1. Green supply chain management:
Its influence on customers’ intention to purchase
Bachelor
thesis
at
“Faculty
of
Economics
and
Business
Administration”.
By:
Léon
Dassen
Student
number:
2525277
E-­‐mail:
L.w.dassen@gmail.com
Supervisor:
Dr.
Y.
Ghiami
Program:
Business
Administration
Specialization:
Transport
and
Supply
Chain
Management

2.
1
Table
of
Contents
Abstract
..................................................................................................................................
2
1. Introduction
......................................................................................................................
3
2. Methods
.............................................................................................................................
6
2.1 Data Collection
.......................................................................................................................
6
2.2
Sample
description
.............................................................................................................
7
3.
Theoretical
findings
..................................................................................................
10
3.1 Green Supply Chain Management
..................................................................................
10
3.1.1 SSCM
...............................................................................................................................................
10
3.1.2 CSR
...................................................................................................................................................
11
3.1.3 LSR
...................................................................................................................................................
11
3.1.4 GSCM
..............................................................................................................................................
11
3.2 Most common motivations to adopt GSCM
..................................................................
13
3.2.1 Financial performance
................................................................................................................
13
3.2.2 Regulation
.......................................................................................................................................
14
3.2.3 Consumers
......................................................................................................................................
15
3.2.4 Competitive advantage
...............................................................................................................
15
3.2.5 Collaboration with Suppliers
....................................................................................................
16
3.2.6 Reputational risk
...........................................................................................................................
16
3.2.7 Environmental performance
.....................................................................................................
16
3.3 Most common benefits
.......................................................................................................
18
3.3.1 Financial organizational performance
...................................................................................
18
3.3.2 Reputation
.......................................................................................................................................
19
3.3.3 Employees
......................................................................................................................................
19
3.3.4 Competitive
....................................................................................................................................
19
3.3.5 Environmental performance
.....................................................................................................
20
3.4 Customer behavior/Customers’ intention to purchase
...............................................
21
4.
Conclusion
....................................................................................................................
22
4.1
Discussion
...........................................................................................................................
22
4.2
Conclusion
...........................................................................................................................
24
4.3
Limitations
and
recommendations
for
future
research
......................................
24
5.
Reference
list
...............................................................................................................
25
Appendices
........................................................................................................................
28
Appendix
1.1:
Publications
per
Journal
...........................................................................
28
Appendix
1.2:
Publications
per
year
.................................................................................
29
Appendix
1.3:
Publications
per
country
..........................................................................
29
Appendix
1.4:
Article
ID’s
.....................................................................................................
30

3.
2
Abstract
Because of the growing consciousness about the environment by customers last years, the
subject of green supply chain management (GSCM) has increased in attention by companies.
This thesis shows what influence implementation of GSCM activities has on the purchase
intention of customers. In order to do so it first provides an overview of the most common
motivators and benefits of GSCM activities and second it shows the influence of the
motivators and benefits on customer’s purchase intention. A dataset of 38 articles is used in
order to give this overview. Seven motivators and five benefits of adopting green supply
chain management are discussed. The most essential conclusion of this paper is that
companies have to have their main focus on those GSCM motivators or benefits that are,
directly or indirectly, related to the influence on customer’s purchase intention.

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3
1. Introduction
Supply chain management (SCM) is becoming much more important in our society, as
companies are continuing to compete with each other in ever different ways to create
competitive advantage. One way to achieve competitive advantage is to save cost, which can
be realized by a more efficient use of products in SCM. In addition, SCM is of great
importance because of the amount of jobs it creates. For example, in 2011 24 million people
in Europe were employed in the food supply chain; this is about eleven percent of the total
European Union (EU) employees (“Background on the EU food”, 2015). Note that this is
only one specific supply chain, which emphasizes the importance of supply chain
management in Europe.
Also it is of increasing necessity that people become more environmental sustainable,
“becoming green”, as for example from 2006 till 2011 the emissions of CO2 have increased
by almost ten percent (“CO2 Emission”, 2016). To address such problems the United Nations
(UN) organized a convention in Paris, which started on November 30, 2015 and lasted until
December 12, 2015. The ultimate goal of the convention was for countries to stop climate
change and become more environmental friendly; as a result multiple agreements were struck.
The need to stop climate change can be said to be self-evident, since climate changes have
already led to an increase in the average temperature of almost 1-Celsius degree between
1880 and 2012, in addition to overall rising sea levels (NASA Third national climate
assessment report, 2014).
Another subject discussed in this research is the purchase intention of customers. The
importance of customer purchase intention for a company is rather obvious. If customers
prefer products of a certain company, they will buy them at this company, which results in a
higher profitability according to Roehrich et al. (2014).
Green supply chain management (GSCM) can be divided in several activities, such as, green
production, green purchasing (Zhu and Sarkis, 2006) and green logistics (Srivastava, 2007).
Because these are activities of GSCM, the importance of these operations should be addressed
too. According to Eurostat (2016), green production has grown significantly during the last
decades, as is evidenced by the fact that the production of environmental goods and services
in the European Union has increased by more than fifty percent during these years. For
companies green procurement can be important because it realized up to twelve percent of
incremental savings (Bobis and Staniszewski, 2009) and as the European Commission has
found that the transport of passengers and goods over land and sea has been increasing with

