sustainability

Article
Assessing the E-Commerce Sustainability Readiness: A Green
Logistics Study on Online Sellers
Yung-Tsan Jou 1 , Cheng-Yi Lo 1, *, Klint Allen Mariñas 1,2,3, * , Charmine Sheena Saflor 1,3,4 ,
Charlie Jade Gutierrez 3 , Cherilyn Sanchez 3 , Danica Songco 3 , Jemer Redston 3 , Mark Bryle Devara 3
and Marr Joseph Bucal 3

1 Department of Industrial and Systems Engineering, Chung Yuan Christian University, Taoyuan 320, Taiwan;
[email protected] (Y.-T.J.); [email protected] (C.S.S.)
2 School of Industrial Engineering and Engineering Management, Mapua University, Manila 1002, Philippines
3 Department of Industrial Engineering, Occidental Mindoro State College, San Jose 5100, Philippines
4 Department of Industrial Systems Engineering, De La Salle University, Manila 1004, Philippines
* Correspondence: [email protected] (C.-Y.L.); [email protected] (K.A.M.)

Abstract: The increasing trend of technological advancement has led to significant changes in how
customers purchase goods. Currently, buying products can be done most effectively from the comfort
of one’s home through online shopping. Customers send and receive thousands of shipments daily,
contributing to many materials and packaging that go to waste. While environmental sustainability
is becoming increasingly important in all industries, little is known about the factors that drive
e-commerce enterprises to adopt green logistical practices. The current study aims to identify the
factors that have the most significance in creating sustainable e-commerce in the future of logistics
and marketing. This study performed a statewide online seller survey in the Philippines to acquire
data on product characteristics, including how internal processes and external partnerships are used
and perceived to minimize the carbon footprint connected with order fulfillment and delivery. It
encompassed a sample of 286 online sellers nationwide and employed structural equation modeling
to identify the factors influencing green logistics practices within the e-commerce industry. The
findings underscore that technology has a positive relationship in fostering sustainability. The results
also establish significant positive correlations between sustainable e-commerce practices, government
Citation: Jou, Y.-T.; Lo, C.-Y.; Mariñas, laws, seller behavior, and reverse logistics. Notably, this research sheds light on the intricate dynamics
K.A.; Saflor, C.S.; Gutierrez, C.J.; of drivers promoting green logistics within the Philippine e-commerce landscape.
Sanchez, C.; Songco, D.; Redston, J.;
Devara, M.B.; Bucal, M.J. Assessing Keywords: e-commerce; green logistics; sustainability; structural equation modelling
the E-Commerce Sustainability
Readiness: A Green Logistics Study
on Online Sellers. Sustainability 2024,
16, 2954. https://doi.org/
1. Introduction
10.3390/su16072954
Green logistics is a fundamental and progressive aspect of modern-day logistics, rep-
Received: 20 February 2024 resenting the prevailing development trend. Green logistics acts as a bridge, connecting
Revised: 27 March 2024
resources with products and products with consumers. By emphasizing environmental
Accepted: 1 April 2024
responsibility and optimizing logistics operations, green logistics contributes to the overall
Published: 2 April 2024
development of a circular and sustainable economy. Green logistics is a systematic ap-
proach that focuses on adopting best practices to minimize the environmental impact of
logistics and delivery processes. The aim is to reduce carbon emissions and overhead costs
Copyright: © 2024 by the authors.
by implementing eco-friendly strategies. It involves optimizing transportation routes, uti-
Licensee MDPI, Basel, Switzerland. lizing alternative fuel vehicles, and leveraging advanced technologies to improve efficiency.
This article is an open access article It encompasses various aspects such as material handling, waste management, packaging,
distributed under the terms and and transportation. The primary objective of green logistics is to reduce the carbon footprint
conditions of the Creative Commons and overall environmental impact associated with the movement of goods throughout the
Attribution (CC BY) license (https:// supply chain. By adopting sustainable practices in these areas, companies can contribute
creativecommons.org/licenses/by/ to a more environmentally responsible and energy-efficient approach to freight distribu-
4.0/). tion. This term was defined by [1]. According to [2], green logistics can be considered

Sustainability 2024, 16, 2954. https://doi.org/10.3390/su16072954 https://www.mdpi.com/journal/sustainability

Sustainability 2024, 16, 2954 2 of 20

green supply chain management. It entails incorporating environmental concerns into an

organization’s activities and integrating them into the supply chain management.
E-commerce, short for electronic commerce, refers to the buying and selling of products
and services using digital platforms. E-commerce has transformed the business landscape,
reshaping competition through the Internet and computer communication networks and
establishing a marketplace accessible to consumers and businesses. The Philippines is
among the nations experiencing notable growth in e-commerce, offering new avenues for
business expansion. With a supportive policy environment, the business community in the
Philippines is poised to enhance e-commerce adoption and growth, potentially amplifying
participation in regional trade and the global value chain [3]. This paper primarily focuses
on examining the significance of e-commerce in contemporary business operations.
Over the past few years, the e-commerce industry has experienced significant growth,
leading to a rise in greenhouse gas emissions from the transportation sector. According
to the United Nations Environment Program, the transport sector is responsible for ap-
proximately 23–24% of global CO2 emissions from fossil fuel combustion. Moreover, these
emissions are projected to increase by one-third by 2050. Nevertheless, companies world-
wide have a growing awareness regarding the significance of reducing their environmental
footprint. Companies are actively incorporating inventive green logistics approaches to
their operations. These approaches encompass a range of strategies, including using electric
vehicles. The optimization process helps reduce the environmental impact while ensur-
ing efficient and sustainable transportation. Consumers increasingly demand sustainable
products and services, and companies are responding by adopting green practices in their
operations and implementing stringent environmental regulations. Green logistics practices
can help companies improve their logistics performance by reducing fuel costs, optimizing
delivery times, and improving customer satisfaction.
Sustainability refers to actions that maintain long-term, global ecological equilibrium
while not depleting natural resources. An immense increase in e-commerce has upended the
global supply chain and changed industrial transportation networks as consumers antici-
pate same-day delivery of goods to their homes. The goal of “green logistics” in e-commerce
is to lessen the environmental impact of delivering items to customers. According to [4],
sustainable transportation refers to economical, low- and zero-emission, energy-efficient
means of transportation. According to ref. [5], green logistics enables industrial activities
to lessen the risks associated with non-green operations and achieve environmental [6]
research; businesses can cut down on their negative environmental impacts by 80% by
implementing environmental controls into their daily operations. According to ref. [7]’s
study, green logistics management practices can promote environmental sustainability by
lowering carbon emissions while increasing waste reduction and energy efficiency.
The current situation of green logistics in e-commerce sustainability in the Philippines
is working positively; companies in the Philippines are exploring ways to reduce carbon
emissions, such as optimizing delivery routes and using electric vehicles. Some companies
have also started investing in their electric vehicle fleet to reduce their carbon footprint
further. In the Philippines, companies are starting to minimize packaging waste. Shopee
and Lazada, the two prominent e-commerce platforms in the Philippines, often likened
to their Amazon counterparts in the country, are striving towards achieving zero carbon
waste within the next few years.
Green logistics and sustainability have become increasingly important in recent years
as businesses and consumers alike are becoming more conscious of the impact of their
actions on the environment. With the rise of e-commerce and online shopping, there
has been a significant increase in materials and packaging used. Studies are still needed
to explore the barriers and challenges that hinder the adoption of sustainable logistics
practices in the country.
This study examines and investigates the various factors influencing the sustainability
of the online platform markets in terms of packaging, transportation, and energy con-
sumption. In addition, this study aims to provide a comprehensive understanding of the
Sustainability 2024, 16, 2954 3 of 20

