Impact of employees’ green behaviour and eco-innovation on environmental performance of readymade garment industry in Bangladesh: a moderation effect of environmental strategy

Drawing on the Natural Resource-Based View (NRBV) and Social Cognitive Theory (SCT), this study attempts to assess the effect of employees’ green behaviour (EGB) and employees’ eco-innovation in promoting environmental performance. Also, this research investigates the moderating effect of environmental strategy (ES) on the nexus with employees’ green behaviour, eco-innovation, and EP. This research represents one of the few endeavours to evaluate the correlation among EGB, EI, ES, and EP within the readymade garment sector of Bangladesh. Data were collected through purposive sampling, involving a survey of 396 employees from Bangladesh’s readymade garment sector. The partial least squares structural equation modelling (PLS-SEM) was used to assess the model. This study found that employees’ eco-friendly behaviour has a meaningful and favourable effect on EP. Furthermore, EI exerts a substantial and beneficial impact on EP. According to the principles of the NRBV and SCT, environmental strategy moderates the effect of green behaviour on EP. The connection between EI and EP was moderated by environmental strategy. This research is unique in that it is one of the first to hypothesise and broaden the use of NRBV and SCT theories in the context of EP. This study presents various novel recommendations for senior managers and policymakers on integrating EGB, EI, and ES to enhance EP and attain sustainable development goals (SDGs).