Impact of Green Knowledge on Pro Environmental Behaviour; Mediating Role of Green Creativity and Moderating Role of Green Transformational Leadership in SME’s of Punjab, Pakistan

Abstract

This study examines the influence of green knowledge on pro-environmental behavior (PEB) amongst employees in small and medium-sized enterprises (SMEs) in Punjab, Pakistan. Drawing on the Social Exchange Theory (SET), the research examines the mediating impact of green creativity while also exploring the moderating role of green transformational leadership (GTL). Quantitative approach was used and data were collected through structured questionnaires from employees in the textile, sports and furniture sectors. Data analysis was done through SmartPLS. Findings of the study revealed that green knowledge significantly enhances PEB, with green creativity playing a strong mediating role. While GTL positively influences green creativity, its moderating effect on the relationship between green knowledge and creativity was marginally insignificant, likely due to contextual factors in Pakistani SMEs. The study aligns with global sustainability goals and provides practical insights for policymakers and organizational leaders aiming to foster environmental responsibility in resource-constrained settings.