synergistic effects of green logistics for e-commerce sustainability and identify practical
applications for technology integration to enhance sustainability.
This study might contribute to studies on consumer demand for eco-friendly packag-
ing, delivery options, and energy sources. Additionally, it studies the impact of existing
and potential future regulations on materials and packaging, transportation emissions, and
energy consumption within the e-commerce sector.
Packaging logistics and product packaging system packaging are essential for the
seller and the customer. While the seller uses it to distribute, store, and promote, the
customer uses it as an essential identification and usage tool [8].
Consumers have been paying attention to packaging sustainability and eco-friendliness
in recent years. Many consumers now make long-term purchasing decisions based on
whether the materials used to pack the product are respectful of the environment. Packag-
ing includes the interrelated functions of primary, secondary, and tertiary packaging. All
three types of shipping products are from the production line to the consumer [9]. Primary
packaging is the type of packaging in direct contact with the products. Its primary pur-
pose is to protect them and maintain their ideal characteristics [10]. Secondary packaging
stabilizes the primary packaged product within to prevent damage during shipping and
scuffing or scratching to the product’s primary packaging [11]. Tertiary packaging ships
the goods in transit from the manufacturer to the retailer. Typically, this type of packaging
is rarely seen by the consumer [12].

1.1. Theoretical Research Framework

E-commerce has been one of the leading trends since the onset of the global pandemic.
Most people have adopted the use of e-commerce platforms. The current study investigated
e-commerce sustainability readiness through a green logistics approach. The researchers
developed a theoretical framework based on past studies. The variables to be observed
are environmental impact (EI), materials and packaging (MP), online seller behavior (OB),
consumer behavior (CB), technological advancement (TA), government rules and policies
(GL), reverse logistics (RL), and sustainable e-commerce (SU). This study delves into e-
commerce sustainability readiness through green logistics, aiming to address critical factors
impacting its environmental footprint. By establishing a theoretical framework informed
by past research, the study sets the stage for comprehensive exploration. Ultimately,
understanding these variables’ current practices will pave the way for 4more
Sustainability 2024, 16, x FOR PEER REVIEW of 22 sustainable

e-commerce models in the future (Figure 1).

Figure 1. Theoretical research framework.

Figure 1. Theoretical research framework.
1.2. Hypothesis Developments and Literature Review
The study hypothesizes that these factors are intricately linked, with environmental
sustainability influenced by the collective actions and decisions within the e-commerce
ecosystem. The researchers speculate the following:

H1. There is a significant relationship between materials and packaging and government laws.
Sustainability 2024, 16, 2954 4 of 20

1.2. Hypothesis Developments and Literature Review

The study hypothesizes that these factors are intricately linked, with environmental
sustainability influenced by the collective actions and decisions within the e-commerce
ecosystem. The researchers speculate the following:

H1. There is a significant relationship between materials and packaging and government laws.

Several studies have linked the relationship between government regulations and
policies that substantially influence materials and packaging in various industries [13,14].
Notably, government regulations about packaging waste management and environmental
sustainability in the context of e-commerce can significantly influence the materials that on-
line retailers decide to use [15,16]. A study stated that government regulations significantly
impact materials and packaging [14]. This implies that a strong correlation is assumed to
exist between e-commerce decisions about materials and packaging and the legal structure
that governs them.

H2. There is a significant relationship between technological advancement and materials and packaging.

Previous research has indicated that technological advancement directly affects mate-
rials and packaging practices [17,18]. Technological advancements such as digital manufac-
turing and advanced materials science make more sustainable materials and packaging
solutions possible, transforming package design and production processes [19,20]. Fur-
thermore, digital technologies, such as big data analytics and Internet of Things (IoT)
devices, offer opportunities for optimizing packaging materials usage and supply chain
efficiency [21,22]. Thus, it is hypothesized that a significant relationship exists between
technological advancement and materials and packaging practices in e-commerce.

H3. There is a significant relationship between government laws and consumer behavior.

Previous studies that show how government rules and regulations affect consumer
behavior support this idea [23,24]. Government initiatives, such as tax exemptions and
subsidies for environmentally friendly goods, have been shown by Achmad et al. (2023),
to motivate consumers to change to more sustainable purchasing habits [25]. Govern-
ment policies, such as environmental laws and labeling requirements, can influence cus-
tomer preferences and purchase decisions, especially in ecologically sensitive product
categories [26]. Moreover, they also stated that government laws affect consumer behav-
ior through a combination of subsidy and penalty policy, which is required to motivate
green consumption behavior [26]. Consequently, it is hypothesized that there is a strong
correlation between consumer behavior and government regulations since legislative ac-
tions can influence consumer attitudes, perceptions, and behaviors regarding sustainable
e-commerce practices.

