The Implementation of Sustainable Supply Chain in The Beauty and Personal Care Industry in Indonesia: The Natural Resource-Based View
DOI:
https://doi.org/10.34149/jebmes.v5i1.180Keywords:
Beauty and Personal Care Industry, Environment, NRBV, Sustainable, Sustainable Supply ChainAbstract
This study aims to understand the knowledge of the beauty and personal care industry in Indonesia about sustainable supply chain and assess the impact of consumer views about sustainable supply chain implementation on corporate image and purchase intention. Specifically, the study tests the relationships between customers’ knowledge regarding firms’ sustainable supply chain practices and firms’ corporate image. Sustainable supply chain practices are measured through the extent of sustainable procurement, sustainable warehousing, sustainable product design, sustainable energy, sustainable transportation, reverse logistics, and sustainable waste management. Customers’ perception on the corporate image would further increase their purchase intention. The research uses a quantitative approach by surveying 438 beauty and personal care product users. The results show that sustainable waste management is the most recognized and perceived implementation that contributes to a good corporate image regarding sustainability. Therefore, beauty and personal care companies can leverage the customer perception of sustainable supply chains by emphasizing sustainable waste management through different strategies and educating customers on sustainable supply chain practices. The findings of this study provide valuable insight into the practical effectiveness of sustainable chain supply in the beauty and personal care industry and provide input to future sustainability efforts on the environment, society, and economics.
References
Ahdiat, A. (2022). Skor keberlanjutan lingkungan di negara Asia Pasifik [Data]. KataData. https://databoks.katadata.co.id/datapublish/2022/07/25/pelestarian-lingkungan-indonesia-tergolong-buruk-di-asia-pasifik
Al-Ghdabi, R. R., Almomani, R. Z. Q., Banyhamdan K. M. (2019). Impact of the green supply chain management practices on corporate image of chemical industries in Jordan. International Journal of Scientific & Technology Research. ISSN 2277-8616
Ali, S. S., & Kaur, R. (2021). Effectiveness of corporate social responsibility (CSR) in implementation of social sustainability in warehousing of developing countries: a hybrid approach. Journal of Cleaner Production, 324, 129154.
Ali, G., Yan, N., Hussain, J., Xu, L., Huang, Y., Xu, S., & Cui, S. (2019). Quantitative assessment of energy conservation and renewable energy awareness among variant urban communities of Xiamen, China. Renewable and Sustainable Energy Reviews, 109, 230-238.
Aravindaraj, K., & Chinna, P. R. (2022). A systematic literature review of integration of industry 4.0 and warehouse management to achieve Sustainable Development Goals (SDGs). Cleaner Logistics and Supply Chain, 100072.
Assali, A., Khatib, T., & Najjar, A. (2019). Renewable energy awareness among future generation of Palestine. Renewable Energy, 136, 254-263.
Aslam, Haris & Waseem, Maimoona & Khurram, Muhammad. (2019). Impact of green supply chain management practices on corporate image: mediating role of green communications. Pakistan Journal of Commerce and Social Sciences. 13, 581-598.
Altuntaş, E. Ç., & Turan, S. L. (2018). Awareness of secondary school students about renewable energy sources. Renewable Energy, 116, 741-748.
Arisman, & Fatimah, Y. A. (2023). Waste management in indonesia: strategies and implementation of sustainable development goals (SDGs) and circular economy. In Circular Economy Adoption: Catalysing Decarbonisation Through Policy Instruments (pp. 131-157). Singapore: Springer Nature Singapore.
Black, W., & Babin, B. J. (2019). Multivariate data analysis: Its approach, evolution, and impact. In The great facilitator: Reflections on the contributions of Joseph F. Hair, Jr. to marketing and business research (pp. 121-130). Cham: Springer International Publishing.
Boz, Z., Korhonen, V., & Koelsch Sand, C. (2020). Consumer considerations for the implementation of sustainable packaging: A review. Sustainability, 12(6), 2192.
Bukhari, A., Rana, R. A., & Bhatti, U. T. (2017). Factors influencing consumer’s green product purchase decision by mediation of green brand image. International Journal of Research, 4(7), 1620-1632.
de Souza, E. D., Kerber, J. C., Bouzon, M., & Rodriguez, C. M. T. (2022). Performance evaluation of green logistics: Paving the way towards circular economy. Cleaner Logistics and Supply Chain, 3, 100019. https://doi.org/10.1016/j.clscn.2021.100019
Diva, M. A. (2020). Green purchase intention: the impact of green brand cosmetics. Management And Sustainable Development Journal, 2(1). https://doi.org/10.46229/msdj.v2i1.154.
