- Log In/Sign Up
- P-ISSN1738-3110
- E-ISSN2093-7717
- SCOPUS, ESCI
ISSN : 1738-3110
How Do Green Investment, Corporate Social Responsibility Disclosure, and Social Collaborative Initiatives Drive Firm’s Distribution Performance?
DIAN, Wahdiana
Suherman, Suherman
LEONARDUS, Samodro Bintang A.M
Sukrisno, Sukrisno
Abstract
Purposes: The purpose of this study is to develop and test a possible model that investigates the relationships between green investment, CSR disclosure, social collaboration initiatives, and firm distribution performance to deal with environmental change because it's become the major stakeholder since it affects increasingly global company performance index. Research methodology: In this study a quantitative method was adopted. The 220 respondents were owners and managers of manufacturing enterprises from Indonesia. The structural equation model (SEM) was used to test the hypotheses, and the Partial Least Square (SmartPLS) was used as the data analysis tool. Findings: The study's finding shows that green investment has a significant effect on CSR disclosure, and CSR disclosure has a positive relationship with social collaborative initiatives and the firm's distribution performance. Similarly, social collaborative initiatives also significantly impact a firm's distribution performance. Limitations: This study uses variables that are still abstract and have not been able to regress the dimensions contained there into conclusion variables for each antecedent variable. In addition, this study only used a sample with a small scope, namely Central Java Province, Indonesia. Contribution: The findings of this study contribute to the body of literature in the field of organizational management and support the agency and stakeholder theories. For the practical contribution, this study provides the way to build and implement green-based investment strategies as a competitive edge and improve firm's distribution performance.
- keywords
- Green Investment, CSR Disclosure, Social Collaboration Initiatives, Distribution Performance, Manufacturing Companies
Reference
Aerts, W., & Cormier, D. (2009). Media legitimacy and corporate environmental communication. Accounting, Organizations and Society, 34(1), 1–27. doi.org/10.1016/j.aos.2008.02.005
Alexander, G. J., & Buchholz, R. A. (1978). Corporate Social Responsibility and Stock Market Performance. Academy of Management Journal, 21(3), 479–486. doi.org/10.5465/255728
Ahmad, I., & Ahmad, S. (2021). Effect of Managerial Skills on the Performance of Small- and Medium-Sized Enterprises: A Case Study in Pakistan. The Journal of Asian Finance Economics and Business, 8(4), 161-270. doi:https://doi.org/10.13106/jafeb.2021.vol8.no4.0161
Alhadid, A. Y., & Abu-Rumman, A. H. (2014). The Impact of Green Innovation on Organizational Performance, Environmental Management Behavior as a Moderate Variable: An Analytical Study on Nuqul Group in Jordan. International Journal of Business and Management, 9(7), 51–58. doi.org/10.5539/ijbm.v9n7p51
Atif, M., Alam, M. S., & Hossain, M. (2020). Firm sustainable investment: Are female directors greener? Business Strategy and the Environment, 29(8), 3449–3469. doi.org/10.1002/bse.2588
Aguenane, N. E. (2020). Human Capabilities and Instrumental Freedoms Relationship: An Empirical Investigation. International Journal of Social Sciences and Economic Review, 2(3), 12-21. doi:10.36923/ijsser.v2i3.65
Ahmad, I., & Ahmad, S. B. (2021). Effect of managerial skills on the performance of small-and medium-sized enterprises: A case study in Pakistan. The Journal of Asian Finance, Economics and Business, 8(4), 161-170. doi.org/10.13106/jafeb.2021.vol8.no4.0161
Babalola, Y. A. (2012). The impact of corporate social responsibility on firms’ profitability in Nigeria. European Journal of Economics, Finance and Administrative Sciences, 45(45), 39–50.
Balabanis, G., Phillips, H. C., & Lyall, J. (1998). In the top British companies, corporate social responsibility, and economic performance: Are they linked? European Business Review, 98(1), 25–44. doi.org/10.1108/09555349810195529
Buallay, A., Hamdan, A., & Zureigat, Q. (2017). Corporate governance and firm performance: evidence from Saudi Arabia. Australasian Accounting, Business and Finance Journal, 11(1), 78–98. doi.org/10.14453/aabfj.v11i1.6
Carmines, E. G., and Zeller, R. A. (1979). Reliability and validity assessment. Sage publications.
