The effects of supplier B2B sustainability positioning on buyer performance: The role of trust

Sustainability positioning is essential for firms that operate in highly competitive environments, as businesses are increasingly being evaluated in terms of their sustainable practices. Drawing upon social exchange theory, this study examines the role of trust as an underlying mechanism through which supplier B2B sustainability positioning influences buyer performance. A survey of 389 Australian B2B executives reveals the critical role of relational and competency trust in mediating the relationship between B2B sustainability positioning and buyer performance. However, industry-relevant factors such as transactional uncertainty and competitive intensity influence the mediating effects of trust in opposite directions. Specifically, competency trust has stronger mediating effects on buyer performance when there is lower transactional uncertainty and greater competitiveness. On the other hand, relational trust has stronger mediating effects on buyer performance when there is greater transactional uncertainty. The findings provide useful insights for firms wishing to leverage their sustainable image in order to appeal to prospective buyers.