Glass, J., Achour, N., Parry, T., & Nicholson, I. (2012). Engaging small firms in sustainable supply chains: responsible sourcing practices in the UK construction industry. International Journal of Agile Systems and Management, 5(1), 29-58.
Gong, M., & Kong, Y. (2014). The implementation of green logistics in supermarkets in Sweden and China: A case study for ICA MAXI and JIA JIAYUE. University of Gävle. http://www.diva-portal.org/smash/get/diva2:722929/FULLTEXT01.pdf
Handriana, T., Yulianti, P., Kurniawati, M., Arina, N. A., Aisyah, R.A., Ayu A., Made G., Wandira, R. K. (2020). Purchase behavior of millennial female generation on halal cosmetic products. Journal of Islamic Marketing. https://doi:10.1108/jima-11-2019-0235
Hart, S. L. (1995). A natural-resource-based view of the firm. Academy of Management Review, 20(4), 986–1014.
Huang, C. C., Yen, S. W., Liu, C. Y., & Huang, P. C. (2014). The relationship among corporate social responsibility, service quality, corporate image and purchase intention. International Journal of Organizational Innovation, 6(3).
Jauhari, G. A. T., Sosianika, A., & Hardiyanto, N. (2021). Analisis sikap dan minat membeli wanita muda di Indonesia terhadap produk perawatan diri berbahan alami. In Prosiding Industrial Research Workshop and National Seminar, 12, pp. 991-996).
Jayarathna, C. P., Agdas, D., & Dawes, L. (2023). Exploring sustainable logistics practices toward a circular economy: A value creation perspective. Business Strategy and the Environment, 32(1), 704–720. https://doi.org/10.1002/bse.3170
Jayaraman, Vaidyanathan; Yadong Luo. (2007). Creating Competitive Advantages Through New Value Creation: A Reverse Logistics Perspective. Academy of Management Perspectives, 21(2), 56–73. doi:10.5465/amp.2007.25356512
Karatepe, Y., Neşe, S. V., Keçebaş, A., & Yumurtacı, M. (2012). The levels of awareness about the renewable energy sources of university students in Turkey. Renewable Energy, 44, 174-179.
Karia, N., & Asaari, M. H. A. H. (2013). Green innovations in logistics industry: sustainability and competitive advantage. In IBIMA conference 20th (pp. 456-462).
Kewakuma, A. S. V., Rofiaty & Ratnawati, K. (2021). The effect of green marketing strategy on customer loyalty mediated by brand image. Jurnal Bisnis: Teori dan Implementasi, 12(1). https://doi.org/10.18196/jbti.v12i1.10691.
Khan, K. A., Ma, F., Akbar, M. A., Islam, M. S., Ali, M., & Noor, S. (2024). Reverse logistics practices: a dilemma to gain competitive advantage in manufacturing industries of Pakistan with organization performance as a mediator. Sustainability, 16(8), 3223.
Ko, E., Hwang, Y. K., & Kim, E. Y. (2013). Green marketing functions in building corporate image in the retail setting. Journal of Business Research, 66(10), 1709-1715.
Lee, Y., Chen, S. (2019). Effect of green attributes transparency on WTA for green cosmetics: mediating effects of CSR and green brand concepts. Sustainability. doi:10.3390/su11195258
Lee, J. and Lee, Y. (2018). Effects of multi-brand company’s CSR activities on purchase intention through a mediating role of corporate image and brand image. Journal of Fashion Marketing and Management, 22(3), 387-403. https://doi.org/10.1108/JFMM-08-2017-0087
Lin, Long-Yi & Lu, Ching-Yuh. (2010). The influence of corporate image, relationship marketing, and trust on purchase intention: the moderating effects of word‐of‐mouth. Tourism Review, 65, 16-34. 10.1108/16605371011083503.
Mappangara, D., & Kartini, D. (2019). The competitive determinants strategy and its impact on competitive advantage (Study of solar panel industry in Indonesia). International Review of Management and Marketing, 9(3), 117.
Mazur-Wierzbicka, E. (2021). Communicating socially responsible actions by means of social media in the process of building the image of an organization, as seen in the case of start-ups from the cosmetics industry. Procedia Computer Science, https://doi.org/10.1016/j.procs.2021.09.204.
Mir, S., Fugate, B. S., Johnson, J. L., & Blessley, M. (2021). What should you be talking about? The communication pathway to sustainable supply chain contagion. International Journal of Physical Distribution & Logistics Management, 51(7), 711-737.
Mukonza, C., & Swarts, I. (2020). The influence of green marketing strategies on business performance and corporate image in the retail sector. Business strategy and the Environment, 29(3), 838-845.
