Moderating effect of institutional responsiveness on the relationship between green leadership and green competitiveness

With a growing focus among firms globally on saving energy and increasing environmental awareness, it is critical to explore the implementation of corporate greening in subsidiaries of multinational companies. Multinational companies need to respond simultaneously to institutional requirements and pressures for corporate greening. In this study we utilized the natural-resource-based view to investigate how green leadership can enhance green competi- tiveness. Based on a quantitative analysis of 212 subsidiaries of multinational companies in China, we found that green leadership positively influences green competiveness. Further, this relationship was found to be stronger in firms with higher (more active) levels of institutional responsiveness. We highlight practical implications and make suggestions for theoretical development.