This paper intends to review the relationship between proactive environmental strategy and environmental performance from resource-based perspective by providing the recent findings on this relationship. The benefits and meaning of proactive environmental strategy and environmental performance is discussed in this article. We find that resource-based view theory is important to define the relationship between proactive environmental strategy and environmental performance.
Environmental sustainability is an important component of a firm’s Corporate Social Responsibility. It relates to
firm practices that ensure the conservation of the environment and natural resources, such as water, land and air.
This research study aims to study the concept in relation to firm performance in Jordan. It proposes that
environmental sustainability practices of a company in Jordan’s manufacturing industry positively influence its
financial performance. For this purpose, the study assesses the relationship between environmental sustainability
score and the profitability ratios. Results reveal a significant positive impact of sustainability score on the ROA of
the companies. It is therefore recommended to manufacturing firms in Jordan to focus more on environmental CSR
and sustainability practices, which would result in improved efficiency and profitability.
Green Marketing Mix As Strategy to Improve Competitive Advantage in Real Esta...inventionjournals
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
Why join a carbon club? A study of the banks participating in the Brazilian "...FGV Brazil
Originally published in the Journal of Cleaner Production.
Why do firms that present low levels of (direct) carbon emissions participate in “carbon clubs”, which have the goal of managing and reducing greenhouse gas (GHG) emissions? In order to answer this question, we collected data from both primary and secondary sources from firms operating in the Brazilian banking sector, which are members of the Businesses for Climate Platform (Plataforma Empresas pelo Clima, EPC). We first looked for answers in the institutional theory and resource based view of the firm (RBV). By confronting the arguments presented by these streams of scientific enquiry with empirical data, we worked on theory testing. In particular, we analyzed the institutional pressures and resources and capabilities of the focus companies, in order to understand the rationales for proactive sustainability management. We found evidences of the arguments presented by both the institutional theory and the RBV. By studying an industry that is not a frequent subject to research on socio-environmental issues - for not being considered of high impact - in an emerging market economy, the research contributes to both the further development of the institutional theory and the advancement of sustainability management in corporations.
GVces - Center for Sustainability Studies
www.gvces.com.br
Analyzing the current incorporation of social, environmental And economic mea...World-Academic Journal
We theorize about the incorporation of social, environmental and economic dimensions into strategic performance measurement systems. 81Chinese companies were surveyed for the analysis. Along with the increasing of social responsibility pressure, numbers of enterprises are promoting environmental, social and economic performance as strategic sustainability measures. Although the addition of sustainability measures to enterprise’s long term business strategy has long time been a major preoccupation of literature. Some empirical researches have examined if these nonfinancial measures are effectively incorporated into strategic performance measurement systems. In this research, we will examine why the incorporation of sustainability measures into enterprise business strategy vary across enterprises operating in Shanghai.
Environmental sustainability is an important component of a firm’s Corporate Social Responsibility. It relates to
firm practices that ensure the conservation of the environment and natural resources, such as water, land and air.
This research study aims to study the concept in relation to firm performance in Jordan. It proposes that
environmental sustainability practices of a company in Jordan’s manufacturing industry positively influence its
financial performance. For this purpose, the study assesses the relationship between environmental sustainability
score and the profitability ratios. Results reveal a significant positive impact of sustainability score on the ROA of
the companies. It is therefore recommended to manufacturing firms in Jordan to focus more on environmental CSR
and sustainability practices, which would result in improved efficiency and profitability.
Green Marketing Mix As Strategy to Improve Competitive Advantage in Real Esta...inventionjournals
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
Why join a carbon club? A study of the banks participating in the Brazilian "...FGV Brazil
Originally published in the Journal of Cleaner Production.
Why do firms that present low levels of (direct) carbon emissions participate in “carbon clubs”, which have the goal of managing and reducing greenhouse gas (GHG) emissions? In order to answer this question, we collected data from both primary and secondary sources from firms operating in the Brazilian banking sector, which are members of the Businesses for Climate Platform (Plataforma Empresas pelo Clima, EPC). We first looked for answers in the institutional theory and resource based view of the firm (RBV). By confronting the arguments presented by these streams of scientific enquiry with empirical data, we worked on theory testing. In particular, we analyzed the institutional pressures and resources and capabilities of the focus companies, in order to understand the rationales for proactive sustainability management. We found evidences of the arguments presented by both the institutional theory and the RBV. By studying an industry that is not a frequent subject to research on socio-environmental issues - for not being considered of high impact - in an emerging market economy, the research contributes to both the further development of the institutional theory and the advancement of sustainability management in corporations.
GVces - Center for Sustainability Studies
www.gvces.com.br
Analyzing the current incorporation of social, environmental And economic mea...World-Academic Journal
We theorize about the incorporation of social, environmental and economic dimensions into strategic performance measurement systems. 81Chinese companies were surveyed for the analysis. Along with the increasing of social responsibility pressure, numbers of enterprises are promoting environmental, social and economic performance as strategic sustainability measures. Although the addition of sustainability measures to enterprise’s long term business strategy has long time been a major preoccupation of literature. Some empirical researches have examined if these nonfinancial measures are effectively incorporated into strategic performance measurement systems. In this research, we will examine why the incorporation of sustainability measures into enterprise business strategy vary across enterprises operating in Shanghai.
ترجمه مقاله ژرونال در دارالترجمه رسمی پارسیس انجام می شود لازم به ذکر است اگر مقاله شما در سایت های ساینس دایرکت , امرالد , IEE
و غیره نمایه شده باشد ما به رایگان مقاله شما را دانلود و ترجمه میکنیم
دارالترجمه رسمی پارسیس
https://parsistrans.com
Impact of Green Attitude on Green Work Behavior: An Empirical Study of Employ...AJSSMTJournal
As interesting and important areas, Green Attitude (GA) and Green Work Behavior (GWB) are
examined considering the employees in a Sri Lankan tiles manufacturing company. The main objective of the
study is to explore the impact of GA on employees’ GWB. Using simple random sampling, 81 employees were
selected as the sample and primary data were gathered using two self-developed instruments regarding to GA
and GWB. Univariate and bivariate analyses were conducted to analyze the data and the main finding of the
study is that there is a positive and significant impact from GA on GWB of the employees in the selected tiles
manufacturing company. As the recommendation of the study authors instruct the companies in the tiles
manufacturing industry to develop employees’ green attitude for the better work behavior in greening
The business case for environmental sustainability: embedding long-term strat...Ken Dooley
ABSTRACT Current environmental demands, such as the need to meet governmental climate change adaptation targets or to avoid future resource scarcities have created a business opportunity for firms that eschew business as usual and adopt ambitious environmentally focused systemic innovations. This article aims to present a clear business case for corporate environmental sustainability in order to increase investments in this area. The core focus is on the tangible economic benefits that can be realised through environmental strategies such as risk reduction and efficiency gains. The aim is to show that sustainability can be an opportunity rather than an obligation and that not only can environmental and economic performance be optimised simultaneously but that economic performance can be optimised through environmental strategies. It is expected that this approach shall increase competitive advantage while supporting climate change mitigation. The article also highlights the current drivers that provide motivation for environmental performance improvement such as global trends towards resource efficiency and the exposure to long term environmental risks. Sustainability is a multidimensional subject that involves a diverse range of operational processes and it is argued that a greater portion of sustainability resources should be invested in ambitious environmentally focused systemic innovations. This will enable sustainability to be strategically integrated into the core business practices. Embedded sustainability is the term used to describe a high level of sustainability integration.
Boards Contributing to the Protection of the Environment: Looking at the Dyna...CSCJournals
The inconclusiveness of previous research on the relationship between women on boards and pro-environmental initiatives calls for a reassessment of this association. Following the social identity theory, this study examines the influence of women on boards on the corporate decisions related to the emissions reduction, by distinguishing between women as out-group members and men as in-group members. Using an econometric model that employs a sample of FTSE-MIB companies over the years 2009-2018, the findings show that the ability of the board to use the women’s contribution changes according to the dynamics between out-group and in-group. Specifically, when the board has only one women director, the in-group members (men) fail to consider in their decisions the woman’s perspectives and her sensitivity toward the environmental consequences of the business activities. These dynamics influence the board’s attention towards the protection of the environment. When the out-group reaches a considerable size (three women) the dynamics between in-group and out-group change and the board becomes more engaged in environmental issues. The results also find that there is a turning point, after which the board engagement towards a better protection of the environment does not increase with the number of women directors, showing an inverted U-shaped relationship.