H4. There is a significant relationship between technological advancement and reverse logistics.

Guide and Van Wassenhove (2009) emphasized the role of GPS tracking and mobile
applications in enhancing visibility and coordination in reverse logistics processes [27].
Similarly, Fleischmann et al. (2001) explored the impact of technology-enabled decision sup-
port systems on optimizing product returns in reverse logistics [28]. De Koster et al. (2007)
also investigated integrating advanced warehouse automation technologies with reverse
logistics operations, highlighting improvements in inventory management and processing
efficiency [29]. These studies collectively suggest that technological advancements play a
crucial role in shaping the effectiveness and efficiency of reverse logistics activities, thus
supporting the hypothesis of a significant relationship between technological advancement
and reverse logistics.
Sustainability 2024, 16, 2954 5 of 20

H5. There is a significant relationship between sustainability and government laws.

Delmas and Toffel (2008) conducted a comprehensive study examining the impact of
environmental regulations on firms’ adoption of sustainable practices, revealing a positive
relationship between regulatory strictness and the implementation of environmental man-
agement systems [30]. Similarly, a study investigated the influence of government policies
on corporate environmental strategies, finding that stringent regulations encourage firms
to integrate sustainability into their operations to ensure compliance and maintain legiti-
macy [31]. Additionally, King and Lenox (2001) investigated the role of regulatory pressures
in driving firms towards proactive environmental management practices, highlighting the
importance of government laws in shaping corporate sustainability initiatives [32]. These
studies collectively provide evidence supporting the hypothesis of a significant relationship
between sustainability and government laws.

H6. There is a significant relationship between technological advancement and sustainability.

Sarkis et al. (2020) investigated the role of technological advancements, such as renew-
able energy technologies and eco-friendly production processes, in promoting sustainable
development across various industries [33]. Their findings indicated that technological
innovation directly affects sustainability initiatives and reduces environmental impact. Sim-
ilarly, Zhu et al. (2012) explored the influence of digital technologies, such as the Internet of
Things (IoT), on enhancing sustainability performance in supply chains, highlighting the
potential for technology-driven solutions to address sustainability challenges [34]. Addi-
tionally, Schaltegger et al. (2015) looked at the connection between corporate sustainability
policies and technical innovation, and they discovered that companies that make inno-
vative technology investments had a higher chance of achieving long-term sustainability
objectives [35]. These studies collectively provide evidence supporting the hypothesis of a
significant relationship between technological advancement and sustainability.

H7. There is a significant relationship between sustainability and online seller behavior.

Oláh et al. (2023) investigated adopting sustainable practices among online sellers;
they showed that sustainable practices directly influence seller behavior and decision-
making processes [36]. Similarly, Ghaffar et al. (2023) explored the role of sustainability
values in shaping online retailers’ strategies. They found that sellers prioritizing sustain-
ability were more likely to adopt eco-friendly practices throughout their operations [37].
Additionally, Das and Hassan (2021) examined the impact of sustainable supply chain
practices on online seller behavior and performance, highlighting the importance of sustain-
ability considerations in driving seller engagement with green initiatives [38]. Thus, these
studies collectively provide evidence supporting the hypothesis of a significant relationship
between sustainability and online seller behavior.

H8. There is a significant relationship between reverse logistics and sustainability.

Dabees et al. (2023) proved a correlation between the role of reverse logistics in
achieving sustainability goals, highlighting the potential for reverse logistics processes
such as product returns and remanufacturing to reduce waste and promote resource
conservation [39]. Similarly, Banihashemi et al. (2019) investigated how reverse logistics
techniques affected environmental performance and discovered that effective reverse
logistics systems help to reduce environmental impact and advance sustainability [40].
Furthermore, Nikolaou et al. (2013) examined the relationship between reverse logistics
and corporate social responsibility, emphasizing the role of reverse logistics in facilitating
sustainable business practices and ethical supply chain management [41]. The cited studies
collectively deliver proof supporting the hypothesis of a significant relationship between
reverse logistics and sustainability.
Sustainability 2024, 16, 2954 6 of 20

H9. There is a significant relationship between consumer behavior and sustainability.

Lopes et al. (2024) investigated consumer attitudes and behaviors towards sustain-
able products, finding that individuals prioritizing sustainability are likelier to engage
in environmentally friendly purchasing decisions [42]. Similarly, Vermeir et al. (2020)
investigated the connection between consumer values and sustainable food consumption,
finding that those who care deeply about the environment tend to favor sustainable food
products [43]. Additionally, Mandarić et al. (2022) examined the impact of consumer
behavior on sustainable fashion consumption, highlighting the role of consumer aware-
ness and ethical considerations in shaping purchasing behaviors. Moreover, a positive
correlation was found between the importance of fashion brand sustainability and con-
sumers’ decisions to buy sustainable clothing products [44]. These studies significantly
provide evidence supporting the hypothesis of the relationship between consumer behavior
and sustainability.

H10. There is a significant relationship between environmental impact and sustainability.

Manrique and Martí-Ballester (2017) explored the connection between sustainable

business practices and corporate environmental performance, concluding that companies
with less environmental impact are more inclined to use sustainable business practices
to stay in business over the long run. The results indicated that adopting environmental
practices significantly and positively affects corporate financial performance [45]. Simi-
larly, Hejazi et al. (2023) stressed the significance of minimizing environmental impact
to accomplish sustainability targets by examining the environmental factors’ role in sus-
tainability practices in the context of green supply chain management [46]. Furthermore,
Cheng et al. (2023) emphasized the significance of sustainability practices in minimizing
environmental harm by investigating the influence of sustainability initiatives on reducing
environmental footprints across various industries [47]. When taken as a whole, these
studies offer proof in favor of the hypothesis that sustainability and environmental effects
are significantly correlated.

H11. There is a significant relationship between online seller behavior and environmental impact.

