The impact of environmental orientation on supplier green management and financial performance: The moderating role of relational capital

This study empirically examines the effects of environmental orientation on supplier green management and financial performance under different levels of relational capital using a survey method. Hierarchical regression was used to test the conceptual model based on data collected from 308 companies in China. The results indicated that supplier green management plays a full mediating role in the positive relationship between environmental orientation and financial performance. Relational capital moderates the relationship between environmental orientation and supplier green management such that the positive relationship is stronger when the level of relational capital is higher. This study contributes to the environment, green, and relationship management literature by exploring the role of environmental orientation in enhancing supplier green management and financial performance with different kinds of relational capital. The findings offer managerial insights for managers to improve financial performance through environmental orientation and supplier green management with relational capital. (C) 2018 Elsevier Ltd. All rights reserved.