The Effect of Supply Chain Innovation on Corporate Sustainability and Performance

Despite several recent studies on the influence of innovation application on corporate performance, more empirical evidence still needs to be provided, especially in the electronics manufacturing industry in China. Meanwhile, only some studies have focused on supply chain management’s role in corporate sustainability. Whether supply chain innovation application is correlated with corporate sustainability and performance is yet to be known. With a dynamic capability approach, researchers explore how supply chain management influences corporate performance and sustainability. An analysis of 125 Chinese electronics manufacturers has verified this underlying mechanism. Results show that supply chain innovation significantly affects corporate sustainability and performance. By leveraging supply chain innovation, electronics manufacturers can reinforce the positive influence of sustainability and performance.