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4
more than twenty percent since 1995, the importance of green logistics, of which
transportation is a key component, can be said to be obvious (European Union transport in
figures, Statistical Pocketbook, 2014).
The relevance of GSCM can best be illustrated with the following example. In its annual
report DHL (2015), a logistics company with a revenue of 14.8 billion euros during the first
quarter of 2015, states that the transport sector is guilty of twenty-three percent of all
greenhouse gas in the world. Besides gas emission, logistics has lots of other externalities,
such as ecosystem destructions and waste production (Ranaiefar and Amelia, 2011).
Transportation is one of the classifications of logistics according to the cross-functional
perspective of Logistics Social Responsibility (LSR), which is the socially responsible
management of the supply chain according to Ciliberti et al. (2008) and includes green supply
chain management (GSCM). In the article of Carter & Jennings (2002) they discuss some
consequences of LSR, which can be linked to the intention of customers purchase. According
to Eurobarometer 367 (2013) twenty-six percent of the citizens living in the EU often buy
environmentally friendly products and fifty-four percent occasionally does.
The article of Mann et al. (2010) some motivators for sustainable supply chain management
are discussed. Besides the arrangements made at the UN convention in Paris there is also an
increase of demand for “green” products by consumers. In the production of these products,
logistics was the missing aspect (Wu & Dunn, 1995). Carter & Rogers (2008) used a
conceptual theory in their literature review to link sustainability to logistics and create a
relationship between environmental, social and economic performance. According to
Bhattacharya & Sen (2004) the reputation of an organization, experienced by the customer,
increases when a company is engaging in sustainable activities. Note that this is only true
when the motivation of the organization is sincere (Becker-Olsen et al., 2006). The theory
will be further explained in chapter 3 of this research.
In literature about GSCM various motivators and benefits are given, which have effects on
customers’ behavior. An overview of the most relevant motivators and benefits will be listed
and reviewed. This review will lead to the main research question of this bachelor’s thesis:
What is the influence of green supply chain management on customer’s purchase intention?
To answer the research question it should first of all be clear what GSCM actually entails, the
first section will therefore give a clear definition of this term and the closely related terms.

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5
The second section will discuss some of the most common motivations of companies to adopt
GSCM activities. In the third section the benefits of such activities will be assessed. The last
section will explain the relationship between a company’s GSCM activities and customer
purchase intentions. As such the following sub questions to the main research question can be
formulated:
1. What is green supply chain management?
2. What are the most common motivations for companies to adopt GSCM activities?
3. What are the most common benefits of adopting GSCM activities for a firm?
4. What is the influence of the most common GSCM drivers and benefits on
customer’s purchase intention?
The sub-questions will be answered by studying literature about GSCM, with a focus on
customer’s purchase intention. This literature is found in several journals like the journal of
Physical Distribution & Logistics Management, UIP Journal of Operations Management and
the Journal of Cleaner Production, which were found by using Google Scholar and ISI Web
of Science. The aim of this paper is first of all to give a clear explanation of what green
supply chain management entails, secondly it expects to find a relationship between a
company’s GSCM activities and the purchase intention of customers.
In the next chapters the following will be discussed, chapter two will address the research
methods, it will discuss how literature has been found as well as give an overview of the used
literature. Chapter three will then use this literature to answer the sub questions of the
research. The final chapter will start with a discussion about these results and will use them to
answer the main research question. In addition some of the implications of these results will
be addressed as well as some recommendations for future research.

7.
6
2. Methods
2.1 Data Collection
This chapter of the research will show the process of searching and screening literature, how
they are reviewed and why they were included. Two search engines were used to gather
relevant articles: Google scholar and ISI Web of Science.
First, multiple relevant terms were used in Google Scholar to find suitable results. These
terms were used to clearly define the main topic. The main terms that were used are:
Sustainable Supply Chain Management (SSCM); Green Supply Chain Management (GSCM);
Sustainable Logistics; Logistics Social Responsibility (LSR); Responsible Supply Chain
Management (RSCM); Environmental Supply Chain Management. Secondly after screening
these first results Corporate Social Responsibility (CSR) has been added to the list, since this
term was often used in the initially found literature. To decide whether or not literature was
relevant the title and the abstract of the literature have been reviewed with relation to the main
research terms. These results have been used to answer the first sub question of this research.
Thirdly, to answer the second and third sub questions a more specific search was needed.
Therefore the main terms were combined with words as drivers or motivators or
consequences or benefits. This has made the search more relevant for the remaining sub
questions. The resulting articles were screened for relevant information in addition forward
and backward citation was used. To answer the last sub question search terms like customers’
purchase intention or customer behavior were combined with words such as: company’s
reputation, customer satisfaction and employee satisfaction to relate the drivers and
consequences of GSCM to customer behavior. Using Google Scholar these search terms have
found 17 relevant articles.
In addition to Google Scholar the search engine ISI Web of science was used to find relevant
literature. The words Sustainable Supply Chain Management (SSCM) and Green Supply
Chain Management (GSCM) and Corporate Social Responsibility (CSR) or Sustainable
Logistics or Logistics Social Responsibility (LSR) of Responsible Supply Chain Management
(RSCM) or Environmental Supply Chain Management were used in combination with words
as, drivers, motivators, benefits or consequences. The research areas were reduced to
‘Business Economics’ and ‘Operations Research Management Science’ and ‘Environmental
Science Ecology’ to exclude irrelevant areas. The language was refined to ‘English’ and the
document type to ‘Article’. Still, this resulted in too many articles after which irrelevant
‘source titles’ were left out. These criteria resulted in 34 articles. The abstracts of the residual

