Green supply chain management and firm performance in the automotive industry

Abstract

In the past few decades, an increase in articles publication that analyze and discuss environmental issues can be observed in the literature. However, because the global warming problem, various government agencies have rigorous environmental rules and policies, to such an extent that they are forcing companies particularly those that make up the automotive industry, to adopt measures to reduce the pollution generated by their supply chain, since it is one of the industries that generates most pollution globally. Thus, the objective of this study is to provide empirical evidence that helps fill the gap in the current literature, and to analyze the relationship between green supply chain management and business performance, through quantitative, explanatory research, and correlational, through the application of structural equation models. The results obtained show that green supply chain management is correlated by 47.6% with business performance, which allows to conclude that green supply chain management not only improves environmental sustainability, but also increases business performance of companies in the automotive industry.