International Journal of Business and Management Invention (IJBMI)inventionjournals
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
The Journal will bring together leading researchers, engineers and scientists in the domain of interest from around the world. Topics of interest for submission include, but are not limited to
Audit Quality and Environment, Social, and Governance RisksCSCJournals
This study examines the association between a firm’s environment, social and governance (ESG) risks and audit quality. We measure audit quality using two proxies: audit fees and discretionary accruals. ESG risk is measured using Representative Risk Index from the RepRisk AG database. Using a sample of public U.S. firms from the period between 2007 and 2016, we find that there is positive association between audit fess and ESG risk implying that firms pay higher audit fees when their ESG risk increase in order obtain higher quality audit services. We also find that there is a negative relationship between ESG risk measures and discretionary accruals suggesting firms assessed having high ESG risks do not manage their earnings as much. Overall, our results indicate that auditors take ESG risks of a firm into account when performing financial statements audit.
Environmental Reporting Practices in annual Reports of selected pharmaceutica...inventionjournals
The present study is a critical investigation of the environmental disclosures practices by selected Pharmaceutical and Chemical industries in Bangladesh. The study disclosed that an average sample companies only 9.97 Pharmaceutical and Chemical Companies should disclose more information in the annual report but we have identified only very few information. For conducting our smooth analysis, we have selected 15 Pharmaceutical and Chemical Companies of Bangladesh purposively from the study, we have identified only two companies disclosed maximum 18 environmental factors in their annual report out of 74 factors
ECO-CONTROL SYSTEM: A LITERATURE REVIEWAhmad Alastal
n eco-control system is the integration of a management control system and environmental strategy to ensure that organizations can control their environmental strategy, which concerns environmental issues. The importance of an eco-control system has long been recognized by academics as significant for organizations to deal with environmental activities. This paper intends to review the literature of eco-control systems and their aspects, which include a budget system, an intensive system, and a performance measurement system, the role of an eco-control system for influencing environmental strategies, and their procedures. This study uses the content analysis method to review seven selected studies. The results show the critical role of an eco-control system in supporting an organization’s implementation of its environmental strategies and increasing their environmental and economic performance.
ترجمه مقاله ژرونال در دارالترجمه رسمی پارسیس انجام می شود لازم به ذکر است اگر مقاله شما در سایت های ساینس دایرکت , امرالد , IEE
و غیره نمایه شده باشد ما به رایگان مقاله شما را دانلود و ترجمه میکنیم
دارالترجمه رسمی پارسیس
https://parsistrans.com
Impact of Green Attitude on Green Work Behavior: An Empirical Study of Employ...AJSSMTJournal
As interesting and important areas, Green Attitude (GA) and Green Work Behavior (GWB) are
examined considering the employees in a Sri Lankan tiles manufacturing company. The main objective of the
study is to explore the impact of GA on employees’ GWB. Using simple random sampling, 81 employees were
selected as the sample and primary data were gathered using two self-developed instruments regarding to GA
and GWB. Univariate and bivariate analyses were conducted to analyze the data and the main finding of the
study is that there is a positive and significant impact from GA on GWB of the employees in the selected tiles
manufacturing company. As the recommendation of the study authors instruct the companies in the tiles
manufacturing industry to develop employees’ green attitude for the better work behavior in greening
The business case for environmental sustainability: embedding long-term strat...Ken Dooley
ABSTRACT Current environmental demands, such as the need to meet governmental climate change adaptation targets or to avoid future resource scarcities have created a business opportunity for firms that eschew business as usual and adopt ambitious environmentally focused systemic innovations. This article aims to present a clear business case for corporate environmental sustainability in order to increase investments in this area. The core focus is on the tangible economic benefits that can be realised through environmental strategies such as risk reduction and efficiency gains. The aim is to show that sustainability can be an opportunity rather than an obligation and that not only can environmental and economic performance be optimised simultaneously but that economic performance can be optimised through environmental strategies. It is expected that this approach shall increase competitive advantage while supporting climate change mitigation. The article also highlights the current drivers that provide motivation for environmental performance improvement such as global trends towards resource efficiency and the exposure to long term environmental risks. Sustainability is a multidimensional subject that involves a diverse range of operational processes and it is argued that a greater portion of sustainability resources should be invested in ambitious environmentally focused systemic innovations. This will enable sustainability to be strategically integrated into the core business practices. Embedded sustainability is the term used to describe a high level of sustainability integration.
Boards Contributing to the Protection of the Environment: Looking at the Dyna...CSCJournals
The inconclusiveness of previous research on the relationship between women on boards and pro-environmental initiatives calls for a reassessment of this association. Following the social identity theory, this study examines the influence of women on boards on the corporate decisions related to the emissions reduction, by distinguishing between women as out-group members and men as in-group members. Using an econometric model that employs a sample of FTSE-MIB companies over the years 2009-2018, the findings show that the ability of the board to use the women’s contribution changes according to the dynamics between out-group and in-group. Specifically, when the board has only one women director, the in-group members (men) fail to consider in their decisions the woman’s perspectives and her sensitivity toward the environmental consequences of the business activities. These dynamics influence the board’s attention towards the protection of the environment. When the out-group reaches a considerable size (three women) the dynamics between in-group and out-group change and the board becomes more engaged in environmental issues. The results also find that there is a turning point, after which the board engagement towards a better protection of the environment does not increase with the number of women directors, showing an inverted U-shaped relationship.
International Journal of Business and Management Invention (IJBMI)inventionjournals
International Journal of Business and Management Invention (IJBMI) is an international journal intended for professionals and researchers in all fields of Business and Management. IJBMI publishes research articles and reviews within the whole field Business and Management, new teaching methods, assessment, validation and the impact of new technologies and it will continue to provide information on the latest trends and developments in this ever-expanding subject. The publications of papers are selected through double peer reviewed to ensure originality, relevance, and readability. The articles published in our journal can be accessed online.
The Journal will bring together leading researchers, engineers and scientists in the domain of interest from around the world. Topics of interest for submission include, but are not limited to
Audit Quality and Environment, Social, and Governance RisksCSCJournals
This study examines the association between a firm’s environment, social and governance (ESG) risks and audit quality. We measure audit quality using two proxies: audit fees and discretionary accruals. ESG risk is measured using Representative Risk Index from the RepRisk AG database. Using a sample of public U.S. firms from the period between 2007 and 2016, we find that there is positive association between audit fess and ESG risk implying that firms pay higher audit fees when their ESG risk increase in order obtain higher quality audit services. We also find that there is a negative relationship between ESG risk measures and discretionary accruals suggesting firms assessed having high ESG risks do not manage their earnings as much. Overall, our results indicate that auditors take ESG risks of a firm into account when performing financial statements audit.
Environmental Reporting Practices in annual Reports of selected pharmaceutica...inventionjournals
The present study is a critical investigation of the environmental disclosures practices by selected Pharmaceutical and Chemical industries in Bangladesh. The study disclosed that an average sample companies only 9.97 Pharmaceutical and Chemical Companies should disclose more information in the annual report but we have identified only very few information. For conducting our smooth analysis, we have selected 15 Pharmaceutical and Chemical Companies of Bangladesh purposively from the study, we have identified only two companies disclosed maximum 18 environmental factors in their annual report out of 74 factors
ECO-CONTROL SYSTEM: A LITERATURE REVIEWAhmad Alastal
n eco-control system is the integration of a management control system and environmental strategy to ensure that organizations can control their environmental strategy, which concerns environmental issues. The importance of an eco-control system has long been recognized by academics as significant for organizations to deal with environmental activities. This paper intends to review the literature of eco-control systems and their aspects, which include a budget system, an intensive system, and a performance measurement system, the role of an eco-control system for influencing environmental strategies, and their procedures. This study uses the content analysis method to review seven selected studies. The results show the critical role of an eco-control system in supporting an organization’s implementation of its environmental strategies and increasing their environmental and economic performance.
EFFECT OF ENVIRONMENTAL ORGANIZATION CULTURE, ENVIRONMENTAL LEADERSHIP, GREEN...AJHSSR Journal
ABSTRACT : The purpose of this study was to examine the effect of organizational culture, environmental
leadership and green supply chain on company performance with a moderating variable using green innovation.
The financial reports and sustainability reports of companies listed on the IDX for 2020 and 2021 are the data
used in this study. The population used is companies listed on the Indonesia Stock Exchange (IDX) except for
the financial sector which publish financial reports and reports from 2020 and 2021. The Indonesia Stock
Exchange (IDX) website provides information for this study. There are 369 companies registered during the
study. After removing the outliers. For information, the total number of research samples is 227 samples that fit
the criteria. This lesson uses the purposive sampling method and the OLS analytic model. Significantly, this
study found that organizational culture has a large and negative impact on company and environmental
leadership has a large and negative impact on company performance, while green supply chain does not have a
significant impact on company performance. The moderating variable in this study shows that green innovation
strengthens environmental organizational culture on company performance, but green innovation is not able to
strengthen environmental leadership and green supply chain variables on company performance.