Carroll, A. B. (1991). The pyramid of corporate social responsibility: Toward the moral management of organizational stakeholders. Business Horizons, 34(4), 39-48. doi.org/10.1016/0007-6813(91)90005-G
Chen, Y. S., Lai, S. B., & Wen, C. T. (2006). The influence of green innovation performance on corporate advantage in Taiwan. Journal of Business Ethics, 67(4), 331–339. doi.org/10.1007/s10551-006-9025-5
Celinmar, M. C. (2021). Striking a Balance between Centralized and Decentralized Decision Making: A School-Based Management Practice for Optimum Performance. International Journal of Social Sciences and Economic Review, 3(4), 08-15. doi:10.36923/ijsser.v3i4.122
Chiţimiea, A., Minciu, M., Manta, A. M., Ciocoiu, C. N., & Veith, C. (2021). The drivers of green investment: A bibliometric and systematic review. Sustainability, 13(6), 1-25. doi.org/10.3390/su13063507
Chow, W. S., & Chen, Y. (2012). Corporate Sustainable Development: Testing a New Scale Based on the Mainland Chinese Context. Journal of Business Ethics, 105(4), 519–533. doi.org/10.1007/s10551-011-0983-x
Celinmar, M. C. (2021). Striking a Balance between Centralized and Decentralized Decision Making: A School-Based Management Practice for Optimum Performance. International Journal of Social Sciences and Economic Review, 3(4), 08-15. doi:10.36923/ijsser.v3i4.122
Dang, H. N., Pham, C. D., Nguyen, T. X., & Nguyen, H. T. T. (2020). Effects of corporate governance and earning quality on listed vietnamese firm value. Journal of Asian Finance, Economics and Business, 7(4), 71–80. doi.org/10.13106/JAFEB.2020.VOL7.NO4.71
Dempsey, N., Bramley, G., Power, S., & Brown, C. (2011). The social dimension of sustainable development: Defining urban social sustainability. Sustainable Development, 19(5), 289–300. doi.org/10.1002/sd.417
Elkington, J. (2013). Enter the triple bottom line. The Triple Bottom Line: Does It All Add Up?, 1(1986), 1–16. doi.org/10.4324/9781849773348
Farrukh, M., Khan, M.S., Raza, A., & Shahzad, I.A. (2021), “Influence of high-performance work systems on intrapreneurial behaviour”, Journal of Science and Technology Policy Management, 12(4), 609-626, doi: 10.1108/JSTPM-05-2020-0086.
Franceschelli, M. V., Santoro, G., & Candelo, E. (2018). Business model innovation for sustainability: a food start-up case study. British Food Journal, 120(10), 2483–2494. doi.org/10.1108/BFJ-01-2018-0049
Friedman, A. L., & Miles, S. (2002). Developing stakeholder theory. Journal of management studies, 39(1), 1-21. doi.org/10.1111/1467-6486.00280
Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of marketing research, 18(1), 39-50. doi.org/10.1177/002224378101800104
Giacosa, E., Ferraris, A., & Bresciani, S. (2017). Exploring voluntary external disclosure of intellectual capital in listed companies: An integrated intellectual capital disclosure conceptual model. Journal of Intellectual Capital, 18(1), 149–169. doi.org/10.1108/JIC-01-2016-0019
Hair, J.F., Hult, G.T.M., Ringle, C., & Sarstedt, M. (2017). A Primer on Partial Least Squares Structural Equation Modeling (PLS-SEM), Sage Publications.
Handayani, R., Wahyudi, S., & Suharnomo, S. (2017). The effects of corporate social responsibility on manufacturing industry performance: The mediating role of social collaboration and green innovation. Business: Theory and Practice, 18, 152–159. doi.org/10.3846/btp.2017.016
Madueno, J. H., Jorge, M. L., Conesa, I. M., & Martínez-Martínez, D. (2016). Relationship between corporate social responsibility and competitive performance in Spanish SMEs: Empirical evidence from a stakeholders’ perspective. BRQ Business Research Quarterly, 19(1), 55-72. doi.org/10.1016/j.brq.2015.06.002
Herzig, C., & Schaltegger, S. (2006). Corporate sustainability reporting: An overview. Sustainability Accounting and Reporting, 301–324. doi.org/10.1007/978-1-4020-4974-3_13
Ilg, P. (2019). How to foster green product innovation in an inert sector. Journal of Innovation and Knowledge, 4(2), 129–138. doi.org/10.1016/j.jik.2017.12.009
Indriastuti, M., & Chariri, A. (2021). The role of green investment and corporate social responsibility investment on sustainable performance. Cogent Business and Management, 8(1), 1-21. doi.org/10.1080/23311975.2021.1960120
Jensen, M. C., & Meckling, W. H. (1976). Theory of the firm: Managerial behavior, agency costs and ownership structure. Journal of financial economics, 3(4), 305-360. doi:doi.org/10.1016/0304-405X(76)90026-X
Karásek, J., & Pavlica, J. (2016). Green Investment Scheme: Experience and results in the Czech Republic. Energy Policy, 90, 121–130. doi.org/10.1016/j.enpol.2015.12.020
Khan, A. S., & Jan, F. (2015). The Study of Organization Commitment and Job Satisfactionamong Hospital Nurses. A Survey of District Hospitals of DeraIsmail Khan. Global Journal of Management and Business Research, 15(1), 1–13.