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7
articles were screened and articles which were not closely enough related to the topic were
left out. This resulted in 21 relevant articles with the following journals:
- International Journal of Operation & Production Management
- Journal of Cleaner Production
- Resources, Conservations and Recycling
- International Journal Production Economics
- Journal of Purchasing and Supply Management
- Industrial Marketing Management
- International Journal of Production Research
A quick overview of how the ISI Web of Science has been used, will be given in this
paragraph: TOPIC: (sscm drivers) AND TOPIC: (csr drivers) OR TOPIC: (LSR drivers) OR
TOPIC: (sustainable logistics drivers) OR TOPIC: (rscm drivers) OR TOPIC: (environmental
supply chain management drivers) AND TOPIC: (csr consequences) OR TOPIC: (lsr
consequences) OR TOPIC: (sustainable logistics consequences) OR TOPIC: (rscm
consequences) OR TOPIC: (environmental supply chain management consequences) AND
TOPIC: (green supply chain management) Refined by: RESEARCH AREAS: (
Environmental Science Ecology OR Business Economics Or Operations Research
Management Science) AND DOCUMENT TYPES: ( ARTICLE ) AND LANGUAGES: (
ENGLISH ) AND SOURCE TITLES: (International Journal of Operation & Production
Management OR Journal of Cleaner Production OR Resources, Conservations and Recycling
OR International Journal Production Economics OR Journal of Purchasing and Supply
Management OR Industrial Marketing Management OR International Journal of Production
Research) Timespan: All years. Search language=Auto. This search was performed on the
first of May 2016.
2.2
Sample
description
The keywords, that were used in the search engines described in the previous section, have
given 38 relevant articles, which are shown in appendix 1.4. Figure 1 shows the amount of
publications per journal that were used in this research. This figure only shows 8 of the 24
used journals, because these 8 journals cover 57,9% of all articles used in this research. The
remaining journals can be found in appendix 1.1, such as the meaning of the abbreviations of
the journals used in the figure 1.

9.
8
Figure 1: Distribution of publications per journal
Figure 2 shows the publication years of the literature used. The figure clearly shows most
literature used in this research is from after 2000, which is an indicator of the relevance of this
topic. An overview of the publications per year is given in appendix 1.2.
Figure 2: Distribution of publications per year
0
1
2
3
4
5
Publications per journal
0
1
2
3
4
5
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
Publications per year

10.
9
In figure 3 the publications per country are given. The figure shows that most articles are
published in countries that can be classified as non-developing countries, which can mean this
topic might only be relevant in these countries. An overview per country is given in appendix
1.3.
Figure 3:Distribution of publications per country
0
2
4
6
8
10
12
14
16
18
Publications per country

11.
10
3.
Theoretical
findings
In this section of the research the articles that were found and reviewed will be used to answer
the earlier mentioned sub-questions. The analysis of the literature has concentrated on four
different themes. First, the definition of GSCM will be given with an overview of other terms,
which are closely related to GSCM in order to give a better holistic view on the subject.
Secondly, the most common motivators of green supply chain management will be discussed.
Thirdly the most common benefits will be covered and last the connection between GSCM
and customers’ purchase intention will be made. Literature has also been accessed on
motivators for environmental issues in SSCM, RSCM and LSR, because these also include
GSCM
3.1 Green Supply Chain Management
First, it is important to get a clear view of which terms and definitions were often found when
searching for information about green supply chain management. Before giving this definition
it is useful to get a more holistic view of the terms and dive deeper and deeper into the more
specific definition of GSCM. Table 1 shows the definitions used and their corresponding
article ID. The overview of the article ID’s can be found in appendix 1.4.
Definitions Article ID
Sustainable Supply Chain Management 2,6
Green Supply Chain Management 3, 19,21,28,29
Corporate Social Responsibility 1,7
Sustainability 2,6
Logistic Social Responsibility 7,15
Table 1: Definitions and article ID’s
3.1.1 SSCM
While reviewing the literature of GSCM the term sustainability in supply chain management
was mentioned often. BCSD Chairman Stephan Schmidheiny says in the article of Elkington
(1994, p.91) “sustainability requires that we pay attention to the entire life cycle of our
products and to the specific and changing needs of our customer.” These products should
fulfill the specific and changing needs of the customer. The most used definition of
sustainability though according to the World Commission on Environment and Development
(1987, p.8) (as cited in Carter & Rogers (2008) is: “development that meets the needs of the
present without compromising the ability of future generations to meet their need”. After
their literature review they imply that organizational sustainability improves three
performances, which contains natural environment, social and economic performance, also
known as the “triple bottom line”. To relate sustainability to supply chain management Carter

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and Rogers (2008, p.368) defined sustainable supply chain management (SSCM) as “the
strategic, transparent integration and achievement of an organization’s social,
environmental, and economic goals in the systemic coordination of key interorganizational
business processes for improving the long-term economic performance of the individual
company and its supply chain”.
3.1.2 CSR
Another term used regularly, in the literature of GSCM, is corporate social responsibility
(CSR). In the article of Votaw and Sethi (1973) (as cited in Yang & Rivers, 2009) he state
CSR is a brilliant term, although different definitions are used interchangeably. For instance
CSR is often used to refer to social responsible behavior in an ethical sense, but it can also
imply legal responsibility or liability. That the term CSR often means something different in
different contexts can be confirmed by the definition stated in the article of Carter & Jennings
(2002), which identifies a specific set of activities or dimensions of CSR. These activities
include charitable and philanthropic donations, community considerations, the advancement
of gender, racial, and religious diversity in the workplace, human rights, safety and the
environment.
3.1.3 LSR
In the same article of Carter & Jennings (2002) they focus only on the issues of CSR that
relate to socially responsible logistics, also known as Logistics Social Responsibility (LSR).
LSR include the processes of purchasing, transportation, packaging, warehousing and reverse
logistics. These can be classified into the topics: environment, ethics, diversity, working
conditions & human rights, safety, philanthropy and community involvement (Ciliberti et al.,
2008; Jennings & Carter 2002).
3.1.4 GSCM
The more broad terms related to green supply chain management are presented in the three
paragraphs above. GSCM is covered in SSCM, CSR and LSR, but GSCM is much more
specific. Whereas SSCM, RSCM, CSR and LSR also have a social aspect, the natural
environment is the central topic in GSCM (Ahi and Searcy, 2013). The influence and
relationship between the natural environment and supply chain is referred to by the ‘green’
component in GSCM (Srivastava, 2007). This article also states that GSCM is the
combination of corporate environmental management and supply chain management. In the
article of Zhu et al. (2008a) they state that green purchasing, supply chain integration and
reverse logistics are GSCM practices, which are considered cross-organizational and closed
loop. Some other activities of GSCM according Srivastava (2007) are product design,

