Purpose: Green supply chain management (GSCM) practice has become a key issue for Chinese companies to face emerging environmental issues. This paper aims to discuss the drivers for Chinese companies to participate in GSCM practices, as well as influence mechanism of GSCM practice on company performance.
Design/methodology/approach Based on a literature review and Delphi study, six propositions are put forward. Hypotheses are tested using data from a sample of 387 companies in eastern coastal areas in China following statistics analysis.
Findings It was found that GSCM practice of Chinese companies is influenced by both internal and external drivers. Further, the interacting effects of internal and external drivers on GSCM practice were concluded. It also exist the important role of company environmental performance in mediating the relationship between GSCM practice and company competitive advantage.
Research limitations/implications Limitation in the sample representative with convenience sampling concentrate in eastern coastal areas, and in the inspection cycle with cross-sectional study. The questionnaires also bring subjective assessments in measurement of each variable. The effects of GSCM practice on a company’s short-term and long-term economic performance can be further discussed.
Practical implications: This study demonstrates not only the drivers for Chinese companies to implement GSCM practices, but also discusses the positive role of a company’s GSCM practice in improving their environmental performance and competitive advantage. This research framework also increases the reliability of the study results and has direct reference significance for companies to make management decisions.
Social implications (if applicable): Compared with the existing research papers that concentrates on surveying among companies of western companies, this study has its uniqueness and certain reference value for the Chinese government to further improve the related laws & regulations, increase the promotion and supports for those companies that better conduct green production activities, and expand monitoring of those companies that pollute environment and waste energy to force them to adopt a more energy-efficient and environment-friendly business model.
Originality/value The paper conducted a structured study on the direct and interacting relationships between GSCM drivers and GSCM practice with quantitative and qualitative methods. The driving mechanism and the interacting effects among these drivers are analyzed to enrich the related discussions.
Drivers, GSCM, Chinese companies