Biancolin and Rotaris (2024) examined the environmental impact of online seller
behavior, specifically focusing on packaging waste and transportation emissions associated
with e-commerce activities. Their findings indicated that sellers significantly increased
their willingness to pay to reduce the environmental impact of last-mile logistics when
they were provided with information on the amount of pollution reduction/offset and
the type of project implemented [48]. Similarly, Kamruddin et al. (2024) performed
an analysis of the carbon footprint of online retail businesses, which focused on how
online sellers’ actions along the logistics and distribution chain contribute to greenhouse
gas emissions [49]. Furthermore, Mangiaracina et al. (2015) investigated how logistics
operations affect the environment, highlighting the significance of environmentally friendly
delivery and transportation methods [50]. These studies prove the hypothesis that there is
a substantial correlation between the actions of online sellers and the environment.

2. Materials and Methods

2.1. Respondents
Structural equation modelling (SEM) is considered a big sample approach and typically
requires a sample size of 200 or more. The sample size is often determined by the following
three factors: the type of distribution (observed variables), the complexity of the model,
and the estimation methodology [51,52]. The Department of Trade and Industry (DTI)
reported 2 million online sellers as of 2022; researchers selected a sample size of the
population for this study. The study employed a random sampling design, documenting
Sustainability 2024, 16, 2954 7 of 20

each participant’s responses through a Google Forms survey. The researchers also ensured
data confidentiality through compliance with the Philippine Data Privacy Act of 2012, and
informed consent was obtained from all respondents. Researchers were trained to explain
the importance of data confidentiality and discuss the survey’s benefits and potential
risks. We utilized a simple random sampling method through a Filipino online sellers
group page, where we assigned identification numbers to participant names. Using a
randomized number generator, we proceeded to contact each selected sample. In total,
we collected responses from 286 participants [53]. Out of one thousand online surveys
distributed, 286 online forms were received, resulting in a response rate of 28.6% [54].
Furthermore, the researchers thoroughly and meticulously evaluated all the collected data.
This process entailed carefully examining each aspect to ensure the completeness and
accuracy of the information. Notably, 100% of the gathered data successfully passed this
evaluation. Through this rigorous assessment process, the researchers sought to uphold
the integrity and reliability of the data collected for their study.

2.2. Questionnaire
In order to analyze the insights of online sellers for green logistics and sustainability, a
self-administered questionnaire was created based on our theoretical framework. Eight
areas make up the questionnaire: (1) environmental impact; (2) materials and packaging;
(3) online seller behavior; (4) consumer behavior; (5) technical advancement; (6) govern-
ment regulations and policies; (7) reverse logistics; and (8) sustainable e-commerce. With
the exception of the demographic, each latent segment in SEM comprises five to eight
observable factors evaluated using a Likert scale with a maximum score of five. To collect
the data, a 61-item questionnaire was developed and distributed online in both Tagalog,
the native language, and English formats (Table 1).

Table 1. Construct and Measures Table.

Supporting
Construct Items Measures
Measures
EI1 The type of packaging I use is eco-friendly and has a good environmental impact [55]
EI2 I know that plastic packaging contributes to pollution [56]
EI3 I know the importance of sustainable production and packaging [57]
Environmental EI4 I prefer recyclable materials and packaging rather than the non-recyclable ones [58]
Impact EI5 I put recyclable signages on my express package [59]
EI6 Vehicles use to delivery items contribute to carbon dioxide emission [60]
EI7 I look forward that someday delivery vehicles will also become eco-friendly [61]
EI8 E-bike is the future of sustainable e-commerce [62]
MP1 Sustainable packaging increases customer sales [63]
MP2 Plastics has its advantage than sustainable packaging [64]
MP3 Having a good knowledge about sustainable packaging will increase seller’s profile [65]
Materials and MP4 Sustainable packaging reduced environmental impact/problem [66]
Packaging MP5 Online sellers should be prepared for environmentally friendly packaging [67]
MP6 Businesses and industries should utilize eco- friendly packaging for environment [68]
MP7 It is important to use sustainable packaging [69]
MP8 Electric vehicle is a good substitute for vehicles that uses fuel for reducing fuel consumption [70]
OB1 The customer can approach easily [71]
OB2 Available for customer concerns without hesitation [72]
OB3 Communicate with the customer properly [73]
Online Seller OB4 Easiness to access when delay online transactions [74]
Behavior OB5 Sellers popularity engaged more customers purchases [75]
Knowledgeable and approachable to inform about the status of the products or items
OB6 [76]
to buyers
OB7 Creative in promoting their products online [77]
Sustainability 2024, 16, 2954 8 of 20

Table 1. Cont.

Supporting
Construct Items Measures
Measures
CB1 Seller shipped the parcel, then buyer were asking for cancelation [78]
CB2 Buyer didn’t accept and pay the parcel from the delivery rider [79]
Consumer that directly posted their concerns on the product review without asking the
CB3 [80]
Consumer seller first
Behavior CB4 Buyer lost their connection because they not want to receive the parcel [81]
CB5 Buyer that wasting your time on inquiries but didn’t buy your product [81]
CB6 Customer expecting high quality product at low price [81]
CB7 Consumers did not posting their rating and product reviews [80]
TA1 E-commerce tools enable sellers to perform easier transactions with the customers [82]
TA2 Electronic forms of commerce have become a natural way of making purchases and sales [83]
TA3 The impact of technological change on the development of e-commerce is significant [83]
TA4 Social media is playing a pivotal role in E-Commerce [84]
Technological TA5 Internet today influence every business entity across the world [85]
Advancement Technology helps to improve the efficiency, quality, and cost-effectiveness of the services
TA6 [86]
provided by businesses
The growing inventions and innovations in technology have impacted the way of
TA7 [87]
doing E-commerce
TA8 E-commerce is a vital component of our national economy [88]
GL1 Online Sellers follows government local and national rules in packaging [89]
GL2 Government affects packaging and distribution of products [90]
Government GL3 Packaging should meet the government rules and qualifications before releasing to market [91]
Rules and GL4 Government supports sustainable packaging and renewable energy for E-commerce [92]
Policies Seller and Government should collaborate in sustaining Environmental consideration
GL5 [93]
for packaging
RL1 Receiving delay orders [94]
RL2 Receiving broken or bad orders [95]
Reverse Logistics RL3 Encounter defective orders [96]
RL4 Receiving unsealed orders [96]
RL5 Misinformation of orders or parcels [96]
Economic sustainability is maximizing profits and ensuring sufficient money
SU1 [97]
for stakeholders
Sustainable e-commerce can be achieved by increasing customer satisfaction, loyalty, and
SU2 [97]
trust through customer support
SU3 Sustainability principle has become widespread among consumers [98]
Sustainable SU4 Sustainability is seen as an effective tool to ensure competitiveness and achieve success [98]
E-commerce SU5 If sustainability is not ensured, there will be some negative consequences [98]
SU6 Sustainability is one of the most important socio-economic-environmental topics of the time [36]
It is essential to enact and implement policies that are in line with businesses and
SU7 [36]
e-commerce sustainability
SU8 Sustainable e-commerce is the backbone of the sustainability and growth of online businesses [36]

