Effect of Green Products and Green Packaging on Business Performance with the Mediating Effect of Competitive Advantage a case of manufacturing firms in Ethiopia

Green marketing is a movement that encourages businesses to develop and promote environmentally friendly products. This research aims to examine the effect of green products and green packaging on business performance with the mediating effect of competitive advantage in Ethiopia. The data were collected from the sampled 301 medium and large manufacturing firms in the Sidama region of Ethiopia. The data were analyzed using SEM with AMOS version 23. The findings showed that green products and packaging have a significant effect on competitive advantage. The results also demonstrated that green products and packaging have a significant effect on business performance. The relationship between green products, green packaging, and business performance is significantly mediated by competitive advantage. Therefore, we recommend that medium and large manufacturing firms should implement green marketing practices to enhance their business performance. It was additionally suggested that future studies examine the effect of green marketing practices on other categories of industries.