Sustainability issues stretch beyond the boundaries of the multinational enterprises (MNEs) and the nation(s) in which are located, increasing complexity, given the dynamic landscape of global operations. Now firms are increasingly being held accountable for their suppliers' global operations and practices.Managers are tasked with ensuring that their global suppliers meet the regulations of the countries in which they operate and monitoring their sustainability performance.The paper addresses the growing importance of sustainability in global supply chains, driven by increasing demands for firms to report on environmental, social, and economic performance.The goal is to gain a better understanding, from a buyer's perspective, of internal and external contextual factors within the buyer-supplier relationship that influence the development and implementation of global supply chain sustainability initiatives. The study explores how institutional distance—the differences in regulatory, cognitive, and normative frameworks between countries—affects the success of sustainable supply chain management (SSCM) initiatives. By interviewing global supply chain managers, the research indicate that successful sustainability initiatives rely more on shared strategic goals than on the institutional distance between partners. When buyers and suppliers align on strategic orientations toward sustainability, they can overcome the challenges posed by differing institutional contexts.The findings can help guide managers when approaching sustainability-related initiatives in the context of global supply chains. Theoretical and managerial implications are discussed.
