This research chapter explores the relationship between regulatory pressures (RP), stakeholder demands (SD), technological advancements (TA) and firm performance with mediating role of supply chain sustainability (SCS). The data was collected through a research survey from the supply chain and sustainability managers working in different firms in the UAE manufacturing and retail sectors. The statistical analysis was conducted by using Partial Least Square Structural Equation Modeling (PLS-SEM) statistical package. The results show a positive relationship between regulatory pressures (RP) and stakeholder demands (SD) with supply chain sustainability (SCS). However, the technological advancements (TA) show a weaker impact on supply chain sustainability (SCS). The mediating impact of supply chain sustainability (SCS) on the relationship between regulatory pressures (RP), stakeholder demands (SD), and firm performance (FP) was confirmed, emphasizing its role in improving organizational resilience and performance. The results highlight the significance of integrating sustainability efforts with external factors to achieve a sustainable competitive edge in volatile markets.