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material sourcing and selection, manufacturing processes, delivery of the final products to the
consumers, and end-of-life management of the product after its useful life.
Jabbour (2015) also includes environmental collaboration and environmental monitoring
actions in the definition of GSCM. Environmental collaboration with suppliers/customers has
as aim to solve problems mutually and the aim of environmental monitoring is to minimize
risk and inspect their supplier (Vachon and Klassen, 2006).
Regardless of the fact that some authors define GSCM more specific or included different
activities than others, most of the literature describe similar issues. In this research the
following definition of green supply chain management is used, because it includes a
combination of the most common aspects of the definitions that have been reviewed: GSCM
is the combination between the natural environment and cross-organizational supply chain &
closed loop practices, which classifies environmental monitoring and collaboration.

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3.2 Most common motivations to adopt GSCM
The reviewed literature shows many different motivations that compel companies to get
involved in green supply chain management. The most common motivations will be given
here and an analysis of the similarities and differences between the literatures will be made.
An overview of the most common motivations and the corresponding article ID is shown in
table 2.
Most common drivers GSCM Article ID
Financial performance 11,17,19,20,30,31
Regulation 4,7,11,14,17,18,19,20,31,32,33
Consumers 2,6,11,17,18,19,23,24,33,34,35
Competitive advantage 4,17,24,36
Supplier collaboration 2,4,21,25
Reputational risk 8,9,11,14
Environmental performance 11,14,18,19,21,23,24
Table 2: Drivers of sustainable supply chain management and article ID’s.
3.2.1 Financial performance
For a company to get involved with GSCM the financial aspect is an important driving force.
The future of the world economy will be shaped fundamentally by supply chain and energy
security, which includes natural resources. The supply chains are extremely dependable on
fossil fuels generated power. For example fossil fuels, such as oil, have risen in price and
make up 30 to 35 percent of the overall cost of some carriers (Thuermer, 2008, as cited in
Halldórsson & Kovács, 2010). Cost reduction is the most frequently occurring economic
driving force in the literature, appearing in different ways. According to Mollenkopf et al.
(2006) costs could be saved by reduce of packaging waste and the capability of developing
designs that can be reused. Porter and Linde (1995) state pollution in the product life cycle
comes with hidden cost such as wasted resources and effort, which companies want to avoid.
Zhu and Sarkis (2006) stated that, besides environmental improvements, engagement in
GSCM might result in tangible positive economic performance. GSCM is an idea to make the
supply chain more environments friendly and increase the economic performance, such as
higher profit (Srivastava, 2007). According to Mathiyazhagan et al. (2014) there are also
other financial factors that are motivators to adopt GSCM. Examples hereof are governmental
funds and bank loans. Though, these are not as important as for example regulations or
pressure of competition.

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3.2.2 Regulation
Regulatory pressure is one of the main driving forces for companies to adopt GSCM (Porter
and Linde 1995; Srivastava, 2007), because they are more mandatory. Some issues, such as
product recall and supply chain disruptions, are managed more discrete than before, because
of the higher regulatory pressure from the government and media’s social regulations
(Halldórsson & Kovács, 2010). Companies that are not complying with regulation can expect
legal problems in most countries (Mann et al., 2010), such as penalties and fines (Davidson
and Worrell, 2001). As a result the way companies make decisions is greatly shaped by
compliance with rules and norms (Roehrich et al., 2014). Nevertheless, those companies that
are complying with environmental legislation do not have the security that their
environmental performance will improve. Proactive firms, which have environmental
concerns thoroughly into their value chain implemented and who comply with environmental
legislation, are more likely to realize GSCM with success than reactive companies (Carter and
Dresner, 2001).
Carter and Jennings (2002) stated in their article that eight out of twelve informants have
legislation as a driving force when talking about environment in LSR. According to
Mathiyazhagan et al. (2014) government policies and regulations have different important
pressures for GSCM. Central governmental regulations are the most important one of the
governmental policies and regulations, because of the forced environment management
system adoption of firms. The Second important pressure is the regional environmental
regulation. For the adoption of environmental consciousness, it is important to promote
environmental performance. The last important pressure is the certification of ISO 14001,
which gives firms special tax exemptions (Mathiyazhagan et al., 2014). The central
government regulations and regional environmental regulations are also ranked in this order
of importance in the article of Zhu and Sarkis (2006). Although the ISO 14001 certification is
also mentioned, it is not ranked.
Zhu and Sarkis (2006) say in their article regulations of foreign counties, which import
products, are also an influential motivation for GSCM. They have to comply with the
regulations of their customers, which results in pressure, to self-regulate environmental
performance, from national suppliers. Taiwan’s government even consults companies to
comply with the newest international environment regulations such as GSCM to meet their
foreign customers demand (Wu et al., 2012).

