Application of the PLS-SEM model in assessing the green supply chain management performance of small and medium enterprises in Ho Chi Minh City, Vietnam

Abstract

In today’s business climate, there is a growing demand for integrating social responsibility and environmental stewardship into supply chain management practices. This study investigates how green supply chain management mediates the relationship between social responsibility, engagement orientation, and overall supply chain performance. Data were collected through a survey of Small and Medium-Sized Enterprises (SMEs) in Ho Chi Minh City, Vietnam, which yielded 333 valid responses. The research employed Partial Least Squares Structural Equation Modeling (PLS-SEM) to conduct a thorough quantitative analysis. The results validated the study’s hypotheses, highlighting the essential role of green supply chain management in the framework. Furthermore, it was found that both social responsibility and environmental orientation positively affect the supply chain performance of SMEs in the area. These findings provide valuable insights for business managers, emphasizing the substantial impact of green supply chain management on enhancing supply chain efficiency.