Charles Mamu Nthiwa, Dr. Samuel Muli, PhD. & Dr. Samson Kitheka, PhD

This study aimed to determine the effect of green warehousing on the performance of food and beverage manufacturing firms in Kenya, along with the moderating effect of absorptive capacity on the relationship between green warehousing and firm performance. The research was grounded in the Ecological Modernization Theory (EMT). Employing an explanatory survey design within the positivism research philosophy, the study targeted a population of 217 food and beverage manufacturing firms, with a sample of 141 firms selected using Slovin’s formula. Data collection utilized structured questionnaires, and pilot testing ensured the reliability and validity of the research instrument. Hypotheses were tested using hierarchical linear modeling. The results confirmed that green warehousing practices have a significantly positive effect on the performance of food and beverage manufacturing firms in Kenya. Furthermore, hierarchical results revealed that absorptive capacity significantly moderated the relationship between green warehousing and firm performance. Therefore, the adoption of green warehousing practices enhances the performance of food and beverage manufacturing firms in Kenya. The study asserts that embracing and further optimizing these green warehousing practices should be considered a strategic imperative for cultivating both environmental responsibility and operational success in the food and beverage manufacturing industry. Policymakers can also consider encouraging the development of absorptive capacity-building programs within the industry to foster sustainable practices.

Keywords: Green Warehousing, Firm Performance, Food And Beverage Manufacturing Firms, Absorptive Capacity.