Structural Relationships Among GSCM Barriers, Green Supply Chain Adoption, and Sustainability Performance in Bangladesh's Apparel Manufacturers
Abstract
Green supply chain management (GSCM) adoption is critical for environmental sustainability in Bangladesh's apparel manufacturing sector, yet substantial organizational, financial, and institutional barriers impede implementation. This study quantifies how six barrier categories suppress GSCM adoption and subsequently diminish sustainability performance. A quantitative survey of 433 Bangladesh ready-made garment (RMG) manufacturers (50-500 employees) employing partial least squares structural equation modeling (PLS-SEM) with 10,000 bootstrap resamples tested 27 hypotheses examining barrier effects on adoption, adoption effects on three performance dimensions, and 18 mediation pathways. Measurement validation confirmed all validity criteria (AVE ≥ 0.50, CR ≥ 0.85, HTMT ≤ 0.85). Financial barriers show the largest suppressive effect on adoption (β = 0.370, p < 0.001), followed by technological (β = 0.332, p < 0.001), organizational (β = 0.276, p < 0.001), knowledge (β = 0.141, p < 0.001), and supply chain partner barriers (β = 0.134, p < 0.001). Regulatory barriers show no significant effect (β = 0.043, p = 0.101), indicating multinational buyer requirements substitute for weak government enforcement in export-oriented firms. GSCM adoption demonstrates exceptionally strong effects on environmental (β = 0.770, R² = 0.593), reputational (β = 0.777, R² = 0.604), and economic performance (β = 0.691, R² = 0.478). Fifteen of 18 mediation pathways are significant, confirming barriers suppress sustainability performance exclusively through suppressed adoption. For manufacturers, overcoming financial and technological constraints yields highest-return improvements. For policymakers, the quantified barrier hierarchy supports investment in green credit expansion (<15% current reach), digital infrastructure, and capability development. This study provides the first comprehensive quantitative examination of mediation pathways in Bangladesh's apparel manufacturers, extending Resource-Based View and refining Institutional Theory by demonstrating how buyer governance substitutes for weak public institutions. The validated framework and rigorous mediation analysis establish a template for future GSCM research in developing-economy contexts.
Fields of Study & Subjects
Environmental Sustainability in Business
Sustainable Supply Chain Management
Quality and Supply Management
Publication details
- Journal / source
- SSRN Electronic Journal
- Publisher
- Elsevier BV
- Publication date
- 1 January 2026
- Document type
- Preprint