Cascading Sustainability in Multi‐tier Supply Chains: When Do Chinese Suppliers Adopt Sustainable Procurement?

As global brands assume more accountability for their extended supply chains, some request that first-tier suppliers in turn adopt sustainable procurement practices, thereby “cascading” sustainability requirements to second-tier suppliers. However, such cascading has not yet become institutionalized. We partnered with a leading electronics company—here called “Tronics”—to investigate which Chinese are likely and when Tronics' power—measured by its percentage of suppliers' business—is more/less relevant. gathered secondary (audit company records) primary (survey) data on relationship 134 suppliers, complemented these sources three archival datasets from CDP's Supply Chain Program, the National Enterprise Credit Information Publicity System China, World Economic Reports. The results show either have an integrated management system composed economic, environmental, social pillars or engage key stakeholder networks effects boosted power is low moderate. Interestingly, violations necessarily less practices. When Tronics represents large supplier's business, it can persuade noncompliant supplier though limited over exhibit critical violations.