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3.2.3 Consumers
Consumer pressure is a motivator to adopt GSCM activities (Srivastava, 2007). “Green
consumerism” has been a stimulus in which environmental challenges are viewed (Elkington,
1994). Environmental activities, which are correlated with cost and benefits, come as a result
of the greater transparency along the supply chain and out of pressure of customers to become
‘greener’ (Carter and Roggers, 2008). The enlarged environmental awareness increased
customer demand for products that are “green” (Bovea & Wang, 2003) and have a high
quality at a low cost (Mathiyazhagan et al., 2014), consumed from companies with a ‘green
image’. These requirements derive from better customer education concerning possible
benefits of reverse logistics, which makes efficient and effective SSCM systems more
necessary to optimize customer satisfaction (Mann et al., 2010).
Carter & Dresner (2001) and Lee et al. (2014) write in their articles that organizations are
driven by customers to adopt green supply chain practices and environmental management
systems. The way they motivate GSCM differs though, customer demand, which is a long-
term supply chain perspective, has better influence on environmental management than
customer requests, which implies a short-timeframe (Carter and Dresner, 2001). The motive
of customers to involve in GSCM also differs, Lee at al. (2014) states large high-profile
companies get lots of external pressure to improve the environmental performance, while
smaller suppliers have fewer stimuli. For example, large customers drive smaller suppliers to
stimulate their involvement in environmental performance and the end-customer in turn
drives the large customer to environmentally friendly initiatives. As a large customer you
have control over your suppliers. This also means you have to take responsibility for the
actions of your suppliers (Walker et al., 2008).
According to Govindan et al. (2016) the pressure from foreign customers in different
industries is the most dominant driving force together with competitive pressure and
government regulations to implement GSCM. Organizations in China even claim they were
forced to implement GSCM to establish a long-term relationship with foreign firms
(Mathiyazhagan et al., 2014) as well as the requirements of foreign customers to implement
the ISO 14001 certification (Zhu and Sarkis, 2006).
3.2.4 Competitive advantage
GSCM was a method to achieve competitive advantage (Thun and Müller, 2010) and
according to Mathiyazhagan et al. (2014) together with regulations even the most dominant
motivator. Walker et al. (2008) as well as multiple other authors, classify competition as a

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driving force for GSCM activities. Adoption of GSCM can improve the competitive position
of a company as is stated by Mathiyazhagan et al. (2014). However this only is the case if
companies work with a proactive environmental strategy, only then they can achieve
competitive advantage through developments in the supply chain (Walker et al., 2008). In
Indian markets global competitiveness is a very important factor, but the local market
competition is of even bigger importance (Mathiyazhagan et al., 2014). In the article of Wu et
al. (2012) though, they state that competitive pressure made companies learn to get
competitive advantage through environmental management practices to get orders from
international brands.
3.2.5 Collaboration with Suppliers
In the article of Jabbour (2015) the importance of supplier collaboration is accentuated when
structuring the GSCM, because it can lead to multiple benefits (Tachizawa et al., 2015).
According to Wu et al. (2012) when companies want to adopt GSCM activities they have to
decrease the information asymmetry between their supply chain partners by forming a social
network with them, which can eliminate opportunistic behavior (Carter and Rogers, 2008).
Cooperation by establishing long-term relationships, sharing of knowledge and have
confidence in each other are examples of important aspects of engaging in GSCM (Wu et al.,
2012).
3.2.6 Reputational risk
In their article Roehrich et al (2014) state that reputational risk, which can be divided in short-
and long-term risks, compels companies to implement social and environmental SSCM. The
social and environmental responsibility business case focuses especially on reputational risk
reduction. Reputational risk first of all refers to the chance of the occurrence of a negative
event. Secondly reputational risk refers to the chances that stakeholders perceive a negative
event, which then influences their perception of the company (Roehrich et al., 2014).
Industries have been stimulated to improve the perception customers have of their firm by
implementing CSR (Zhu and Sarkis, 2006). However the intentions that lie behind a
company’s implementation of CSR will have effect on the customer’s purchase intention
(Ellen et al., 2006; Becker-Olsen et al., 2006).
3.2.7 Environmental performance
It is often assumed that companies only take environmental issues in account because
legislation or customers force them. The expectations though are that firms, which have a
higher social responsibility, are in possession of systems that take environmental
sustainability into their interest (Mann et al., 2010). Moreover according to Walker et al.

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(2008) in some companies the environmental values are so deeply rooted that this is the
driving factor for involving in green supply chain management. For them the requirements of
environmental legislation are seen as the minimum to get involved.
GSCM is an environmental element that is taken into account when managing the supply
chain, which improves the environmental performance for a firm. Examples hereof are
achieving green production, by for example reducing material usage and becoming more
energy efficient, naturally these are also closely related to the company’s economic
performance (Govindan et al., 2016). Increasingly the “green consciousness” of companies,
which is the result of the disposal problem, has led to GSCM (Srivastava, 2007). One of the
key things regarding SSCM, supplier relationship and the strategic objectives is reducing the
carbon intensity and carbon tracks which can be traced back to the company, in order to
increase supply chains’ environmental standards (Roehrich et al., 2014). This effort can best
be regarded as an environmental target, another example of such an effort is for example
increasing the eco-efficiency between production units and the presence of a green product
line (Jabbour, 2015). These are all motivators, which are important to be more
environmentally conscious. However according to Zhu and Sarkis (2006) though,
environmental performance of suppliers is not as an important driver for GSCM as other
drivers.