Keywords –Environmental Organization Culture, Environmental Leadership, Green Supply Chain, Green
Innovation, Company Performance
GREEN INNOVATION STRATEGY TO ENHANCE COMPETITIVENESS AND PERFORMANCE OF SMEs ...indexPub
This research points to analyze the effect of green innovation strategy on competitiveness, the impact of green innovation strategy on performance, the impact of competitiveness on performance, and the impact of green innovation strategy on performance through the mediating role of competitiveness in SMEs in South Sulawesi. The analysis methods used were: (1) Descriptive Analysis, (2) Structural Equation Modelling (SEM).
An environment is a place of needs that cannot be separated from human life. Sub-District
Organizations as government agencies that provide services to the community are required to improve
performance that leads to environmental preservation in the workplace. So that the behavior of employees who
care about the environment (green), their involvement in creating a green environment (green work
engagement), and performance as an impact of green behavior is very interesting to study more deeply in
quantitative research
Contents lists available at ScienceDirectIndustrial Market.docxbobbywlane695641
Contents lists available at ScienceDirect
Industrial Marketing Management
journal homepage: www.elsevier.com/locate/indmarman
Target and position article
The darker side of sustainability: Tensions from sustainable business
practices in business networks
Nina Turaa,⁎, Joona Keränena, Samuli Patalab
a School of Business and Management, Lappeenranta University of Technology, P.O. Box 20, Lappeenranta FI-53851, Finland
b Department of Management Studies, Aalto University School of Business, P.O. Box 11110, Aalto FI-500076, Finland
A R T I C L E I N F O
Keywords:
Sustainability
Sustainable business practices
Tensions
Negative consequences
Business networks
Environmental
A B S T R A C T
While the current literature generally assumes that implementing sustainable business practices (SBPs) will lead
to improved wellbeing and positive outcomes, relatively little research has explored the potential tensions and
conflicts that SBPs may cause in multi-actor networks. To address this issue, we conduct a qualitative multiple
case study in a regional business network, including interviews with 43 managers in 17 firms in different in-
dustries. The findings of this study identify four types of tensions (economic, structural, psychological, and
behavioral) that tend to emerge when firms implement SBPs in networks, and illustrate how different stake-
holders (implementers, suppliers, customers, other network partners) perceive them. Overall, this study con-
tributes to the current literature by highlighting the underexplored “dark side” of sustainability, and illuminating
how organizational decisions aiming at improving collective wellbeing can also lead to tensions and conflicts.
For managers, this study offers insights into how to anticipate, manage and mitigate potential tensions that
might arise in business networks when one stakeholder decides to implement a SBP.
1. Introduction
Sustainability is considered a new strategic imperative and a long-
term goal for firms, nations, and society as a whole (Finke, Gilchrist, &
Mouzas, 2016; Porter & Reinhardt, 2007). Customers, investors and
other stakeholders demand continuous improvements in environmental
and social responsibility (Fearne, Garcia Martinez, & Dent, 2012), and
companies are increasingly encouraged to implement sustainable
business practices (SBPs) to reduce the environmental load and to stay
competitive (Johnsen, Miemczyk, & Howard, 2017; Kotler, 2011).
However, while the mainstream literature generally assumes that SBPs
lead to win-win situations, we need more understanding on the po-
tential tensions and conflicts that emerge when implementing SBPs
(Hahn, Figge, Pinkse, & Preuss, 2010; Öberg, Huge-Brodin, &
Björklund, 2012).
SBPs are generally defined as activities, initiatives or policies that
aim at solving environmental and social problems while maintaining a
profit (López, Garcia, & Rodriquez, 2007; Ortiz-De-Mandojana &
Bansal, 2016; Tate, Ellram, & Gölgeci, 2013). Driven by the .
Responsible HRM serves as a pathway to corporate sustainability and social im...AJHSSR Journal
ABSTRACT:
Purpose: HRM strategies that foster mutual benefit are necessary to improve the synergy between organizations
and their stakeholders, achieve financial success, and responsibly address the social, human, and environmental
consequences of corporate sustainability.
Design and methodology: Every suggested HRM approach must have pro-financial, social/human, and
unorthodox aspects to be implemented as a sustainable HRM practice. Moreover, bundles of HRM practices
must be implemented together to improve the integrated results of business sustainability.
Findings: Analysing differences in HRM practices—from commitment and control to sustainable systems—
gives organizations the knowledge they need to adapt their strategies and improve sustainability results. To
promote company sustainability, this study emphasizes the need for Eco-Friendly HRM practices, especially
when implemented through Environmental Management Systems (EMS).
Practical implications: This study emphasizes how important it is for businesses to integrate sustainable HRM
practices into their core business skills and how important it is to match these practices with corporate
sustainability goals. In addition, more research on the synergies across HRM practice bundles inside sustainable
HRM systems is necessary to improve our understanding of the best HRM tactics for achieving corporate
sustainability objectives.
In conclusion: The study's conclusions highlight the vital role that sustainable HRM plays in companies and
how important it is to achieving goals for environmental, social, and human sustainability. The study
emphasizes how organizations‘ inability to effectively apply HRM practices prevents them from achieving their
financial and productivity objectives.
Keywords: Sustainable HRM, Eco-friendly, HRM strategic commitment, effective HRM, HR strategies for social
responsibility, and Environmental stewardship.
Stakeholder pressures created the legal implications to the companies for the CSR activities and its reporting. CSR is gaining the importance in the field of research. The aim of the study is to provide the review of the development in the field of CSR. The analysis is carried out to understand the areas of the researches in CSR. In total 95 studies from various countries are selected. It is carried out by explaining various studies in the field of CSR to know the definition, the areas of researches and research methods used.
Imperative of Environmental Cost on Equity and Assets of Quoted Manufacturing...ijtsrd
This study examine the imperative of environmental cost on equity and assets of quoted manufacturing firms in Nigeria. The study adopts ex post facto, content analysis and regression research design. The research adopts secondary source of data in obtaining all the data needed for the study, extracted from the audited financial statements of the sampled manufacturing firms, which is meticulously examined and relevant data extracted from the period of 2011 2018 for analysis, in line with the main objective. Hypothesis is tested and the results reveals that environmental cost has a significant effect on return on equity and return on assets of quoted manufacturing firms in Nigeria. In consonance with this study's findings, it is recommended that, Firms in Nigeria should invest reasonable amount on environmental issues and report same in their financial reports for the various stakeholders to see. This will create a good relationship with the host community which will enable growth in production and increase in turnover. Dr. Odogu, Laime Isaac | Dadiowei, Opritari Maxwell "Imperative of Environmental Cost on Equity and Assets of Quoted Manufacturing Firms in Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-7 | Issue-4, August 2023, URL: https://www.ijtsrd.com/papers/ijtsrd59695.pdf Paper Url:https://www.ijtsrd.com/humanities-and-the-arts/education/59695/imperative-of-environmental-cost-on-equity-and-assets-of-quoted-manufacturing-firms-in-nigeria/dr-odogu-laime-isaac
Environmental Cost Disclosure and Corporate Performance of Quoted Foods and B...YogeshIJTSRD
This study determined the effect of Environmental Cost Disclosure and Performance of Quoted foods and beverages firms in Nigeria. Ex post facto research design and content analysis was adapted for the study. Sample size of nine 9 Foods and Beverage firms were used from twelve 12 Foods and Beverage firms. Data for the study were collected from the audited accounts of the sampled Food and Beverage firms in Nigeria from 2010 to 2019. Formulated hypotheses were tested using multiple linear regression analysis with the aid of E view 9.0. Environmental restoration cost and environmental pollution control cost has no significant effect on firm’s return on assets. Therefore, recommended that the implementation of greener technique, that is, environmental restoration enhanced mark up to protect the environment and increased firms’ return on assets. Egbunike, Patrick A. | Odumodu, Mary Theresa C. "Environmental Cost Disclosure and Corporate Performance of Quoted Foods and Beverages Firms in Nigeria" Published in International Journal of Trend in Scientific Research and Development (ijtsrd), ISSN: 2456-6470, Volume-5 | Issue-5 , August 2021, URL: https://www.ijtsrd.com/papers/ijtsrd44971.pdf Paper URL: https://www.ijtsrd.com/management/organizational-behaviour/44971/environmental-cost-disclosure-and-corporate-performance-of-quoted-foods-and-beverages-firms-in-nigeria/egbunike-patrick-a
Synergistic Effects of Social-Business on CSR ProgramsQUESTJOURNAL
ABSTRACT: Controversy results of research on the relationship of CSR to the company's performance had resulted a positive and negative effect. It can decrease the motivation of companies in order to develop CSR optimally. This controversy can lead to the implementation of CSR forward facing many obstacles. The results of this literature review aims to provide a strong theoretical basis. Real social mission can provide a synergistic effect, the social mission run by the company through CSR programs is able to support or strengthen the business mission being held by the company or even increase profits. Based on the research of some empirical research, it shows that CSR is applied into a strategy which supports the company's main business activity and also can increase profits for the company. This finding is expected to strengthen the motivation of business practices to be more careful in designing CSR as an appropriate strategy in order to support of the company's main business activities as a synergistic effect socially and businesses.