Pandjaitan, D. R. H., Mahrianasari., Setiyarini, E. Y. (2022). The impact of green brand positioning, green brand knowledge and attitude toward green brand on green product purchase intention in Unilever products, Indonesia. The International Journal of Business & Management, 10(3), 36-43.
Perkiss, S., Bernardi, C., Dumay, J., & Haslam, J. (2021). A sticky chocolate problem: Impression management and counter accounts in the shaping of corporate image. Critical Perspectives on Accounting, 81, 102229.
Puspitasari, A. F. (2020). The role of brand image, brand equity and product quality toward customers' attitudes to consume eco friendly cosmetic product (an empirical study: millennial generation female customers in Indonesia). Asia-Pacific Management and Business Application, 9(1). 10.21776/ub.apmba.2020.009.01.3.
Reddy, D. (2011). A Study on Reverse Logistics (Dissertation). Retrieved from http://urn.kb.se/resolve?urn=urn:nbn:se:mdh:diva-11789
Roberts, S. (2003). Supply chain specific? Understanding the patchy success of ethical sourcing initiatives. Journal of Business Ethics, 44, 159-170.
Romero-Hernández, Omar; Romero, Sergio. (2018). Maximizing the value of waste: From waste management to the circular economy. Thunderbird International Business Review, doi:10.1002/tie.21968
Ronaldo, Reza & Maulina, Erna & Alexandri, Moh & Purnomo, Margo & Fadoli. (2018). Corporate image on purchase intention, mediated by trust and commitment on the loss insurance industry in Indonesia. International Journal of Information and Decision Sciences. 20(12).
Sanders, N. R. (2017). Introduction to Supply Chain Management. In Supply Chain Management - A Global Perspective (2nd Edition). Wiley Publisher.
Shekari, H., & Rajabzadeh Ghatari, A. (2013). Promoting Corporate Image: A Reflection on Green Supply Chain Management Approach. International Journal of Management and Business Research, 3(4), 311-324.
Singh, S. G., & Kumar, S. V. (2021). Dealing with multicollinearity problem in analysis of side friction characteristics under urban heterogeneous traffic conditions. Arabian Journal for Science and Engineering, 1(17).
Soon, T., & Kong, W. (2012). The influence of consumer's perception of green products on green purchase intention. Doctoral dissertation: Universiti Malaysia Sabah.
Statista Market Insights. (2022). Beauty & Personal Care - Indonesia. https://www.statista.com/outlook/cmo/beauty-personal-care/indonesia
Torabizadeh, M., Yusof, N. M., Ma’aram, A., & Shaharoun, A. M. (2020). Identifying sustainable warehouse management system indicators and proposing new weighting method. Journal of Cleaner Production, 248, 119190.
Utami, C. W., Teofilus, Somawiharja, Y., Tanan, A., Salsabila, A. & Emantyo, Y. E. (2022). Negative marketing in the cosmetics industry: the effect of greenwashing perceptions on purchase intention through brand image. Journal of Applied Management, 20(3). http://dx.doi.org/10.21776/ub.jam.2022.020.03.19.
Wang, J., & Dai, J. (2018). Sustainable supply chain management practices and performance. Industrial management & data systems, 118(1), 2-21.
Widyastuti, S., Said, M., Siswono, S., & Firmansyah, D. A. (2019). Customer trust through green corporate image, green marketing strategy, and social responsibility: a case study. European Research Studies Journal, 22(2), 83-99.
Wisner, J. D., Tan, K.-C., & Leong, K. (2012). Principles of Supply Chain Management - A Balanced Approach (Third Edition). South-Western. www.cengage.com/highered
Yan, Y. K., & Yazdanifard, R. (2014). The concept of green marketing and green product development on consumer buying approach. Global Journal of Commerce & Management Perspective, 3(2), 33-38.
Yunus, E. N. and Michalisin, M. D. (2016). Sustained competitive advantage through green supply chain management practices: a natural-resource-based view approach. Int. J. Services and Operations Management, 25(2), 135–154.
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2025 Journal of Emerging Business Management and Entrepreneurship Studies
This work is licensed under a Creative Commons Attribution 4.0 International License.
License and Copyright Agreement
In submitting the manuscript to the journal, the authors certify that:
- They are authorized by their co-authors to enter into these arrangements.
- The work described has not been formally published before, except in the form of an abstract or as part of a published lecture, review, thesis, or overlay journal.
- That it is not under consideration for publication elsewhere,
- That its publication has been approved by all the author(s) and by the responsible authorities tacitly or explicitly of the institutes where the work has been carried out.
- They secure the right to reproduce any material that has already been published or copyrighted elsewhere.
- They agree to the following license and copyright agreement.
