Sustainable inbound logistics supply chains and environmental performance: the mediating role of market orientation (MO)

Purpose The purpose of this study is to examine the extent to which Sustainable Inbound Logistics Supply Chain Management (SILSCM) practices enhance environmental performance in the Indian dairy sector. The study further assesses the mediating role of market orientation (MO) in strengthening the relationship between sustainable logistics practices and environmental performance. Design/methodology/approach Data were collected from 107 executives representing 30 dairy processing plants across Uttar Pradesh. Four managers from each plant operations, procurement, IT and plant heads were selected through judgmental sampling based on firm size, market relevance and capacity criteria. Their expertise ensured an informed assessment of SILSCM practices, environmental performance and MO. The proposed relationships were analysed using structural equation modelling (SEM), allowing examination of both direct and mediating effects. Findings Results indicate that SILSCM practices significantly enhance environmental performance by reducing emissions, minimizing wastage, improving cold-chain efficiency and optimizing inbound transportation. MO exhibits a partial mediating effect, suggesting that organizations with stronger customer awareness, competitor monitoring and cross-functional collaboration derive greater environmental benefits from sustainable logistics. Findings also highlight that institutional arrangements, governance structures and power relations influence sustainability adoption, validating the relevance of critical theory in understanding environmental performance outcomes. Research limitations/implications This study is limited to dairy organizations in Uttar Pradesh, which restricts generalizability. Future research should expand to other regions and agro-based sectors, include small and medium dairy enterprises, and adopt longitudinal designs to capture capability development over time. Further work may explore the influence of digital technologies, inter-organizational collaboration and structural barriers such as infrastructure and cold-chain gaps. Examining moderating factors like market dynamics, institutional policies and organizational culture would also deepen understanding of when sustainable inbound logistics most effectively enhance environmental performance. Originality/value This research fills a critical gap by empirically linking inbound logistics sustainability practices, MO and environmental performance within the Indian dairy sector, an area of high economic importance yet limited scholarly coverage. The incorporation of a critical theory lens adds a novel dimension by revealing how institutional constraints, governance asymmetries and power relations condition sustainability outcomes. The study provides actionable and theoretical contributions for scholars, practitioners and policymakers committed to advancing sustainability in developing-country agri-food systems.