What Is Recruitment Processing Outsourcing (RPO) Services?Impeccable HR
Impeccable HR provides a wide range of RPO services for your bulk hiring needs within a stipulated period. They meticulously build RPO solutions to improve your recruitment process. RPO services are great for budget-conscious recruiters who want high-quality personnel.
Fleet management these days is next to impossible without connected vehicle solutions. Why? Well, fleet trackers and accompanying connected vehicle management solutions tend to offer quite a few hard-to-ignore benefits to fleet managers and businesses alike. Let’s check them out!
The Octavia range embodies the design trend of the Škoda brand: a fusion of
aesthetics, safety and practicality. Whether you see the car as a whole or step
closer and explore its unique features, the Octavia range radiates with the
harmony of functionality and emotion
What Could Cause The Headlights On Your Porsche 911 To Stop WorkingLancer Service
Discover why your Porsche 911 headlights might flicker out unexpectedly. From aging bulbs to electrical gremlins and moisture mishaps, we're delving into the reasons behind the blackout. Stay tuned to illuminate the road ahead and ensure your lights shine bright for safer journeys.
Ever been troubled by the blinking sign and didn’t know what to do?
Here’s a handy guide to dashboard symbols so that you’ll never be confused again!
Save them for later and save the trouble!
What Are The Immediate Steps To Take When The VW Temperature Light Starts Fla...Import Motorworks
Learn how to respond when the red temperature light flashes in your VW with this presentation. From checking coolant levels to seeking professional help, follow these steps promptly to prevent engine damage and ensure safety on the road.
Welcome to ASP Cranes, your trusted partner for crane solutions in Raipur, Chhattisgarh! With years of experience and a commitment to excellence, we offer a comprehensive range of crane services tailored to meet your lifting and material handling needs.
At ASP Cranes, we understand the importance of reliable and efficient crane operations in various industries, from construction and manufacturing to logistics and infrastructure development. That's why we strive to deliver top-notch solutions that enhance productivity, safety, and cost-effectiveness for our clients.
Our services include:
Crane Rental: Whether you need a crawler crane for heavy lifting or a hydraulic crane for versatile operations, we have a diverse fleet of well-maintained cranes available for rent. Our rental options are flexible and can be customized to suit your project requirements.
Crane Sales: Looking to invest in a crane for your business? We offer a wide selection of new and used cranes from leading manufacturers, ensuring you find the perfect equipment to match your needs and budget.
Crane Maintenance and Repair: To ensure optimal performance and safety, regular maintenance and timely repairs are essential for cranes. Our team of skilled technicians provides comprehensive maintenance and repair services to keep your equipment running smoothly and minimize downtime.
Crane Operator Training: Proper training is crucial for safe and efficient crane operation. We offer specialized training programs conducted by certified instructors to equip operators with the skills and knowledge they need to handle cranes effectively.
Custom Solutions: We understand that every project is unique, which is why we offer custom crane solutions tailored to your specific requirements. Whether you need modifications, attachments, or specialized equipment, we can design and implement solutions that meet your needs.
At ASP Cranes, customer satisfaction is our top priority. We are dedicated to delivering reliable, cost-effective, and innovative crane solutions that exceed expectations. Contact us today to learn more about our services and how we can support your project in Raipur, Chhattisgarh, and beyond. Let ASP Cranes be your trusted partner for all your crane needs!
Learn why monitoring your Mercedes' Exhaust Back Pressure (EBP) sensor is crucial. Understand its role in engine performance and emission reduction. Discover five warning signs of EBP sensor failure, from loss of power to increased emissions. Take action promptly to avoid costly repairs and maintain your Mercedes' reliability and efficiency.
Things to remember while upgrading the brakes of your carjennifermiller8137
Upgrading the brakes of your car? Keep these things in mind before doing so. Additionally, start using an OBD 2 GPS tracker so that you never miss a vehicle maintenance appointment. On top of this, a car GPS tracker will also let you master good driving habits that will let you increase the operational life of your car’s brakes.
Implementing ELDs or Electronic Logging Devices is slowly but surely becoming the norm in fleet management. Why? Well, integrating ELDs and associated connected vehicle solutions like fleet tracking devices lets businesses and their in-house fleet managers reap several benefits. Check out the post below to learn more.
Proactive Environmental Strategy and Environmental Performance: A Resource-based Perspective
1. International Journal of Scientific and Research Publications, Volume 10, Issue 3, March 2020 524
ISSN 2250-3153
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966 www.ijsrp.org
Proactive Environmental Strategy and Environmental
Performance: A Resource-based Perspective
Ahmad Yahia Mustafa Alastal*
, Che Zuriana Muhammad Jamil*
, Hafizah Abd-Mutalib*
*
Ph.D candidate at Tunku Puteri Intan Safinaz School of Accountancy ,Universiti Utara Malaysia, Kedah, Malaysia
**
Tunku Puteri Intan Safinaz School of Accountancy, Universiti Utara Malaysia, Kedah, Malaysia
DOI: 10.29322/IJSRP.10.03.2020.p9966
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966
Abstract- This paper reviews the relationship between proactive
environmental strategy and environmental performance from the
resource-based perspective by providing the recent findings on
this relationship. The benefits and meaning of proactive
environmental strategy and environmental performance are
discussed in this article. We find that the resource-based view
theory is important to define the relationship between proactive
environmental strategy and environmental performance.
Index Terms- proactive environmental strategy, environmental
strategy, environmental performance, resource-based view theory
I. INTRODUCTION
ecently, environmental problems like greenhouse gas
emissions, climate change, biodiversity destruction, global
warming, toxic waste, and ozone depletion have increased
globally (Aragón-Correa, Hurtado-Torres, Sharma, & García-
Morales, 2008; Solovida & Latan, 2017). These problems require
organizations and societies to reduce their influence and impact
on the environment and find solutions to these effects and
improve their environmental performance (EP) (Aragón-Correa
et al., 2008; Shrivastava, 1995; Solovida & Latan, 2017). The EP
of the organization is a set of measures that describe an
organization's success in reducing and minimizing its
environmental impacts (Klassen & McLaughlin, 1996).
The main advantages of EP adoption are the reduction of new
resources use through recycling, minimizing energy consumption
in the production processes, and decreasing the amount of
production residues that might contain dangerous materials (Rae,
Sands, & Gadenne, 2015). In addition to that, both small and
large organizations face growing pressures to improve their EP
as part of meeting their obligations towards environmental issues
(Roy, Boiral, & Paillé, 2013). Organizations are concerned about
their EP to show their responsibility towards environmental
issues because of pressures from society. Organizations fear that
their performance might decrease if they do not engage in
activities related to environmental issues (Winter & May, 2001).
Accordingly, organizations have been setting up environmental
strategies to demonstrate their commitment to local communities
and environmental issues (Fraj‐Andrés, Martínez‐Salinas, &
Matute‐Vallejo, 2009; Solovida & Latan, 2017). The
environmental issues are essential for the organization, and they
implement environmental strategies to reduce the effects of their
activities on the environment (Wijethilake, 2017). By doing that,
organizations can gain several benefits, such as increasing their
environmental performance, improving the organization's image,
and increasing profitability. Furthermore, adopting
environmental strategies allows an organization to compete in an
existing market, access new markets, and increase customer and
employee satisfaction, which, in turn, contributes positively to
the overall economy of the country (Dias‐Sardinha & Reijnders,
2005).
Because of their advantages, organizations have incorporated
environmental plans into their strategies (Gunarathne & Lee,
2015; Ko & Liu, 2017; Pondeville, Swaen, & De Rongé, 2013).
The primary purposes of environmental strategies are to improve
the environmental performance of an organization and decrease
the impact of organizational activities on the environment as well
as to manage these activities and to maintain a positive
relationship between an organization and its natural environment
(Aragón-Correa, 1998; Fraj‐Andrés et al., 2009). An
environmental strategy helps an organization to become more
aware of environmental issues and improve the organization's
performance (Henri & Journeault, 2010).
In this regard, the environmental strategies of organizations may
be classified as reactive and proactive strategies. On the one
hand, a reactive environmental strategy is concerned with
meeting legal requirements and regulations and responding to
stakeholder pressures. On the other hand, a proactive
environmental strategy (PES) provides actions and activities
beyond regulations to reduce the environmental harm caused that
an organization may cause (Aragón-Correa & Sharma, 2003;
Kang & Lee, 2016; Murillo-Luna et al., 2011; Sharma, 2000).