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3.3 Most common benefits
While the previous paragraphs have discussed several of the motivations to adopt GSCM, the
next section will discuss some of the benefits that GSCM can have. Some of the benefits that
will be discussed are a result of the drivers of GSCM that have been analyzed in the previous
sections. However other benefits cannot be related to drivers from the previous section. An
overview of the most common benefits plus the corresponding article ID’s is shown in table
3.
Most common consequences GSCM Article ID
Financial organizational performance 2,11,14,18,22,24,25,26
Reputation 2,7,10,14,25,37
Employees 5,7,21,24
Competitive advantage 2,18,22,26,27
Environmental performance 20,25,26,27
Table 3: Most common consequences GSCM and article ID’s
3.3.1 Financial organizational performance
A major explanation of the impact of green supply chain management on a firms’
performance is that different GSCM activities have different benefits on a company’s
performance (Tachizawa et al., 2015). Roehrich et al (2014) state that a company’s driving
force is to avoid reputational risk. The consequences could be short-term and long-term. If a
company does not involve in SSCM this could result in negative customer behavior on a
short-time basis and thus in a los of profit. As the reputation of a company is linked with the
financial performance of a firm, this will have consequences for the company’s reputation. A
stronger reputation will however increase customer satisfaction and loyalty, which results in
higher profitability (Hoejmose et al., 2014). In the long run reputational risk could have
implications for market-shares and changing consumer preferences, which can be more
damaging for companies (Roehrich et al., 2014)
Another way of GSCM to improve a firms’ financials is preventing opportunistic behavior by
other suppliers that result in reduction of costs (Carter and Rogers, 2008). Adoption of GSCM
activities can also have as benefit the income of the company is positively influenced by
stakeholders, which have a direct impact on firms’ financials (Zhu and Sarkis, 2006). If
companies are not in line with the regulations concerning adoption of socially and
environmentally SSCM activities, this could have as consequence the market value can drop
(Roehrich et al., 2014).

20.
19
According to Walker et al. (2008) the motivator competitive advantage of GSCM can result
in companies improving their financial performance by sales growth, which are an effect of
collaborative GSCM practices (Tachizawa et al., 2015). Mann et al. (2010) state that while
the adoption of SSCM can have as benefit a company’s organizational performance increases
by reducing costs (Carter and Rogers, 2008). This can be attributed to the fact that
environmental collaboration with customers can reduce several costs and increase customer
satisfaction (Laari et al., 2016).
3.3.2 Reputation
Sustainable behavior can enhance corporate reputation (Carter and Rogers, 2008). Involving
in LSR establishes trust with customers and suppliers (Carter and Jennings, 2002) and is
beneficial to the environmental reputation of a company such as CSR (Bhattacharya and
Senn, 2004) and supplier collaboration (Tachizawa et al., 2015). This is also the case when a
company reduces environmental risk by monitoring GSCM practices (Tachizawa et al.,
2015). On the other hand, according to Roehrich et al (2014), involving in environmentally
damaging practices and other socially unacceptable activities in the supply chain (child labor
etc.) could change the image of a company drastically. It can jeopardize the corporation’s
brand image and harm the trust they have built with their customer (Lee and Kim, 2009).
3.3.3 Employees
The relation between employees and GSCM can be diverse according to the literature. Langer
et al. (2007) state that SSCM can lead to better employee morale and that LSR can result in
employees being more satisfied about their job and having a good feeling about the firm they
work for (Carter and Jennings, 2002). They also state that it increases the motivation of the
employees. Whereas job satisfaction not always improves motivation, improved motivation
always increases job satisfaction. Another effect of GSCM on the relation between a company
and its employees is the increased involvement of employees in their job resulting from
environmental and operational improvements (Walker et al., 2008). Examples of the
increased involvement are that there started to exist sustainable committees and working
groups to discuss issues about water, energy, waste etc. (Jabbour, 2015).
3.3.4 Competitive
Mangla et al. (2015) state that GSCM practices are ways to achieve competitive advantages in
a market. By improving the corporate reputation, which is a driver for GSCM, competitive
advantage can be gained, as customers move away from the competition that does not address
environmental concerns (Laari et al., 2016). It is essential that their reputation is better than

21.
20
their competition in order to maintain competitive reputational advantage (Hoejmose et al.,
2014) SSCM can also help to get technological advantage (Mann et al., 2010), which can be
seen as a competitive advantage. GSCM also makes it more difficult for competitors to
imitate the environmental practices, because of the complex inter-organizational relations
(Laari et al., 2016; Carter and Rogers, 2008).
3.3.5 Environmental performance
In the article of Tachizawa et al. (2015) they say that the GSCM approaches, collaborative
approach and monitoring approach, have different impacts on environmental performance in
different industries. They state that sometimes environmental collaboration is significantly
associated with environmental performance of a company and sometimes environmental
monitoring is positively associated with environmental performance. Whereas Laari et al.
(2016) states that only environmental monitoring and internal GSCM is related to
environmental performance and internal GSCM activities are positively related with
environmental performance.
According to Halldórsson and Kovács (2010) SSCM has as a result that companies are trying
to be more energy efficient and reduce greenhouse gas emissions. The involvement in GSCM
thus helps to reduce environmental impact, which improves the environmental performance
of a company (Mangla et al., 2015).

