Green intellectual capital, green innovation, and MNEs' sustainable performance: a sequential mediation approach

Grounded in the dynamic capabilities view, this study develops and tests a theoretical framework examining the impact of green intellectual capital on sustainable supply chain performance and financial performance in multinational enterprises (MNEs). A sequential mediation model is tested using structural equation modelling based on survey data from 364 logistics and supply chain managers in MNEs. The results show that green intellectual capital positively influences green process innovation, green product innovation, and sustainable supply chain performance. Green process innovation further enhances green product innovation. While green product innovation negatively affects sustainable supply chain performance, it positively contributes to financial performance. In addition, sustainable supply chain performance is found to reduce financial performance. Green product innovation negatively mediates the relationship between green intellectual capital and sustainable supply chain performance, while positively mediating its relationship with financial performance. The impact of green intellectual capital on financial performance is sequentially mediated through green process innovation, green product innovation, and sustainable supply chain performance.