PES is identified as systematic procedures for voluntary activities
by an organization that goes beyond the legal and regulatory
requirements (Aragón-Correa & Rubio-Lopez, 2007).
PES is designed to deal with an organization’s environmental
impacts voluntarily to avoid harming the environment (Aragón-
Correa, 1998; Sharma, 2000; Sharma & Vredenburg, 1998).
Additionally, PES is vital in reducing organizational activities
that could harm the environment (Garcés-Ayerbe, Scarpellini,
Valero-Gil, & Rivera-Torres, 2016). Such a strategy also helps
an organization to forecast future regulations regarding
environmental issues and designing or changing the operations,
process, and product to reduce negative environmental impacts
(Hart, 1995; Sharma & Vredenburg, 1998; Tsai & Liao, 2017).
In addition, as part of the competition among firms to increase
both financial and environmental performance, various
organizations adopt a PES to reduce pollution in their activities.
R
2. International Journal of Scientific and Research Publications, Volume 10, Issue 3, March 2020 525
ISSN 2250-3153
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966 www.ijsrp.org
They do so by producing environmentally friendly products and
showing their commitment to environmental issues (Klassen &
Whybark, 1999; Sharma & Vredenburg, 1998; Wijethilake,
2017).
These organizations develop their PES voluntarily and invest
their resources to achieve their objectives and goals related to
gaining a competitive advantage (Tsai & Liao, 2017).
Accordingly, a PES is considered as to be related to
organizational capabilities that decrease an organization’s impact
on the environment and increase its competitive advantages
(Christmann, 2000; Garcés-Ayerbe et al., 2016; Hart, 1995;
Judge & Douglas, 1998; Li et al., 2016; Ryszko, 2016; Sharma &
Vredenburg, 1998). In this regard, the resource-based view
theory (RBV) posits that an organization’s capabilities and
resources play major roles in gaining sustainable competitive
advantages (Barney, 1991). Thus, PES is an organizational
capability that will increase an organization's EP if appropriately
implemented (Kang & Lee, 2016).
In summary, PES is a strategy that goes beyond the law and
regulations to reduce the impact of organizations on the
environment and improve their EP. This strategy is considered a
resource that enhances organizational performance aligns with
the resource-based view theory. Accordingly, this study reviews
the relationship between PES and EP from the perspective of
resource-based view theory and how this theory helps to explain
this relationship.
The remainder of this paper is organized as follows. The first
section presents the definitions and benefits of environmental
performance. Then, the second section presents the definitions
and benefits of a proactive environmental strategy. Section three
discusses the resources based-view theory followed by section
II. ENVIRONMENTAL PERFORMANCE
Klassen and McLaughlin (1996) described an organization's EP
as a set of measures that describes how successful organizations
are in reducing and minimizing their impacts on the environment.
In other words, EP refers to an organization’s efficiency in
meeting and go beyond social expectations concerning the
natural environment Chan (2005). It also indicates the
capabilities of organizations to establish consistent relationships
with different stakeholders who concerned about environmental
issues (Henri & Journeault, 2006).
EP focuses on the consequences of an organization’s strategic
activities that manage its influence on the natural environment
(Walls, Berrone, & Phan, 2012). Aboelmaged and Ahmed (2015)
described EP as the environmental effect that a company’s
actions had on the natural environment. More specifically, EP
refers to the abilities of organizations to integrate environmental
factors into their production systems to reduce pollution and
increase the quality of the product (Song, Fisher, Wang, & Cui,
2016). However, Tam and Fernando (2018) emphasized that EP
is a measurement that is being used to quantify the environmental
impacts that pollution activities cause.
The main advantages of the adoption of an EP are the reduction
of the utilization of new resources through recycling, minimizing
the energy consumption in production processes, and decreasing
the amount of production residues that might contain dangerous
materials (Rae, Sands, & Gadenne, 2015). In addition to that,
both small and large organizations face growing pressures to
improve their EP as part of their obligations towards
environmental issues (Roy, Boiral, & Paillé, 2013).
Organizations utilize EP to demonstrate their responsibility to
environmental issues because of pressures from society to engage
in these issues. Organizations fear that their financial
performance might decrease if they do not engage in activities
related to environmental issues (Winter & May, 2001).
The improvement of an organization’s EP is among the
fundamental sources for achieving a competitive advantage
through implementing an excellent environmental strategy that
reduces costs and improves production processes (Horváthová,
2010; Solovida & Latan, 2017). Organizations are encouraged to
control, measure, and disclose information about their EP (Henri
& Journeault, 2008). What is more, Mensah (2014) emphasized
that stakeholders are the main drivers of the EP improvement
among organizations to explain more.
Among the potential benefits of an EP are an increase
organizational performance and productivity (Galdeano-Gomez,
Céspedes-Lorente, & Martínez-del-Río, 2008; Schaltegger &
Lüdeke-Freund, 2013), a reduction in the costs of production by
decreasing obligated additional costs to organization products
like clean up expenditures and fines (Dasgupta, Hong, Laplante,
& Mamingi, 2006; Sharfman & Fernando, 2008), supporting
relationships with stakeholders, boosting an organization’s
reputation and legitimacy by producing environmentally friendly
products and reducing pollution. (Bansal, 2005; Darnall,
Henriques, & Sadorsky, 2008; Melo & Garrido‐Morgado, 2012;
Perrini & Tencati, 2006; Van Reenen, 2011), enhancing product
quality, increasing product sales which boosts market value
(Chen, Tang, Jin, Li, & Paillé, 2015; Darnall et al., 2008)
(Dasgupta et al., 2006; Schaltegger & Lüdeke-Freund, 2013), and
influencing the environmental involvement of employees (Chen
et al., 2015).
An EP valuable in all organizations and sectors whether they are
industrial or service related (Allet, 2011; Carmona-Moreno,
Céspedes-Lorente, & De Burgos-Jiménez, 2004; França, Silva, &
Marques Júnior, 2003). According to Rosenblum, Horvath, and
Hendrickson (2000), organizations can reduce their impacts on
the environment in various ways. These include influencing
suppliers to provide environmentally products and services that
do not harm the environment, decreasing resource inputs in their
operations by implementing efficiency programs, educating their
customers about environmental issues and their product offered,
and decreasing resources usage by of customers by providing
more beneficial environmentally activities or services
III. PROACTIVE ENVIRONMENTAL STRATEGY
Now According to Aragón-Correa and Rubio-Lopez (2007),
scholars and consultants have demonstrated the importance of
PES to organizations since 1990. PES is described as a statement
of processes actions of an organization that goes beyond basic
compliance with regulations and laws (Ateş, Bloemhof, Van
Raaij, & Wynstra, 2012). Menguc, Auh, and Ozanne (2010)
described PES as the strategy that is intended to reduce pollution
and emissions through continuous learning and planning by an
3. International Journal of Scientific and Research Publications, Volume 10, Issue 3, March 2020 526
ISSN 2250-3153
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966 www.ijsrp.org
organization. Furthermore, Sharma (2000) explained PES as a
consistent set of actions that an organization takes to reduce the
environmental impacts of its operations and activities not just to
fulfill environmental regulations but to go beyond that. Under
this strategy, the top management is responsible for compliance
with the laws and regulations regarding environmental issues
(Aragón-Correa et al., 2008). In addition to this, the PES had
been mainly viewed from an internal and competitive perspective
(Menguc et al., 2010).
Consistent with RBV theory, several studies have identified PES
in terms of an organization’s capabilities (Christmann, 2000;
Garcés-Ayerbe et al., 2016; Hart, 1995; Judge & Douglas, 1998;
Li, Jayaraman, Paulraj, & Shang, 2016). Past studies have shown
that the link between PES and organizational capabilities allows
organizations to bring together all human resources, raw
materials, and technologies to decrease their negative impacts on
the environment and, at the same time, increase organizational
performance (Galdeano‐Gómez & Céspedes‐Lorente, 2004;
Garcés-Ayerbe et al., 2016). In addition, proactive
organizations can improve their internal and external
environmental reporting (Henriques & Sadorsky, 1999; Sharma
& Vredenburg, 1998).
An organization that is committed to engaging in a PES and
going beyond regular requirements is more likely to earn
additional profits and meet the social expectation than an
organization that does not demonstrate such a commitment
(Barnett, Darnall, & Husted, 2015; Fraj, Matute, & Melero,
2015). In organizations that adopt a PES, the top management
seeks to fulfill its responsibilities to environmental issues. These
responsibilities include addressing environmental issues,
supporting environmental programs and policies, giving the
employees rewards that reduce and improve environmental
impacts, and allocating organizational resources to
environmental issues and initiatives (Berry & Rondinelli, 1998).