22.
21
3.4 Customer behavior/Customers’ intention to purchase
The literature gives a lot of motivators and benefits of GSCM practices. In section 3.2 and 3.3
the most common motivators and benefits are given. This section will connect some of those
motivators and benefits to the change of customer intention to purchase from companies that
have adopted GSCM.
Mann et al. (2010) stated in their article that reverse logistics, one of the activities of GSCM,
has become a basic customer requirement to achieve better customer service and acquire
maximum customer satisfaction. Firms focus more on implementing environmental friendly
logistics activities to achieve customer needs (Carter and Jennings, 2002).
Companies are stimulated to improve their customer perception about their firm with CSR
practices (Zhu and Sarkis, 2006), including GSCM. Involving in CSR practices have a
significant influence in customer’s intention to purchase (Ellen et al., 2006; Becker-Olsen et
al., 2006). If stakeholders, including customers, find negative incidents this perception will
change negatively. A stronger reputation is indirect related with the purchase intention of a
customer, because a stronger reputation increases customer satisfaction and loyalty, which
results in higher profitability (Hoejmose et al., 2014). Whereas customer satisfaction is
directly related to customer’s purchase intention, excluding the healthcare industry (Cronin et
al., 2000). Thus not involving in SSCM could change customer’s purchase intention
temporarily and cause a los of profit, but on a long-term basis, not involving in SSCM, could
result in losing market-shares and changing consumer preferences (Roehrich et al., 2014).
The involvement in SSCM can also have an influence on employees of a company. It actually
leads to a better employee morale (Langer et al., 2007) and LSR increases the satisfaction of
employees (Carter and Jennings, 2002). According to Chi and Gursoy (2009) there is a
significant relation between customer satisfaction and employee satisfaction. This means if
the SSCM activities become more efficient, customer satisfaction will be optimized (Mann et
al., 2010) which results in higher customer purchase intention (Cronin et al., 2000).
According to Zhu and Sarkis (2006) there is also pressure of customers from other countries
(export) to comply with their regulations. If selling companies do not comply with the
regulations of the buying country there will be no transaction. Chinese firms were forced to
implement the ISO 14001 certification and GSCM by foreign customers to pursue trade
(Mathiyazhagan et al., 2014). Thus, companies who do not implement SSCM practices, such
as GSCM, will experience customers turn to competitors who do implement such practices
(Roerich et al., 2013; Elkington, 1994).

23.
22
4.
Conclusion
4.1
Discussion
To get a better understanding of Green Supply Chain Management, this research has
performed a qualitative literature study. Four sub-questions have been posed to set a an
adequate foundation in order to give an answer to the main question ‘What is the influence of
green supply chain management on customer purchase intention?’ First these four sub
questions will be answered and afterwards an answer will be given to the main question.
1) ‘What is green supply chain management?’
First of all it should be said that there is not just one definition of green supply chain
management. Green supply chain management is a topic, which is a part of several terms:
CSR, SSCM, RSCM and LSR. Multiple authors specify GSCM in different activities. In this
analysis green supply chain management is defined as: the combination between the natural
environment, the cross-organizational supply chain activities and closed loop practices, which
classifies environmental monitoring and collaboration.
2) ‘What are drivers for companies to adopt GSCM?’
The review of the literature shows that there are seven common driving forces for adoption of
GSCM. However it cannot be said which driving force is the most important one, because
authors do not unanimous agree with each other about this, though the economic motivator is
mentioned often in the literature. Adoption of GSCM activities reduces costs, increases the
profit and firms are able to get government funds and bank loans. The improvement of the
environmental performance of companies is also a common factor to adopt GSCM, because
firms have become more conscious about the natural environment. A more mandatory
motivator is the regulations and legislations of firms and governments. Not complying with
regulations and legislation can result in legal problems, but complying does not mean
environmental performance will improve. Compliance with regulations of foreign countries is
also essential for export reasons, which is also closely related with customer pressure. Foreign
customers for example demand that their supplier has implemented the ISO 14001
certification before doing business with them. Customers, like companies, have also become
more environment conscious, which means they demand green products. The involvement in
GSCM activities also has competitive advantage as common driving force and it enhance
collaboration with suppliers. Collaboration has as result the information asymmetry
decreases. The last factor that motivates companies to implement GSCM is reputational risk.
Not implementing GSCM changes the perception customers have of a firm in a bad way.

24.
23
3) ‘What are benefits for firms after adoption of GSCM?’
According to the reviewed literature, GSCM has five notable benefits. Some of these benefits
are results of some of the discussed motivators. The motivator corporate reputation has as
result that a company increases their competitive advantage. Competitive advantage can also
be increased by GSCM, because it makes imitating environmental practices more difficult.
Competitive advantage, seen as a driving force, has as a benefit it improves financial
performance. A firm could lose profit because its reputation has been harmed or because of
stakeholders pressure when they decide not continuing to invest in the firm. Market value can
also drop when companies are not in line with regulations. Sustainable behavior has other
benefit as well. These are the enhancement of corporate reputation, employee satisfaction and
improvement of environmental performance.
4) ‘What was the influence of GSCM motivators and benefits on customer behavior?’
The motivators and benefits of GSCM contribute to the influence GSCM has on customer’s
purchase intention. There are multiple factors that have a positive influence on customer
satisfaction, which is in turn positively related to the intention of customers to purchase. A
factor that influences customer satisfaction is reverse logistics, because this has become a
basic customer requirement. Another factor that is related to the increase of customer
satisfaction is the improved customer perception of the firm. Not involving in GSCM will
change customer preferences negatively. Adopting GSCM on the other hand increases
employee satisfaction, which is positively related with customer satisfaction and ultimately
leads to purchases.
To conclude this analyses the final and main research question will be answered: ‘What is the
influence of green supply chain management on customer’s purchase intention?’ A unilateral
answer cannot be given. There are lots of different motivators and beneficial outcomes of
green supply chain management, as discussed in the sub questions. What influence these
motivators and outcomes of GSCM have on a customer’s purchase intention is difficult to
say. Whereas some motivators and outcomes are indirectly or directly related to a customer’s
purchase intention, some are not. Organizations have to focus on the driving forces and
benefits of GSCM activities that are indirectly or directly related to the purchase intention of
a customer to increase the influence on this intention to purchase.

