A New Approach to Shape Green Supply Chain Practices in Small and Medium‐Sized Manufacturing Enterprises: The Role of Local Community Green Pressure

ABSTRACT While the green transition of small and medium‐sized manufacturing enterprises (SMMEs) is important for sustainable industrial development, existing research has emphasized formal institutional pressures and paid less attention to local communities. This study examines the relationship between local community green pressure and green supply chain practices (GSCP) in Chinese SMMEs. In a mixed‐methods design, semi‐structured interviews and grounded theory analysis informed a conceptual model and measurement scales, which were subsequently assessed using survey data. The results show a positive association between local community green pressure and GSCP, with indirect paths through family green interaction and entrepreneurs' environmental commitment. By identifying the family as a potential channel connecting community expectations to enterprise decisions, the study extends research on informal institutions and GSCP in SMMEs. The findings suggest that community engagement and family‐oriented environmental initiatives may complement formal regulation in supporting the green transition of manufacturing enterprises.