Improving organizational performance, as well as recognizing
the urgent need to use its capabilities in a better way, is vital for
an organization to enhance its reputation. These capabilities
include a shared vision, organizational learning, continuous
innovation, and stakeholder management, which are considered
as essential pre-requisites for the adoption and successful
implementation of a PES (Hart, 1995). Employee participation
and understanding are also crucial for the development and
improvement of these internal capabilities (Russo & Fouts, 1997;
Winn & Angell, 2000).
Moreover, PES provides many benefits to the organizations like
improving the EP through the effective use of resources, boosting
customers preferences, promoting and generating innovative
capabilities for an organization that has implemented this
strategy (Banerjee, 2001; Bhupendra & Sangle, 2015;
Christmann, 2000; Judge & Douglas, 1998; Klassen & Whybark,
1999; Sharma & Vredenburg, 1998; Wijethilake, 2017). An
organization that has adopted a PES has recognized
environmental issues and gained new opportunities to enter new
markets and produce new products. Such organizations
demonstrate concern to their communities and public about the
importance of environmental issues, integrate environmental
issues into their activities and functions, and provide benefits to
their stakeholders directly (Gonzalez-Benito, 2008; Klassen &
Angell, 1998; Tsoutsoura, 2004). It also enhances economic
performance and organizational profitability (Porter & Van der
Linde, 1995; Stefan & Paul, 2008).
According to Sangle (2010), a PES goes beyond regulatory and
legal requirements by enhancing the establishment of
environmental policies and goals, improving employee skills
through training, helping an organization to disclose about its
environmental activities and making these reports available to
public, reducing organizational environmental impacts and
setting environmental standards for an organization’s suppliers.
These benefits are achieved by preventing pollution and the
development of an organization's products by using resources
efficiently (Klassen & Whybark, 1999). In recent years, many
managers have attempted to implement some practices and
activities of proactive environmental strategies (Aragón-Correa
& Rubio-Lopez, 2007). And some of the largest organizations
like 3M and Du Pont have changed their environmental strategies
from reactive to proactive (Judge & Douglas, 1998). Also,
organizations that have adopted a PES have an increased
opportunity to internationalize their work and transactions (Chen,
Ong, & Hsu, 2016).
Traditional wisdom suggests that organizations that have adopted
and implemented environmental strategies recoup the associated
costs and increase their competitive advantages (Friedman,
2007). Thus, a PES encourages organizations to innovate
environmental products that reduce costs and gain cost-saving
advantages (Christmann, 2000).
IV. RESOURCE-BASED VIEW THEORY
In the strategic management area, the RBV theory is widely used
as a theoretical perspective (Barney & Arikan, 2001) and is
recognized as an underpinning theory in strategic management
(Liang, You, & Liu, 2010). Wernerfelt (1984) developed this
theory, which explains the relationship between organizational
resources and capabilities and their competitive advantages and
performance (Barney, 1991).
As Wernerfelt (1984) stated, “a firm’s resources at a given time
could be defined as those tangible and intangible assets which are
tied semi-permanently to the firm. Examples of resources are
brand names, in-house knowledge of technology, employment of
skilled personnel, trade contracts, machinery, efficient
procedures, and capital” (172). The importance of organizational
resources and capabilities are highlighted in RBV theory because
of the support that they provide an organization in developing
and surviving and achieving overall effectiveness and success
(Barney, 1991).
This theory explains the outcome of the development of an
organization’s valuable resources and capabilities that are linked
to a sustained competitive advantage. These capabilities, such as
continuous innovation, stakeholder integration, and
organizational learning, are associated with a PES (Sharma &
Vredenburg, 1998). Hart (1995) argues that the prerequisite
capabilities of an organization to implement a PES are
organizational learning, a shared vision, continuous innovation,
and stakeholder management.
An organization utilizes either tangible or intangible resources to
build a competitive advantage (Brulhart, Gherra, & Marais,
2017). Various scholars have classified the differences between
tangible and intangible resources differently. For example, Grant
(1991) classified tangible resources as fixed assets, production
4. International Journal of Scientific and Research Publications, Volume 10, Issue 3, March 2020 527
ISSN 2250-3153
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966 www.ijsrp.org
equipment, inventories, and financial resources, while intangible
resources were classified as reputation, technology, human
resources, employee training, employee loyalty, employee
experience, and employee commitment. Teece, Pisano, and
Shuen (1997) included different resources such as knowledge,
media, structure (governance), network, market, and institution
resources. Whatever the case, an organization generates
economic benefits by combining and exploiting both tangible and
intangible resources (Barney, 1991).
One focus of RBV theory is on the resources of an organization
that are not easily transferable and difficult to reproduce. The
RBV theory argues an organization's internal capabilities and
resources that are valuable, inimitable, rare, non-changeable, and
have high costs to copy and provide an organization with a
sustainable competitive advantage, and let them compete
favorably in their environment (Barney, 1991; Barney &
Mackey, 2005). The fundamental argument of RBV theory is that
the resources that an organization owns influence its
performance, and an organization with more valuable resources
is more likely to maintain a sustainable competitive advantage
than an organization with fewer valuable resources (Liang et al.,
2010). One argument of this theory derives from the capabilities
and resources of an organization. The logic is that competitors
would find capabilities and resources difficult either to copy or
replace. Such resources include physical assets, financial assets,
employee skills, or organization procedures (Clarkson, Li,
Richardson, & Vasvari, 2011).
Based on Barney (1991), the RBV theory identified and
categorized three different resources of an organization. These
resources are physical, organizational, and human resources.
Physical resources typically include the tangible assets of the
organization like a plant, equipment, raw materials, geographical
location, information technology of the organization, and
financial instruments. Organizational resources include
management system, planning, coordination, controlling, and
formal reporting structure. Human resources of the organization
include employee experience and their judgment, social
relationships, and insights.
According to Barney (1991), the resources of an organization
that create sustained competitive advantages should have the
following attributes. First, they should be valuable, which refers
to the resources that can support an organization in implementing
its strategies that improve both the efficiency and effectiveness
of the organization. Second, they should be non-substitutable,
which means that the valuable resources of the organization
cannot easily be replaced or changed. Third, they should be rare,
which refers to the valuable resources of an organization that
many competitors cannot easily possess. Last, they should be
imperfectly imitable, which means that the valuable resources of
an organization are difficult, if not impossible, to duplicate.
Moreover, Buysse and Verbeke (2003) divided the natural
components of an organization into five categories. These are
conventional factors, human resources, procedural, strategic
planning, and organizational resources. Conventional resources
refer to physical resources that are used to produce more
environmentally friendly products like technology, plants, raw
materials, and equipment. Human resources refer to the
participation of employees in the natural environment and their
experience, qualification, and training. Procedures resources
refer to standards and formal procedures that are related to
environmental issues and reporting systems. Strategic planning
refers to the environmental strategies that clearly define the
objectives, plans, and budget of an organization’s commitment to
the natural environment. Lastly, organizational resources refer to
environmental concerns as components of corporate structure,
such as degree of centralization, allocation of mission,
responsibilities, coordination, and hierarchical structure that are
related to environmental development and improvement.
V. DISCUSSION AND THE RELATIONSHIP BETWEEN
PROACTIVE ENVIRONMENTAL STRATEGY AND
ENVIRONMENTAL PERFORMANCE FROM RESOURCE
BASED-VIEW THEORY
A PES requires the aggregation of skills, resources such as
human resources, technologies, and assets to be implemented by
an organization (Aragón-Correa, 1998; Russo & Fouts, 1997;
Sharma & Vredenburg, 1998). Additionally, the PES allows an
organization to organize and use all of its resources, such as
human resources, raw materials, and organizational technologies,
to reduce its impacts on the environment (Galdeano‐Gómez &
Céspedes‐Lorente, 2004; Garcés-Ayerbe et al., 2016).
In literature, many past studies have shown a positive
relationship among environmental strategy, PES and EP (Alt,
Díez-de-Castro, & Lloréns-Montes, 2015; Ateş et al., 2012; Bae,
2017; Hoffmann, Kuss, & Delmas, 2011; Kim, 2018; Solovida &
Latan, 2017; Wijethilake, 2017). For example, in a study of two
primary longitudinal databases among 490 organizations in the
United States in two periods between 1991 and 2010, Kim
(2018) found that PES practices positively led to improvements
of EP. Accordingly, in a study among 68 Indonesian
organizations that have an ISO14001 certification and listed on
the Indonesia stock exchange, Solovida and Latan (2017) found a
significant and positive relationship between environmental
strategy and environmental performance. The study also found
that environmental management accounting directly mediates
this relationship. Bae (2017) had similar findings in a study of
219 organizations that were members of the Korea International
Trade Associations. Hart (1995) and Rodrigue, Magnan, and
Boulianne (2013) showed the importance of the PES processes
for the improvement of EP.
