Authors : Mohammad Khodaei Valeh Zafar, Mehdi Taghavi and Elaheh Habibi Ashtiani
Abstract: Today, the competitive advantage for companies that are active at the international level is crucial and important. Governmental and human institutions pressure to improve environmental performance, increase customer knowledge and laws and regulations as well as environmental standards causes more and more attention of academic researchers and activists in this field and the study of its effects on other aspects of company performance. The previous literature review has shown that environmental performance could take effect from some factors such as market approach and supply chain activities as well as effect on factors such as the company’s performance. Therefore, this study examined the effect of market approach on environmental activities and financial performance. In this study, to analyze the assumptions and evaluate the overall fit of the conceptual model, structural equation modeling was used. The partial least squares method (least squares) was used for the implementation of the assumptions in the form of structural equation model. The research results showed that the market approach has a positive and significant effect on the environmental performance, supply chain management activities and financial performance. Markets approach not only directly but also indirectly and through green supply chain management activitie’s effects on the environmental performance significantly. Green supply chain management activities have a significant positive effect on environmental performance. About half of financial performance changes are predicted through three variables of the market approach, environmental performance and green supply chain management activities that are very significant.
Mohammad Khodaei Valeh Zafar, Mehdi Taghavi and Elaheh Habibi Ashtiani, 2016. Explaining the Relationship Between Market Orientation, Environmental Performance and Corporate Financial Performance (Case Study: Household Appliance Industry). Journal of Engineering and Applied Sciences, 11: 3203-3208.