Effects of Socially Responsible Purchasing on Supply Chain Performance. Evidence from Kenya Supermarkets

Abstract

The purpose of the study will be to determine effect of purchasing social responsibility on supply chain performance of supermarkets in UasinGishu County. The study was guided by Stakeholder Theory and Legitimacy Theory. For this study, questionnaire was used to collect data. The target population for the study was owners/managers of supermarkets. Multiple regression model was used to test hypothesis. We found that environment, diversity, human rights and safety constitute responsibility have a positive and significant effect on supply chain performance. However, purchasing social responsibility was found to be less practiced in supermarkets. Therefore, there need for firms to purchase from different ethnic groups and minority/women-owned business enterprises so as to bring value and innovation to the supply base, to work with suppliers to ensure that their processes and products are environmentally sound, to support and respect the protection of human rights and to ensure suppliers’ locations are operated in a safe manner.