Green Marketing Practices, Consumer Buying Behaviour, and Corporate Financial Performance in India: A Moderated Mediation Analysis

Abstract

The growing importance of environmental sustainability has revolutionised the operation of various businesses and consumer behaviour and the decision making process of purchasing. The study investigates the impact which green marketing practices introduced by Indian companies have on corporate financial performance and the mediating effect of consumer behaviour in green marketing practices on corporate financial performance and purchasing behaviour of Indians. Additionally, the model introduces the possibility of environmental consciousness as a moderator, where environmental consciousness plays a role of influence to examine whether, how and on how consumer degree of ecological awareness affects the indirect pipeline between the path of green marketing to firm-level financial performance. Utilising both primary survey data from 320 respondents across large cities in India and secondary data collected from published corporate sustainability reports, industry databases, as well peer-reviewed academic literature, the study uses Structural Equation Modelling (SEM) framework and PROCESS macro (Model 14) for moderated mediation analysis. Thus, the impact of green marketing practices on consumer buying behaviour is substantial, which is then linked to better corporate financial performance. The indirect effect of green marketing on financial performance through consumer behaviour is greater when consumers demonstrate increased environmental consciousness. The findings highlight awareness-building as a key strategic lever for companies interested in scaling the effectiveness of green investments through tangible business outcomes. This study adds to the growing sustainability marketing literature, especially in the context of India, an emerging market where green consumerism is still maturing. These are discussed in terms of what is to be implemented for marketers, corporate strategists and policymakers involved with sustainable economic development. Green Marketing, Consumer Buying Behaviour, Corporate Financial Performance, Moderated Mediation, Environmental Awareness, India, Sustainability, SEM.