2.3. Structural Equation Modelling

SEM has several advantages over traditional data-analytic methods. Researchers can
assess the effects of hypothetical or theoretical constructs, sometimes known as “latent
variables” [99]. SEM offers a comprehensive statistical approach for testing observable and
hidden variables [100]. All of the variables were modified from various studies found in
the literature. AMOS version 26 software was used to analyze the data after the observable
factors were rated on a Likert scale from 1 to 5, with one denoting “strongly disagree” and
five denoting “strongly agree”, as shown in Figure 2.
Sustainability 2024,16,
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x FOR PEER REVIEW 9 of2220
10 of

Figure 2. Initial Structural Equation Modeling.

Figure 2. Initial Structural Equation Modeling.

3.3.Results
Results and
and Discussion
Discussion
3.1.Results
3.1. Results
Thisstudy
This study aims
aims to
to assess
assess the factors influencing
influencing green
green logistics
logisticsinine-commerce
e-commerceininthe the
Philippines,specifically
Philippines, specificallyfocusing
focusing onon packaging, energy,
energy, and transportation. Eight hypoth- hypothe-
eses
ses were
were examined
examined using
using structural
structural equation
equation modeling
modeling to explore
to explore the relationships
the relationships among
among environmental
environmental impact
impact (EI), (EI), materials
materials and packaging
and packaging (PM), technological
(PM), technological advancementadvance-
(TA),
ment (TA),
reverse reverse
logistics logistics
(RL), online (RL),
selleronline seller
behavior behavior
(OB), consumer (OB),behavior
consumer behavior
(CB), (CB),
government
government
laws (GL), andlaws (GL), and sustainability
sustainability (SU). The initial(SU).
SEMThe initialindicate
results SEM results indicate
that out that out of
of 11 hypotheses,
11 hypotheses,
only only onewhere
one is insignificant is insignificant
the p-value where
doesthe
notp-value
meet the does not meet
criteria of 0.05the criteria
based of
on the
0.05 based on the SEM standards on cut-off procedures, which pertains
SEM standards on cut-off procedures, which pertains to Materials and Packaging and Gov- to Materials and
Packaging
ernment Lawsandand
Government Laws andaPolicies.
Policies. Therefore, new andTherefore,
revised SEM a new and revised
is derived SEM is de-
by removing this
rived by removing
hypothesis, this hypothesis,
the following the following
studies utilized studies
a similar utilized
approach a similar
[101], approach
as shown [101],
in Figure 3.
as shown
Factorinloadings
Figure 3.
from both the initial and final structural equation models are displayed
in this table. The correlation between each indicator and the latent factor that it is thought
to assess is represented by factor loadings. Stronger correlations between the indicator and
the underlying construct are indicated by higher factor loadings closer to a value of 1.0.
Factor loadings in the initial model range from 0.272 to 0.890; one indicator from the initial
model, with a low loading below the accepted value of 0.4 [102], the MP2 with a value
of 0.272, was eliminated from the final model. It made the model fit better overall. The
remaining loadings in the final model show moderate to powerful connections between the
hypothesized components and indicators, ranging from 0.431 to 0.890. When comparing
the original and final models, most factor loadings rose or remained relatively constant;
however, some variables slightly decreased (Table 2).
Sustainability 2024, 16, 2954
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Figure 3. Final Structural Equation Modeling.

Figure 3. Final Structural Equation Modeling.
Factor loadings from both the initial and final structural equation models are dis-
Table 2. Descriptive statistics results.
played in this table. The correlation between each indicator and the latent factor that it is
thought to assess is represented by factor loadings. Stronger correlations Factorbetween
Loading the in-
Factor Item Mean StDev
dicator and the underlying construct are indicated by higherInitial factorModel
loadingsFinal
closer to a
Model
value of 1.0. Factor loadings
EI1 in the initial
4.182 model range
0.8003 from 0.272 to
0.493 0.890; one indicator
0.465
from the initial model,EI2with a low loading
4.430 below the accepted value
0.7816 of 0.4 [102], 0.505
0.489 the MP2
with a value of 0.272,EI3was eliminated4.371from the final
0.7785
model. It made0.630the model fit 0.624
better
Environmental EI4 4.255 0.7999 0.639 0.658
overall. The
Impact remainingEI5 loadings in the
4.192 final model show
0.7823 moderate to
0.462 powerful connec-
0.431
tions between the hypothesized
EI6 components
4.259 and 0.7877
indicators, ranging
0.486from 0.431 0.486
to 0.890.
When comparing theEI7original and 4.402 0.7416 factor loadings
final models, most 0.520 rose or remained
0.521
EI8 4.199 0.7050 0.487 0.489
relatively constant; however, some variables slightly decreased (Table 2).
MP1 4.080 0.8104 0.546 0.465
MP2 3.867 1.0743 0.272 -
Table 2. Descriptive statistics
MP3 results. 4.206 0.7559 0.598 0.618
Materials and MP4 4.315 0.7485 0.548 0.565
Packaging MP5 4.322 0.7595 Factor
0.588 Loading
0.583
Factor MP6 Item
4.392 Mean 0.7354StDev Initial
0.588 Final
0.581
MP7 4.402 0.6876 0.490 0.471
MP8 4.077 0.8129
Model
0.647
Model
0.658
EI1 4.182 0.8003 0.493 0.465
OB1 4.164 0.8106 0.715 0.709
OB2 EI2
4.203 4.430 0.80840.7816 0.489
0.686 0.505
0.688
OB3 4.406
EI3 4.371 0.74210.7785 0.566
0.630 0.554
0.624
Online Seller OB4 4.266 0.7581 0.537 0.540
Behavior OB5 EI4
4.301 4.255 0.69620.7999 0.639
0.571 0.658
0.574
Environmental Impact
OB6 EI5
4.290 4.192 0.73250.7823 0.462
0.686 0.431
0.691
OB7 4.280 0.7389 0.589 0.590
EI6 4.259 0.7877 0.486 0.486
EI7 4.402 0.7416 0.520 0.521
EI8 4.199 0.7050 0.487 0.489
Materials and Packaging MP1 4.080 0.8104 0.546 0.465
Sustainability 2024, 16, 2954 11 of 20

Table 2. Cont.