In a survey of 175 managers in multinational and local
organizations in Sri Lanka, Wijethilake (2017) found a positive
relationship between PES and EP. Previously, Alt et al. (2015)
used a cross-country and multi-industry sample of 170 firms.
They found that the proactive environmental strategies of firms
translated employee stakeholder integration into an
environmental performance.
In a survey of 96 manufacturing organizations in Turkey, Ateş et
al. (2012) investigated the impact of PES on the EP with the
mediating effect of environmental investments. The results
revealed a positive relationship between PES and EP through the
mediating effect of environmental investments. This finding
suggests that environmental investments encourage cooperation
with suppliers, both internally and externally.
Kang and Lee (2016) conducted a meta-analysis to provide an
overview of the environmental strategy of organizations in the
management and business literature. The authors reviewed
5. International Journal of Scientific and Research Publications, Volume 10, Issue 3, March 2020 528
ISSN 2250-3153
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966 www.ijsrp.org
19,839 papers that were published between 1990 to 2003 in
management journals. Their study concluded that most studies
investigating environmental strategy focused on one country, and
most of them had used data from the United States. Most of these
studies had used an RBV theory to examine the relationship
among environmental strategy, EP, and financial performance
while other studies used stakeholders theory and institutional
theory to examine the variables that encourage or barriers the
organizations to adopt the environmental strategy. Finally, the
study shows a lack of studies conducted between environmental
strategy and management research.
VI. CONCLUSION
This paper reviewed the relationship between proactive
environmental strategy and environmental performance from the
resource-based view perspective. The paper demonstrated that
previous studies found a positive relationship between proactive
environmental strategy and environmental performance, and the
resource-based view theory is important in defining the
relationship between proactive environmental strategy and
environmental performance.
REFERENCES
[1] Aboelmaged, M. G., & Ahmed, I. E. S. (2015). Adoption of supply chain
sustainability in developing countries: An empirical investigation. In D.E.
Palmer (ed.), Handbook of research on business ethics and corporate
responsibilities (pp. 420-443). Hershey, PA: IGI Global.
[2] Allet, M. (2011). Measuring the environmental performance of
microfinance. CEB Working Paper, No. 11/045.
[3] Alt, E., Díez-de-Castro, E. P., & Lloréns-Montes, F. J. (2015). Linking
employee stakeholders to environmental performance: The role of proactive
environmental strategies and shared vision. Journal of Business Ethics,
128(1), 167-181.
[4] Aragón-Correa, J.A. (1998). Strategic proactivity and firm approach to the
natural environment. Academy of Management Journal, 41(5), 556-567.
[5] Aragón-Correa, J.A., Hurtado-Torres, N., Sharma, S., & García-Morales, V.
J. (2008). Environmental strategy and performance in small firms: A
resource-based perspective. Journal of Environmental Management., 86(1),
88-103.
[6] Aragón-Correa, J.A. & Rubio-Lopez, E.A. (2007). Proactive corporate
environmental strategies: myths and misunderstandings. Long Range
Planning, 40(3), 357-381.
[7] Aragón-Correa, J.A. & Sharma, S. (2003). A contingent resource-based
view of proactive corporate environmental strategy. Academy of
Management Review, 28(1), 71-88.
[8] Ateş, M. A., Bloemhof, J., Van Raaij, E. M., & Wynstra, F. (2012).
Proactive environmental strategy in a supply chain context: The mediating
role of investments. International Journal of Production Research, 50(4),
1079-1095.
[9] Bae, H. S. (2017). The effect of environmental capabilities on
environmental strategy and environmental performance of Korean exporters
for green supply chain management. The Asian Journal of Shipping and
Logistics, 33(3), 167-176.
[10] Banerjee, S. B. (2001). Managerial perceptions of corporate
environmentalism: Interpretations from industry and strategic implications
for organizations. Journal of Management Studies, 38(4), 489-513.
[11] Bansal, P. (2005). Evolving sustainably: A longitudinal study of corporate
sustainable development. Strategic Management Journal, 26(3), 197-218.
[12] Barnett, M. L., Darnall, N., & Husted, B. W. (2015). Sustainability strategy
in constrained economic times. Long Range Planning, 48(2), 63-68.
[13] Barney, J. (1991). Firm resources and sustained competitive advantage.
Journal of Management, 17(1), 99-120.
[14] Barney, J., & Arikan, A. M. (2001). The resource-based view: Origins and
implications. In M.A. Hitt, E. Freeman, & J. Harrison (Eds), Blackwell
Handbook of strategic management (pp. 124-188). Hoboken, NJ: John
Wiley & Sons.
[15] Barney, J., & Mackey, T. (2005). Testing resource-based theory In
Research methodology in strategy and management 2 (pp. 1-13). Bingley,
United Kingdom: Emerald Insight.
[16] Bhupendra, K. V., & Sangle, S. (2015). What drives successful
implementation of pollution prevention and cleaner technology strategy?
The role of innovative capability. Journal of Environmental Management,
155, 184-192.
[17] Bodansky, D. (2016). The Paris climate change agreement: A new hope?
American Journal of International Law, 110(2), 288-319.
[18] Brulhart, F., Gherra, S., & Marais, M. (2017). Are environmental strategies
profitable for companies? The key role of natural competences from a
resource-based view. Management Decision, 55(10), 2126-2148.
[19] Buysse, K., & Verbeke, A. (2003). Proactive environmental strategies: A
stakeholder management perspective. Strategic Management Journal, 24(5),
453-470.
[20] Carmona-Moreno, E., Céspedes-Lorente, J., & De Burgos-Jiménez, J.
(2004). Environmental strategies in Spanish hotels: Contextual factors and
performance. The Service Industries Journal, 24(3), 101-130.
[21] Chan, R. Y. (2005). Does the natural‐resource‐based view of the firm apply
in an emerging economy? A survey of foreign invested enterprises in China.
Journal of Management Studies, 42(3), 625-672.
[22] Chen, P-H., Ong, C.-F., & Hsu, S.-C. (2016). The linkages between
internationalization and environmental strategies of multinational
construction firms. Journal of Cleaner Production, 116, 201-216.
[23] Chen, Tang, G., Jin, J., Li, J., & Paillé, P. (2015). Linking market
orientation and environmental performance: The influence of environmental
strategy, employee’s environmental involvement, and environmental
product quality. Journal of Business Ethics, 127(2), 479-500.
[24] Christmann, P. (2000). Effects of “best practices” of environmental
management on cost advantage: The role of complementary assets.
Academy of Management Journal, 43(4), 1-44.
[25] Clarkson, P. M., Li, Y., Richardson, G. D., & Vasvari, F. P. (2011). Does it
really pay to be green? Determinants and consequences of proactive
environmental strategies. Journal of Accounting and Public Policy,
30(2),122-144.
[26] Darnall, N., Henriques, I., & Sadorsky, P. (2008). Do environmental
management systems improve business performance in an international
setting? Journal of International Management, 14(4), 364-376.
[27] Dasgupta, S., Hong, J. H., Laplante, B., & Mamingi, N. (2006). Disclosure
of environmental violations and stock market in the Republic of Korea.
Ecological Economics, 58(4), 759-777.
[28] Dias‐Sardinha, I., & Reijnders, L. (2005). Evaluating environmental and
social performance of large Portuguese companies: A balanced scorecard
approach. Business Strategy and the Environment, 14(2), 73-91.
[29] Fraj‐Andrés, E., Martínez‐Salinas, E., & Matute‐Vallejo, J. (2009). Factors
affecting corporate environmental strategy in Spanish industrial firms.
Business Strategy and the Environment, 18(8), 500-514.
[30] Fraj, E., Matute, J., & Melero, I. (2015). Environmental strategies and
organizational competitiveness in the hotel industry: The role of learning
and innovation as determinants of environmental success. Tourism
Management, 46, 30-42.
[31] França, A., Silva, J. M. D. d., & Marques Júnior, S. (2003). Environmental
performance indicators in the hotel industry: A methodological analysis.
Presented at POM 2003. Retrieved from
https://www.pomsmeetings.org/ConfProceedings/001/ Papers/ENV-
07.5.pdf
[32] Friedman, M. (2007). The social responsibility of business is to increase its
profits. In W.C. Zimmerli, M. Holzinger, & K. Richter (eds.), Corporate
ethics and corporate governance (pp. 173-178). Berlin, Heidelberg:
Springer.
[33] Galdeano-Gomez, E., Céspedes-Lorente, J., & Martínez-del-Río, J. (2008).
Environmental performance and spillover effects on productivity: Evidence
from horticultural firms. Environmental Management, 88(4), 1552-1561.
[34] Galdeano‐Gómez, E., & Céspedes‐Lorente, J. (2004). The effect of
quality‐environmental investment on horticultural firms' competitiveness.
