asymmetries

Authors: Fei Song; Sachin Modi; Frank Montabon; Yuhang Xu; Jennifer Blackhurst

Addresses: Department of Management, Schmidthorst College of Business, Bowling Green State University, Bowling Green, Ohio ' Department of Operations, Business Analytics, and Information Systems, Lindner College of Business, University of Cincinnati, Cincinnati, Ohio ' Department of Supply Chain Management, Ivy College of Business, Iowa State University, Ames, Iowa ' Department of Applied Statistics and Operations Research, Schmidthorst College of Business, Bowling Green State University, Bowling Green, Ohio ' Department of Business Analytics, Tippie College of Business University of Iowa, Iowa City, Iowa

Abstract: Improving suppliers' environmental performance often poses a great challenge. Drawing on existing literature, signalling theory, and institutional theory, this study examines the effect of broad environmental engagement in supply chains on suppliers' environmental performance. Specifically, suppliers' own engagement effort and that of buyers are both incorporated. Further, it also evaluates the moderating role of buyer-supplier relationship asymmetries in the engagement-performance association. Panel data analyses of dyadic data indicate that a supplier's engagement effort with its supply base and customer base has a positive impact on its environmental performance. Results further indicate that a buyer's engagement with its supply base also has a positive impact on its suppliers' environmental performance. Interestingly, these effects are moderated by size and reputation asymmetries in buyer-supplier relationships. Together, the findings of this study provide nuanced guidelines for improving suppliers' environmental performance.

Keywords: environmental engagement; environmental performance; buyer-supplier relationships; BSRs; relationship asymmetry; panel data analysis.

DOI: 10.1504/IJISM.2024.142780

International Journal of Integrated Supply Management, 2024 Vol.17 No.3/4, pp.239 - 276

Received: 12 Nov 2023
Accepted: 21 May 2024
Published online: 21 Nov 2024 *

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