## 3 Research Background and Hypotheses
### Financial Considerations
The lack of human and financial resources hinders companies from adopting GL practices, which are crucial for improving performance and competitiveness [22; 91]. Business firms, as the main body of economic value creation, play a key role in adopting green logistics strategies and implementing activities. Pursuing economic interests is significant for developing green logistics, which can enhance customer and public relationships and reduce resource consumption. Developing green logistics is beneficial for breaking emissions caps and trade barriers improving global green competitiveness [92; 93]. The research investigates the financial aspects influencing the adoption of green logistics, detailed in Table 6. **Hypothesis 5 (H5)** suggests that financial feasibility, initial investment costs, return on investment, and long-term cost savings play significant roles in implementing green logistics technologies. The study explores various financial factors impacting green logistics adoption, scrutinizing initial investment costs, operational cost savings, long-term cost benefits, and financial risk assessments. A cost-benefit analysis assesses the economic viability of green logistics technologies, aiding in informed decision-making regarding sustainable logistics investments. Regulatory and supply chain pressures are examined as external drivers for adopting green logistics practices, including compliance with environmental regulations and the influence of sustainability-prioritizing supply chain partners. \begin{table}
\begin{tabular}{p{42.7 pt} p{113.8 pt} p{113.8 pt}} \hline \hline
**Code** & **Factor** & **Description** \\ \hline V5F1 & Initial Investment Costs & This factor analyzes the upfront costs associated with adopting green logistics technologies. It considers the purchase of new equipment, installation of systems, and any modifications required to existing infrastructure [16; 17; 18; 19]. \\ \hline V5F2 & Operational Cost Savings & This evaluates the reduction in ongoing operational costs resulting from the implementation of green logistics technologies. Savings may arise from lower energy costs, reduced material usage, and decreased waste disposal fees [16; 17; 18; 19]. \\ \hline V5F3 & Long-term Cost Benefits & This factor looks at the broader financial benefits of adopting green logistics technologies over time. It includes considerations of return on investment, total cost of ownership, and the potential for cost savings through improved sustainability practices [19; 23]. \\ \hline V5F4 & Financial Risk Assessment & This assesses the financial risks associated with investing in green logistics technologies. It includes analyzing market risks, technology obsolescence risks, and the potential impact on the organization’s financial stability [16; 17]. \\ \hline V5F5 & Cost-Benefit Analysis & This examines the economic viability of green logistics technologies by comparing costs (acquisition, operation) with benefits (efficiency savings, enhanced reputation, environmental impact), guiding informed decisions on sustainable logistics investments [18; 19]. \\ \hline \hline \end{tabular}
\end{table} 
Table 6: The main factors of the financial considerations that significantly impact the adoption of green logistics.