Factor Loading
Factor Item Mean StDev
Initial Model Final Model
CB1 3.804 1.1003 0.782 0.785
CB2 3.811 1.1755 0.836 0.824
CB3 3.920 1.1319 0.790 0.794
Consumer CB4 3.769 1.2151 0.854 0.842
Behavior CB5 3.951 1.1567 0.793 0.796
CB6 4.010 0.9894 0.742 0.742
CB7 3.934 0.9172 0.699 0.697
TA1 4.199 0.7437 0.659 0.661
TA2 4.178 0.7676 0.610 0.614
TA3 4.234 0.6941 0.641 0.642
Technological TA4 4.346 0.7224 0.621 0.624
Advancement TA5 4.343 0.7168 0.574 0.571
TA6 4.238 0.7489 0.634 0.631
TA7 4.339 0.7353 0.619 0.615
TA8 4.259 0.6776 0.543 0.534
GL1 4.224 0.7670 0.648 0.628
Government GL2 4.112 0.7503 0.549 0.534
Rules and GL3 4.199 0.7342 0.575 0.580
Policies GL4 4.283 0.7256 0.580 0.569
GL5 4.231 0.7321 0.585 0.583
RL1 3.706 1.2472 0.847 0.847
RL2 3.654 1.3465 0.883 0.883
Reverse
RL3 3.668 1.2724 0.890 0.890
Logistics
RL4 3.661 1.2870 0.869 0.868
RL5 3.559 1.3462 0.849 0.849
SE1 4.111 0.8387 0.729 0.741
SE2 4.087 0.8053 0.611 0.628
SE3 4.189 0.7764 0.596 0.594
Sustainable SE4 4.157 0.7301 0.571 0.578
E-commerce SE5 4.262 0.7287 0.547 0.555
SE6 4.266 0.7346 0.580 0.582
SE7 4.178 0.7443 0.602 0.608
SE8 4.231 0.7176 0.557 0.566

Table 3 shows the results of the hypothesis tests carried out as a part of an examination
of structural equation modeling. A list of eleven hypotheses provides suggested connec-
tions between various model constructs. Based on a probable 0.05 alpha level cutoff, the
p-value and final significance level are displayed for each row. The p-value of 0.187, higher
than the significance level, indicates that H1 is the only non-significant connection because
there is no straightforward national policy approach to tackling plastic pollution in the
Philippines as of 2021. However, lawmakers and advocacy groups have made multiple at-
tempts to make one [103]. p-values less than 0.05 indicate that the data support rejecting the
null hypothesis and that the associations in questions H2 to H11 are statistically significant.
Table 4 includes instructions from the previous literature regarding optimal thresh-
olds and several standard model fit statistics computed for a structural equation model.
Evaluating the model fit indices is essential in determining how the given model accurately
replicates the observed covariance matrix among all indicators. An acceptable model fit,
and empirical validation of the proposed associations is shown by values that meet or
surpass recommended guidelines and references from recent studies. The incremental fit
index (IFI), Tucker Lewis Index (TLI), and Comparative Fit Index (CFI) have the following
values of 0.899, 0.891, and 0.898, respectively, which are all above the minimal values
that are suggested to indicate a satisfactory fit. Even though the researchers connected all
modification indices in the same variable to increase the model fit, the absolute fit indexes
GFI and AGFI are still marginally above acceptable levels. Thus, there is still room for
improvement. Lastly, RMSEA meets the criteria at 0.044, with smaller values signaling a
better fit.
Sustainability 2024, 16, 2954 12 of 20

Table 3. Summary of Hypotheses.

Hypothesis p Interpretation
There is a significant relationship between materials and
H1 0.187 Not Significant
packaging, and Government Laws
There is a significant relationship between technological
H2 0.003 Significant
advancement and materials and packaging
There is a significant relationship between Government
H3 0.002 Significant
Laws and consumer behavior
There is a significant relationship between Technological
H4 0.005 Significant
advancement and reverse logistics
There is a significant relationship between sustainability
H5 0.003 Significant
and Government Laws
There is a significant relationship between technological
H6 0.002 Significant
advancement and sustainability
There is a significant relationship between sustainability
H7 0.006 Significant
and online seller behavior
There is a significant relationship between reverse logistics
H8 0.001 Significant
and sustainability
There is a significant relationship between consumer
H9 0.026 Significant
behavior and sustainability
There is a significant relationship between environmental
H10 0.002 Significant
impact and sustainability
There is a significant relationship between online seller
H11 0.006 Significant
behavior and environmental impact

Table 4. Model Fit.