25.
24
4.2
Conclusion
This research gives a review about the motivators and benefits of implementing green supply
chain management and how this influences customer’s purchase intention. The aim of the
study is to find what the influence is between the adoption of GSCM activities and customers’
intention to purchase is. In order do so there were four sub-questions included. The research
made clear that there is not just one right definition of GSCM, but that it includes multiple
activities. Several motivators and benefits of GSCM were given in the previous chapters. The
authors of the used literature do not agree which motivator is most important. For example
some authors say regulations are the most important driving force, while others say that
environmental performance is more important, in compelling a company to adopt GSCM
activities. Benefits such as reputation and employee satisfaction are positively related to
customer satisfaction, which has a positive result on customer’s purchase intention.
4.3
Limitations
and
recommendations
for
future
research
As the number of articles that this research has worked with is limited, a generalization of the
results would not be appropriate. As the possibility exist that there is more literature about
GSCM and the influence on customers’ intention to purchase, yet these have not been found
in the limited time frame that was given for this research. Some articles only analyzed a
limited amount of industries, which means some of the results can only be applied to those
industries. As is shown in figure 3 the literature that is used in this research is all publicized in
developed countries. Therefor countries that are classified as under-developed counties
cannot interpret the results of this study. Moreover the literature used in this study was at
times not specifically about the GSCM topic, but on topics, which are closely related to
GSCM. Some of the results are therefore not only applicable to GSCM, but also for example
to LSR or environmental section of SSCM. The results would have been stronger, when all
literature was specific about GSCM. Another limitation was that some of the literature used,
did research in a particular country. Generalization of the topic is therefore not possible,
because countries differ from each other when adopting GSCM. For future research the
number of articles used to study this topic should be expanded. In addition the literature used
should be more specific to the green supply chain topic, as well as expanding this study to
every industry and country. This study focuses on the benefits of GSCM. To get a more
holistic view about the green supply chain topic the negatives should also be discussed.

26.
25
5.
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Appendices
Appendix
1.1:
Publications
per
Journal
Full Journal name Number of publications Abbreviations
Journal of Cleaner
Production
4 J. of Cleaner Production
International Journal of
Production Economics
4 Int. J. of Production Econ.
International Journal of
Operations & production
Management
3 Int. J. of Op. & prod. Man.
International Journal of
Physical Distribution &
Logistics Management
3 Int. J. of Physic Distr. &
Log. Man.
International Journal of
Production Research
2 Int. J. prod. res.
California Management
Review?
2 California Management
Rev.
Resources, Conservation
and Recycling
2 Res., Conserv. and
Recycling
Journal of Business
logistics
2 J. of Buss. Log.
UIP Journal of Operations
Management
1
Journal of Retailing 1
Journal of the Academy of
Marketing Science
1
Journal of Business and
society
1
Journal of supply chain
management
1
Journal of Purchasing &
Supply Management
1
Journal of Economic
perspective
1
Journal of Business
Research
1
Supply Chain
Management: An
International Journal
1
Journal of Business
Strategy and the
Environment
1
Interfaces 1
Industrial Marketing 1

30.
29
Management
International Journal of
Management Reviews
1
Internal Journal of
Hospitality Management
1
Journal of Business Ethics 1
Logistics operations and
management
1
Appendix
1.2:
Publications
per
year
Year of
publication
Publications
per year
1994 1
1995 2
2000 1
2001 2
2002 1
2003 1
2004 1
2005 1
2006 4
2007 2
2008 4
2009 3
2010 3
2011 1
2012 1
2013 1
2014 4
2015 3
2016 2
Appendix
1.3:
Publications
per
country
Country Publications
per country
USA 17
UK 4
India 2
China 2
Germany 2
Spain 2
Canada 2
Italy 1

31.
30
Taiwan 1
Brazil 1
Finland 1
Colombia 1
Denmark 1
Korea 1
Appendix
1.4:
Article
ID’s
Article ID Author Year
1 Yang & Rivers 2009
2 Carter & Rogers 2008
3 Vachon & Klassen 2006
4 Wu et al. 2012
5 Langer et al 2007
6 Elkington 1994
7 Carter & Jennings 2002
8 Ellen et al. 2006
9 Becker-Olsen et al. 2006
10 Bhattacharya & Sen 2004
11 Zhu & Sarkis 2006
12 Chi & Gursoy 2009
13 Cronin et al. 2000
14 Roehrich et al. 2014
15 Ciliberti et al. 2008
16 Wu & Dunn 1995
17 Mathiyazhagan 2014
18 Mann et al 2010
19 Srivastava 2007
20 Halldórsson & Kovács 2010
21 Jabbour 2015
22 Hoejmose et al. 2014
23 Govindan et al. 2016
24 Walker et al 2008
25 Tachizawa et al. 2015
26 Laari et al. 2016
27 Mangla et al. 2015
28 Ahi and Searcy 2013
29 Zhu et al 2008a
30 Mollenkopf et al 2006
31 Porter and Linde 1995
32 Davidson and Worrell 2001
33 Carter and Dresner 2001
34 Bovea and Wang 2003
35 Lee et al. 2014
36 Thun and Müller 2010
37 Lee and Kim 2009
38 Ranaiefar & Amelia 2011