2.7. Positive effect of regulatory pressure on green purchasing
Regulatory pressure generally arises from government agencies, as
well as from lobbying and interest groups .
Regulation can induce compliance .
Government agencies historically influence and control
manufacturing firms' activities via regulation. Previous studies
identify pressure to comply with legislation and regulations as the
core motivation for introducing environmental measures, adopting environmental
management practices and environmental
initiatives relating to supply chains .
Researchers credit regulatory pressure as the main driver of firms'
environmental activities , and
suggest that government regulation positively affects firms' environmental
initiatives and environmental supply chain management.
Government agencies can directly impact firms' environmental
purchasing activities .
The increasing concern of buying firms with environmental
liabilities drives more serious compliance with environmental regulation
and more active involvement in green purchasing practices. Environmental regulations and buying firms' perceptions of
the importance of environmental regulatory compliance significantly
influence firms' involvement in green purchasing . Firms facing higher regulatory pressures may have better
environmental performance in terms of green purchasing .
Conversely, research suggests that regulatory pressure does not
significantly facilitate and drive environmental purchasing find that
government regulation does not significantly relate to the level of
environmental procurement. also indicate
that no direct relationship exists between the involvement of
purchasing function in corporate social responsibility and government
regulation. However, this study adopts the proposition that
most previous research supports and offers the following hypothesis