Goodness of Fit Measures of the SEM Parameter Estimates Minimum Cut-Off Suggested by
Incremental Fit Index (IFI) 0.899 >0.806 Akkus, 2020 [104]
Carlback and Wong, 2018 [105]; Shadfar
Tucker Lewis Index (TLI) 0.891 >0.85
and Malekmohammadi, 2013 [106]
Comparative Fit Index (CFI) 0.898 >0.80 Akkus, 2020 [104]
Goodness of Fit Index (GFI) 0.782 >0.70 Ghmadi et al., 2021 [107]
Adjusted Goodness of Fit Index (AGFI) 0.760 >0.70 Ghmadi et al., 2021 [107]
Root Mean Square Error of
0.044 <0.07 Steiger, 2007 [108]
Approximation (RMSEA)

Table 5 shows the specific findings of direct, indirect, and total effects for the proposed
relationships in a structural equation model. Each of the 37 rows corresponds to a modeled
path between the variables. The impacts are displayed as estimates of direct effects, indirect
effects through mediators, and total effects, which add up to both. p-values determine
whether an effect is statistically significant for each kind. Reverse logistics, packaging, and
sustainability are all directly impacted by technological advancement (TA).
Additionally, it significantly affects every variable overall. Sustainability is directly
impacted by reverse logistics (RL), which also has indirect implications on other outcomes.
The mediated effects of online seller behavior (OB) and environmental impact (EI) nega-
tively impact the downstream components. Experimental modification has the potential
to yield objective assessments of both direct and indirect effects, while also ensuring that
mediators have no link with other variables. We shall discuss a few potentially problematic
insinuations that it also makes. Moreover, it is also mentioned by Wang et al. (2022) that
Sustainability 2024, 16, 2954 13 of 20

the overall impacts matched the total of the direct and indirect effects, which is the reason
behind having both direct and indirect effects for some variables [80]. An analysis of total
effects facilitates the assessment of the relative influence of various constructs and supports
inferences regarding causal hypotheses in the theoretical SEM framework.

Table 5. Direct, indirect, and total effects.

No. Variable Direct Effects p-Value Indirect Effects p-Value Total Effects p-Value
1 TA → RL 0.552 0.004 - - 0.552 0.004
2 TA → OB - - 0.898 0.004 0.898 0.004
3 TA → EI - - 0.796 0.004 0.796 0.004
4 TA → CB - - 0.532 0.002 0.532 0.002
5 TA → SU 1.205 0.005 −0.246 0.009 0.960 0.002
6 TA → GL - - 0.978 0.002 0.978 0.002
7 TA → PM 0.954 0.004 - - 0.954 0.004
8 RL → OB - - 0.169 0.001 0.169 0.001
9 RL → EI - - 0.150 0.001 0.150 0.001
10 RL → CB - - 0.100 0.001 0.100 0.001
11 RL → SU 0.253 0.003 −0.072 0.003 0.180 0.001
12 RL → GL - - 0.184 0.001 0.184 0.001
13 OB → OB - - −0.216 0.003 −0.216 0.003
14 OB → EI 0.886 0.005 −0.191 0.003 0.695 0.000
15 OB → CB - - −0.128 0.003 −0.128 0.003
16 OB → SU - - −0.231 0.003 −0.231 0.003
17 OB → GL - - −0.235 0.003 −0.235 0.003
18 EI → OB - - −0.243 0.003 −0.243 0.003
19 EI → EI - - −0.216 0.003 −0.216 0.003
20 EI → CB - - −0.144 0.003 −0.144 0.003
21 EI → SU −0.364 0.003 0.104 0.004 −0.260 0.003
22 EI → GL - - −0.265 0.003 −0.265 0.003
23 CB → OB - - −0.119 0.012 −0.119 0.012
24 CB → EI - - −0.106 0.013 −0.106 0.013
25 CB → CB - - −0.071 0.010 −0.071 0.010
26 CB → SU −0.179 0.020 0.051 0.021 −0.127 0.012
27 CB → GL - - −0.130 0.011 −0.130 0.011
28 SU → OB 0.936 0.004 −0.268 0.004 0.668 0.000
29 SU → EI - - 0.592 0.000 0.592 0.000
30 SU → CB - - 0.396 0.001 0.396 0.001
31 SU → SU - - −0.286 0.005 −0.286 0.005
32 SU → GL 1.019 0.002 −0.292 0.004 0.727 0.001
33 GL → OB - - −0.065 0.011 −0.065 0.011
34 GL → EI - - −0.058 0.010 −0.058 0.010
35 GL → CB 0.544 0.003 −0.038 0.009 0.506 0.003
36 GL → SU - - −0.069 0.010 −0.069 0.010
37 GL → GL - - −0.071 0.010 −0.071 0.010
Sustainability 2024, 16, 2954 14 of 20

3.2. Discussion
The final SEM model illustrates the factors contributing to green logistics in e-commerce.
SEM testing demonstrates that only 10 hypotheses have a significant and positive rela-
tionship in the green e-commerce industry. According to the results of SEM, technological
advancement to sustainability (β = 1.205, p = 0.005) has a positive relationship. The results
underscore the importance of technological innovation in promoting sustainability initia-
tives. This finding aligns with previous research highlighting the transformative potential
of technological advancements in driving sustainable development [33,34,109]. The results
emphasized that technological advancement enhances sustainability practices in the supply
chain in general.
The observed positive relationship between sustainable e-commerce and government
laws (β = 1.019, p = 0.002) indicated the significant influence of sustainable e-commerce
practices on regulatory frameworks and government policies. Similarly, Delmas and Toffel
(2008) discussed the impact of adopting sustainable practices, revealing a positive rela-
tionship between regulatory stringency, and implementing environmental management
systems [30]. This implies that strict government regulations could lead to adopting sus-
tainable e-commerce practices. The significant direct effect of technological advancement
on materials and packaging (β = 0.954, p = 0.004), the integration of technology, such as
intelligent packaging solutions and advanced materials, in e-commerce supply chains,
emphasizes the potential for technological advancements to optimize packaging processes
and reduce environmental impacts [19]. It underscores the transformative impact of tech-
nological innovations on materials and packaging practices within e-commerce operations.
The positive relationship observed between sustainability and online seller behavior
(β = 0.936, p = 0.004) underscores the influence of sustainable practices on shaping the
behavior of online sellers, aligning with previous research emphasizing the impact of sus-
tainability initiatives on business conduct in the e-commerce sector [36]. Additionally, the
positive association between online seller behavior and environmental impact (β = 0.886,
p = 0.005) highlights the role of online seller actions in influencing environmental outcomes,
as evidenced by studies investigating the environmental implications of e-commerce ac-
tivities and supply chain management practices [49]. These results highlight the potential
for sustainable strategies to lead to favorable environmental outcomes by demonstrating
the connections between online seller behavior, sustainability practices, and environmental
impacts within the e-commerce sector.
The direct effect of technological advancement on reverse logistics (β = 0.552, p = 0.004)
highlights the critical role of technology in optimizing reverse logistics processes within
e-commerce operations, as evidenced by previous studies [110,111]. Concurrently, the
significant relationship between government laws and consumer behavior (β = 0.544,
p = 0.003) underlines the effect of regulatory frameworks on shaping consumer attitudes
and intentions in the e-commerce context, as supported by prior research [23,24]. It em-
phasizes the correlations of technological advancements, regulatory environments, and
consumer behavior in driving the dynamics of e-commerce operations.
There are positive interrelationships between reverse logistics and sustainable
e-commerce (β = 0.253, p = 0.003). Similarly, it underscores the integral role of efficient
reverse logistics processes in fostering sustainability within e-commerce operations [39,40].
Additionally, the significant relationship between consumer behavior and sustainable
e-commerce (β = −0.179, p = 0.020) highlights the influence of consumer preferences and
behaviors on the adoption of sustainable practices in e-commerce. Similarly, the study by
Lopes et al. (2024) suggested that individuals who prioritize sustainability are more likely to
engage in environmentally friendly purchasing decisions [42]. The current study suggests
that effective reverse logistics management and alignment with consumer expectations are
essential for promoting sustainability within e-commerce ecosystems.
The significant relationship between environmental impact and sustainable e-commerce
(β = −0.364, p = 0.003) indicates the importance of environmental considerations in shaping
sustainable practices within the e-commerce sector [46,47]. However, the lack of a significant
Sustainability 2024, 16, 2954 15 of 20

