Do corporate social responsibility drive sustainable corporate performance in emerging economy? Mediation roles of green innovation and corporate image

Abstract

Purpose The study investigates the mediating function of green innovation, the impact of green supply chain management and the impact of corporate image in the given background in an emergent nation to examine the relationship between corporate social responsibility and sustainable corporate performance for small- and medium-sized enterprises (SMEs) in emerging economy. It aims to integrate these constructs into a unified framework, addressing gaps in previous literature that often examine them in isolation. Design/methodology/approach The study adopts a quantitative methodology. There are 439 valid responses from middle managers and top executive managers used for statistical analysis from small- and medium-sized corporations in Vietnam. Data were analyzed by using AMOS version 20.0 and SPSS 23.0. Findings Grounded in the resource-based view (RBV), stakeholder theory and legitimacy theory, the study contributes to a multidimensional understanding of the phenomena. An integrated model of corporate social responsibility, green supply chain management, green innovation, corporate image and sustainable business practices was provided as an extension of the current literature. The relationship between corporate social responsibility and sustainable corporate performance found to be mediated by green innovation and corporate image, highlighting their central roles in sustainability pathways. Originality/value This study contributes by offering a novel contribution by developing and empirically testing a comprehensive model within the context of SMEs in Vietnam – an emerging economy undergoing rapid economic growth and environmental transition. The strategic planning for longstanding commercial growth presented in this study offers a sustainable balance to the economic, social and environmental benefits. This study’s contributions are very relevant to academics, professionals, business practitioners and policymakers. Top executives are therefore motivated to carefully contemplate doable steps to improve environmental performance as they will undoubtedly boost their company’s competitiveness and contribute to sustainable corporate performance.

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