From <scp>CSR</scp> to Sustainable Performance: The Pathways of Green Supply Chain Management, Circular Economy Capability, and <scp>AI</scp> Adoption in China
Abstract
ABSTRACT Sustainable performance (SP) in manufacturing has emerged as a critical concern in emerging economies like China, where rapid industrialization raised concerns about technological innovations, environmental responsibility, and the circular economy. In this regard, the paper examines the interrelationships among corporate social responsibility (CSR), green supply chain management (GSCM), environmental innovation (EI), and circular economy capability (CEC) and SP in the automotive manufacturing industry of China and further tests the mediating effect of CEC, and the moderating effects of artificial intelligence adoption (AIA) on SP. The analyses rely on survey data collected from 630 middle and senior‐level managers working in the Chinese automotive sector. The analysis is based on partial least squares structural equation modeling (PLS‐SEM). The empirical findings suggest that CSR, GSCM, and EI have significantly strong impacts on CEC and SP, where CEC operates as a mediating process. Additionally, AIA has a direct, positive influence on SP and supports the moderation role in the relationship between CEC and SP. In this way, the study shows the integration and synergy among the organizational, operational, and digital competencies in driving sustainability performance, which offers practice‐based guidance to managers and policy makers who intend to foster sustainable development and circular operations within complex manufacturing sectors like automobiles.