Achieving Environmental Performance through Corporate Social Responsibility: Can Green Capability and Green Transformational Leadership help?

Abstract

This empirical study aims to assess the impact of corporate social responsibility on environmental performance with the mediating role of green transformational leadership and green capability by analyzing quantitative data from 422 employees of Pakistani listed manufacturing firms through questionnaires. Responses were analyzed by using SPSS and AMOS. The results indicate that corporate social responsibility has a positive significant impact on environmental performance and also has both indirect and positive significant effects through green transformational leadership and green capability. Moreover, path-wise outcomes have shown a positive impact of green transformational leadership and green capability as mediators. The current study proposed a model which helps policymakers and managers of manufacturing firms to manage corporate social responsibility, environmental performance, green capability and green transformational leadership and enhances sustainable development. Furthermore, this study contributes in existing literature in light of natural resource-based theory.