King, A., & Lenox, M. (2002). Exploring the locus of profitable pollution reduction. Management Science, 48(2), 289–299. doi.org/10.1287/mnsc.48.2.289.258
Klassen, R. D., & Whybark, D. C. (1999). The impact of environmental technologies on manufacturing performance. Academy of Management Journal, 42(6), 599–615. doi.org/10.2307/256982
Korzynski, P., Kozminski, A. K., Baczynska, A., & Haenlein, M. (2020). Bounded leadership: An empirical study of leadership competencies, constraints, and effectiveness. European Management Journal, 39(2), 226-235. doi.org/10.1016/j.emj.2020.07.009
Korzynski, P., Mazurek, G., & Haenlein, M. (2020). Leveraging employees as spokespeople in your HR strategy: How company-related employee posts on social media can help firms to attract new talent. European Management Journal, 38(1), 204–212. doi.org/10.1016/j.emj.2019.08.003
Kirono, I., Armanu, A., Hadiwidjojo, D., & Solimun, S. (2019). Logistics performance collaboration strategy and information sharing with logistics capability as mediator variable (study in Gafeksi East Java Indonesia). International Journal of Quality and Reliability Management, 36(8), 1301-1317. doi.org/10.1108/IJQRM-11-2017-0246
Lee, P. K. C., Cheng, T. C. E., Yeung, A. C. L., & Lai, K. hung. (2011). An empirical study of transformational leadership, team performance and service quality in retail banks. Omega, 39(6), 690–701. doi.org/10.1016/j.omega.2011.02.001
Luan, C.-J., Tien, C., & Chen, W.-L. (2016). Which “green” is better? An empirical study of the impact of green activities on firm performance. Asia Pacific Management Review, 21(2), 102-110. doi.org/10.1016/j.apmrv.2015.12.001
Leguina, A. (2015). A primer on partial least squares structural equation modeling (PLS-SEM). International Journal of Research and Method in Education, 38(2), 220–221. doi.org/10.1080/1743727x.2015.1005806
Li, T., Zheng, X., Dai, Y., Yang, C., Chen, Z., Zhang, S., Wu, G., Wang, Z., Huang, C., Shen, Y., & Liao, R. (2014). Mapping near-surface air temperature, pressure, relative humidity and wind speed over Mainland China with high spatiotemporal resolution. Advances in Atmospheric Sciences, 31(5), 1127–1135. doi.org/10.1007/s00376-014-3190-8
Lindgreen, A., Swaen, V., & Johnston, W. J. (2009). Corporate social responsibility: An empirical investigation of U.S. organizations. Journal of Business Ethics, 85(SUPPL. 2), 303–323. doi.org/10.1007/s10551-008-9738-8
Luo, X., & Bhattacharya, C. B. (2006). Corporate social responsibility, customer Satisfaction, and market value. Journal of Marketing, 70(4), 1–18. doi.org/10.1509/jmkg.70.4.1
Maignan, I., & Ferrell, O.C. (2001), "Corporate citizenship as a marketing instrument ‐ Concepts, evidence and research directions", European Journal of Marketing, 35(3/4), 457-484. doi.org/10.1108/03090560110382110
Mulyani, S., Salameh, A. A., Komariah, A., Timoshin, A., Hashim, N. A. A. N., Fauziah, R. S. P., . . . Ul din, S. M. (2021). Emotional Regulation as a Remedy for Teacher Burnout in Special Schools: Evaluating School Climate, Teacher’s Work-Life Balance and Children Behavior. Frontiers in Psychology, 12, 1-10. doi:10.3389/fpsyg.2021.655850
Margolis, J. D., & Walsh, J. R. (2011). Misery Loves Rethinking Companies : Social Initiatives. Administrative Science Quaterly, 48(2), 268–305. http://asq.sagepub.com/content/48/2/268.short
Martin, P. R., & Moser, D. V. (2016). Managers’ green investment disclosures and investors’ reaction. Journal of Accounting and Economics, 61(1), 239–254. doi.org/10.1016/j.jacceco.2015.08.004
Haenlein, M., & Kaplan, A. M. (2004). A beginner's guide to partial least squares analysis. Understanding statistics, 3(4), 283-297. doi.org/10.1207/s15328031us0304_4
Mishra, S., & Suar, D. (2010). Does corporate social responsibility influence firm performance of Indian companies?. Journal of business ethics, 95(4), 571-601. doi.org/10.1007/s10551-010-0441-1
Napitupulu, S., Primiana, I., Nidar, S. R., Effendy, N., & Puspitasari, D. M. (2020). The effect of management capabilities in implementing good corporate governance: A study from indonesia banking sector. Journal of Asian Finance, Economics and Business, 7(1), 159–165. doi.org/10.13106/jafeb.2020.vol7.no1.159
Nunnally, C. J. (1978). Psychometric theory. New York: McGraw-Hill.