relationship between materials and packaging and government laws (p = 0.187) suggests
that other factors may have a more pronounced influence on materials and packaging
practices and regulatory compliance within the e-commerce context. In contrast, several
studies indicated a direct relationship between government regulations and policies that
substantially influence materials and packaging in various industries [13,14]. These findings
highlight the complexity of factors influencing sustainability outcomes in e-commerce
operations and show the need for further research to explain the underlying effects of
materials and packaging practices and regulatory compliance.

Theoretical Implications
The findings of this study have several theoretical implications for understanding
the dynamics of sustainability practices in e-commerce. Firstly, the significant relationship
between environmental impact and sustainable e-commerce underscores the importance
of environmental considerations in shaping sustainable practices within the e-commerce
sector. Secondly, the lack of a significant relationship between materials and packaging
and government laws suggests that other factors may have a more pronounced influence
on e-commerce. Additionally, the positive interrelationships observed between reverse
logistics and sustainable e-commerce highlight the integral role of efficient reverse logistics
processes in facilitating sustainability within e-commerce operations. Finally, the significant
relationship between consumer behavior and sustainable e-commerce emphasizes the influ-
ence of consumer choices and behaviors on adopting sustainable practices in e-commerce.
These theoretical insights contribute to the broader insight into the interplay between envi-
ronmental, regulatory, logistical, and consumer factors in driving sustainability initiatives
in the e-commerce industry.

4. Conclusions
Amid the 2020 pandemic in the Philippines, a shift occurred in how people buy
things, with online shopping gaining popularity due to safety concerns. The SEM results
show that technological advancements positively impact sustainability. Sustainable e-
commerce correlates positively with government laws, seller behavior, and reverse logistics.
Government laws influence consumer behavior. The study demonstrates the complex
dynamics of promoting green logistics in Philippine e-commerce, particularly in energy,
packaging, and transportation.
Although the importance of environmental sustainability is rising across industries,
little is known about the variables influencing e-commerce companies, particularly em-
bracing green logistics methods. This study conducted a nationwide online seller survey
in the Philippines to gather information regarding product variables, including how in-
ternal procedures and external partnerships are used and perceived to lower the carbon
footprint associated with order fulfillment and delivery. A structural equation model was
constructed with latent variables about government regulations, technology innovation,
reverse logistics, environmental impact, materials and packaging, green packaging, and,
of course, online sellers’ behavior. The results of this study may strengthen the links be-
tween ecological, economic, and green logistics integration. Moreover, it can help future
researchers who want to establish this type of study with different factors. Also, this
study can help shape focused policy interventions and determine which aspects of green
logistics should be addressed to speed up adoption across the rapidly expanding online
retail industry by concentrating exclusively on e-commerce perspectives.

5. Limitations and Future Research

Even with the study’s significant findings, the authors recognize and openly disclose
its limitations. The study was limited to the Philippines; therefore, its generalizability
to other nations may be compromised. Second, given the small sample size of 286 re-
spondents, this research appears to lay the groundwork for future investigations into the
variables influencing green logistics in online retail. An increase in the sample size to
Sustainability 2024, 16, 2954 16 of 20

300 or 400 respondents is advised to obtain more precise data. Additionally, as the study’s
conclusions may only apply to the Philippines, it is imperative to increase the respondent
pool to include the entire country. Notwithstanding these limitations, the study’s core focus
on examining factors in E-commerce green logistics in the Philippines, a rapidly growing
industry globally, positions it as a valuable reference for future studies encompassing a
broader population. The insights from this research can contribute to government efforts to
enhance and develop a more sustainable E-commerce industry through green logistics.
Future research should focus more on the social and cultural aspects of e-commerce
that affect customer behavior and sustainability practices. Researchers can better under-
stand the dynamics influencing consumer choices and sustainable practices in e-commerce
operations by looking more closely at these issues. Furthermore, combining knowledge
from sociology, anthropology, and cultural studies could offer insightful viewpoints on the
many cultural norms, values, and perceptions that affect decisions about sustainability in
various locales and societies. These multidisciplinary methods would improve the validity
and relevance of study results, leading to more potent tactics for advancing sustainability
in e-commerce ecosystems.

Author Contributions: Conceptualization, supervision, funding acquisition, writing—review and

editing, Y.-T.J., C.-Y.L., K.A.M. and C.S.S.; formal analysis, investigation, methodology, visualization,
writing—original draft, C.J.G., C.S., D.S., J.R., M.B.D. and M.J.B. All authors have read and agreed to
the published version of the manuscript.
Funding: This research received no external funding.
Institutional Review Board Statement: Not applicable.
Informed Consent Statement: Informed consent was obtained from all subjects involved in the study.
Data Availability Statement: Data are contained within the article.
Conflicts of Interest: The authors declare no conflict of interest.

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