THE EFFECT OF GREEN PRODUCT DESIGN AND INSTITUTIONAL PRESSURES ON MANUFACTURING FIRMS PERFORMANCES IN MALAYSIA : IMPLEMENTATION OF REVERSE LOGISTICS PRODUCTS
DOI:
https://doi.org/10.47604/ijscm.1292Keywords:
Green Product Design, Reverse Logistics, Institutional Pressure, Organization PerformanceAbstract
Purpose: This study is to explore the empirical analysis of green product design and institutional pressures on firm’s performances by employing from ISO14001 certified electrical and electronic manufacturing firms in Malaysia.
Methodology: The study has collected the data from the Electrical and Electronics (E&E) manufacturing firms in Malaysia certified with ISO 14001 through online survey questionnaire from the FMM-MATRADE Industry Directory for Electrical and Electronics 2019/2020, the sampling frame is 177 companies and a sample size of 122 with 89 return response using convenient sampling.
Findings: The results indicated that design for disassembly is necessary to produce valuable inventories from every product except of disposal whereas design for environment has slight influence on repair and disposal activities. As the evidence show that green product design, institutional pressure and reverse logistics product are inter-related, firms ought to undertake environmentally proactive approaches to generate benefits for the firm’s overall performances.
Unique contribution to theory, practice and policy: Since manager’s decisions and interactions take place within a social network that is affected by stakeholders, a theoretical perspective that accounts for the impact of the social climate, rather than simply the economic, rational perspective alone, is more encompassing and may better explain organizations’ behaviors.
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