Okwemba, E. M., Chitiavi, M. S., Egessa, R., Douglas, M., & Musiega, M. G. (2014). Effect of Corporate Social Responsibility on Organisation Performance ; Banking Industrykenya , Kakamega County . International Journal of Business and Management Invention, 3(4), 37–51.
Olowokudejo, F., Aduloju, S. A., & Oke, S. A. (2011). Corporate social responsibility and organizational effectiveness of insurance companies in Nigeria. Journal of Risk Finance, 12(3), 156–167. doi.org/10.1108/15265941111136914
Orlitzky, M., Siegel, D. S., & Waldman, D. A. (2011). Strategic corporate social responsibility and environmental sustainability. Business and Society, 50(1), 6–27. doi.org/10.1177/0007650310394323
Othman, A., & Abdellatif, M. (2011). Partnership for integrating the corporate social responsibility of project stakeholders towards affordable housing development: A South African Perspective. Journal of Engineering, Design and Technology, 9(3), 273–295.
Porter, M. E. (1991). Towards a dynamic theory of strategy. Strategic Management Journal, 12(2S), 95–117. doi.org/10.1002/smj.4250121008
Porter, M. E., & Kramer, M. R. (2006). The link between competitive advantage and corporate social responsibility. Harvard business review, 84(12), 78-92.
Porter, M. E., & Van Der Linde, C. (2017). Toward a new conception of the environment-competitiveness relationship. Corporate Environmental Responsibility, 9(4), 61–82. doi.org/10.1257/jep.9.4.97
Post, C., Rahman, N., & Rubow, E. (2011). Green governance: Boards of directors’ composition and environmental corporate social responsibility. Business and society, 50(1), 189-223. doi.org/10.1177/0007650310394642
Reinartz, W., Haenlein, M., & Henseler, J. (2009). An empirical comparison of the efficacy of covariance-based and variance-based SEM. International Journal of Research in Marketing, 26(4), 332–344. doi.org/10.1016/j.ijresmar.2009.08.001
Richter, N. F., Cepeda, G., Roldán, J. L., & Ringle, C. M. (2016). European management research using partial least squares structural equation modeling (PLS-SEM). European Management Journal, 34(6), 589–597. doi.org/10.1016/j.emj.2016.08.001
Ramdani, D., & Witteloostuijn, A. v. (2010). The impact of board independence and CEO duality on firm performance: A quantile regression analysis for Indonesia, Malaysia, South Korea and Thailand. British Journal of Management, 21(3), 607-627.
Rokonuzzaman, M., & Hattori, Y. (2021). Preparedness of recovery to the vulnerability of climate change in the coastal areas in Bangladesh. International Journal of Social Sciences and Economic Review, 3(4), 16-23. doi:10.36923/ijsser.v3i4.136
Seitanidi, M. M., & Crane, A. (2009). Implementing CSR through partnerships: Understanding the selection, design and institutionalisation of nonprofit-business partnerships. Journal of Business Ethics, 85(SUPPL. 2), 413–429. doi.org/10.1007/s10551-008-9743-y
Semmer, N. K., Elfering, A., Jacobshagen, N., Perrot, T., Beehr, T. A., & Boos, N. (2008). The emotional meaning of instrumental social support. International journal of stress management, 15(3), 235-251.doi.org/10.1037/1072-5245.15.3.235
Snider, J., Hill, R. P., & Martin, D. (2003). Corporate social responsibility in the 21st century: A view from the world’s most successful firms. Journal of Business Ethics, 48(2), 175–187. doi.org/10.1023/B:BUSI.0000004606.29523.db
Selcuk, E. A., & Kiymaz, H. (2017). Corporate social responsibility and firm performance: Evidence from an emerging market. Accounting and Finance Research, 6(4), 42-51. doi.org/10.5430/afr.v6n4p42
Weng, H.-H. Chen, Ja-Shen, & Chen, Pei-Ching (2015). Effects of green innovation on environmental and corporate performance: A stakeholder perspective. Sustainability, 7(5), 4997–5026. doi.org/10.3390/su7054997
Xing, G., Xia, B., & Guo, J. (2019). Sustainable cooperation in the green supply chain under financial constraints. Sustainability, 11(21), 5977. doi.org/10.3390/su11215977
Yen, Y. X. (2018). Buyer–supplier collaboration in green practices: The driving effects from stakeholders. Business Strategy and the Environment, 27(8), 1666–1678. doi.org/10.1002/bse.2231
- Downloaded
- Viewed
- 0KCI Citations
- 0WOS Citations