6. International Journal of Scientific and Research Publications, Volume 10, Issue 3, March 2020 529
ISSN 2250-3153
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966 www.ijsrp.org
Canadian Journal of Agricultural Economics/Revue Canadienne
d'Agroeconomie, 52(3), 371-386.
[35] Garcés-Ayerbe, C., Scarpellini, S., Valero-Gil, J., & Rivera-Torres, P.
(2016). Proactive environmental strategy development: from laggard to eco-
innovative firms. Journal of Organizational Change Management, 29(7),
1118-1134.
[36] Gonzalez-Benito, J. (2008). The effect of manufacturing pro-activity on
environmental management: An exploratory analysis. International Journal
of Production Research, 46(24), 7017-7038.
[37] 7017-7038. Grant, R. M. (1991). The resource-based theory of competitive
advantage: implications for strategy formulation. Journal of California
Management Review, 33(3), 114-135.
[38] Gunarathne, N., & Lee, K.-H. (2015). Environmental Management
Accounting (EMA) for environmental management and organizational
change: An eco-control approach. Journal of Accounting & Organizational
Change, 11(3), 362-383.
[39] Hart, S. L. (1995). A natural-resource-based view of the firm. Journal of
Academy of Management Review, 20(4), 986-1014.
[40] Henri, J-F., & Journeault. M. (2008). Environmental performance
indicators: An empirical study of Canadian manufacturing firms.
Environmental Management, 87(1), 165-176.
[41] Henri, J.F., & Journeault, M. (2010). Eco-control: The influence of
management control systems on environmental and economic performance.
Journal of Accounting, Organizations and Society, 35(1), 63-80.
[42] Henriques, I., & Sadorsky, P. (1999). The relationship between
environmental commitment and managerial perceptions of stakeholder
importance. Journal of Academy of Management, 42(1), 87-99.
[43] Hoffmann, V. H., Kuss, M., & Delmas, M. (2011). Under the tip of the
iceberg: Absorptive capacity, environmental strategy, and competitive
advantage. Business & Society, 50(1), 116-154.
[44] Horváthová, E. (2010). Does environmental performance affect financial
performance? A meta-analysis. Ecological Economics, 70(1), 52-59.
[45] Journeault, M., De Ronge, Y., & Henri, J-F. (2016). Levers of eco-control
and competitive environmental strategy. The British Accounting Review,
48(3), 316-340.
[46] Judge, W. Q., & Douglas, T. J. (1998). Performance implications of
incorporating natural environmental issues into the strategic planning
process: An empirical assessment. Management Studies, 35(2), 241-262.
[47] Kang, S.-W., & Lee, K.-H. (2016). Mainstreaming corporate environmental
strategy in management research. Benchmarking: An International Journal,
23(3), 618-650.
[48] Kim, K. (2018). Proactive versus reactive corporate environmental practices
and environmental performance. Sustainability, 10(1), 1-19.
[49] Klassen, R. D., & Angell, L. C. (1998). An international comparison of
environmental management in operations: The impact of manufacturing
flexibility in the US and Germany. Journal of Operations Management,
16(2), 177-194.
[50] Klassen, R. D., & McLaughlin, C. P. (1996). The impact of environmental
management on firm performance. Journal of Management Science, 42(8),
1093-1227.
[51] Klassen, R. D., & Whybark, D. C. (1999). Environmental management in
operations: The selection of environmental technologies. Decision Sciences,
30(3), 601-631.
[52] Ko, W. W., & Liu, G. (2017). Environmental strategy and competitive
advantage: The role of small‐ and medium‐sized enterprises' dynamic
capabilities. Business Strategy and the Environment, 26(5), 584-596.
[53] Li, S., Jayaraman, V., Paulraj, A., & Shang, K.-C. (2016). Proactive
environmental strategies and performance: Role of green supply chain
processes and green product design in the Chinese high-tech industry.
International Journal of Production Research, 54(7), 2136-2151.
[54] Liang, T.-P., You, J.-J., & Liu, C.-C. (2010). A resource-based perspective
on information technology and firm performance: A meta analysis.
Industrial Management & Data Systems, 110, 1138-1158.
[55] Melo, T., & Garrido‐Morgado, A. (2012). Corporate reputation: A
combination of social responsibility and industry. Corporate Social
Responsibility and Environmental Management, 19(1), 11-31.
[56] Menguc, B., Auh, S., & Ozanne, L. (2010). The interactive effect of internal
and external factors on a proactive environmental strategy and its influence
on a firm's performance. Business Ethics, 94(2), 279-298.
[57] Mensah, I. (2014). Stakeholder pressure and hotel environmental
performance in Accra, Ghana. Management of Environmental Quality: An
International Journal, 25(2), 227-243.
[58] Murillo-Luna, J. L., Garcés-Ayerbe, C., & Rivera-Torres, P. (2011).
Barriers to the adoption of proactive environmental strategies. Journal of
Cleaner Production, 19(13), 1417-1425.
[59] Perrini, F., & Tencati, A. (2006). Sustainability and stakeholder
management: the need for new corporate performance evaluation and
reporting systems. Business Strategy and the Environment, 15(5), 296-308.
[60] Pondeville, S., Swaen, V., & De Rongé, Y. (2013). Environmental
management control systems: The role of contextual and strategic factors.
Journal of Management Accounting Research, 24(4), 317-332.
[61] Porter, M. E., & Van der Linde, C. (1995). Green and competitive: Ending
the stalemate. Journal of Harvard Business Review, 73(5), 120-134.
[62] Rae, K., Sands, J., & Gadenne, D. L. (2015). Associations between
organisations’ motivated workforce and environmental performance.
Journal of Accounting & Organizational Change, 11(3), 384-405.
[63] Rodrigue, M., Magnan, M., & Boulianne, E. (2013). Stakeholders’
influence on environmental strategy and performance indicators: A
managerial perspective. Journal of Management Accounting Research,
24(4), 301-316.
[64] Rosenblum, J., Horvath, A., & Hendrickson, C. (2000). Environmental
implications of service industries. Environmental Science Technology,
34(22), 4669-4676.
[65] Roy, M.-J., Boiral, O., & Paillé, P. (2013). Pursuing quality and
environmental performance: Initiatives and supporting processes. Business
Process Management Journal, 19(1), 30-53.
[66] Russo, M. V., & Fouts, P. A. (1997). A resource-based perspective on
corporate environmental performance and profitability. Journal of Academy
of Management, 40(3), 534-559.
[67] Ryszko, A. (2016). Proactive environmental strategy, technological
innovation and firm performance — Case of Poland. Sustainability, 8(2),
156-175.
[68] Sangle, S. (2010). Empirical analysis of determinants of adoption of
proactive environmental strategies in India. Business Strategy and the
Environment, 19(1), 51-63.
[69] Schaltegger, S., & Lüdeke-Freund, F. (2013). Business cases for
sustainability In S. Idowu, N. Capaldi, L. Zu, & A. Das Gupta (Eds.),
Encyclopedia of corporate social responsibility (pp. 245-252).
Berlin/Heidelberg: Springer.
[70] Schmidheiny, S. (1992). Changing course: A global business perspective on
development and the environment 1. Cambridge, MA: MIT Press.
[71] Sharfman, M. P., & Fernando, C. S. (2008). Environmental risk
management and the cost of capital. Strategic Management Journal, 29(6),
569-592.
[72] Sharma, S. (2000). Managerial interpretations and organizational context as
predictors of corporate choice of environmental strategy. Journal of
Academy of Management, 43(4), 681-697.
[73] Sharma, S., & Vredenburg, H. (1998). Proactive corporate environmental
strategy and the development of competitively valuable organizational
capabilities. Strategic Management Journal, 19(8), 729-753.
[74] Shrivastava, P. (1995). The role of corporations in achieving ecological
sustainability. Journal of Academy of Management Review, 20(4), 936-960.
[75] Solovida, G. T., & Latan, H. (2017). Linking environmental strategy to
environmental performance: Mediation role of environmental management
accounting. Sustainability Accounting, Management and Policy Journal,
8(5), 595-619.
[76] Song, M.-L., Fisher, R., Wang, J.-L., & Cui, L.-B. (2016). Environmental
performance evaluation with big data: Theories and methods. Annals of
Operations Research, 270, 459-472.
[77] Stefan, A., & Paul, L. (2008). Does it pay to be green? A systematic
overview. The Academy of Management Perspectives, 22(4), 45-62.
[78] Tam, J. P. K., & Fernando, Y. (2018). Ecological performance as a new
metric to measure green supply chain practices Encyclopedia of Information
Science and Technology (4th ed., pp. 5357-5366). Hershey, PA: IGI Global.
[79] Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and
strategic management. Strategic Management Journal, 18(7), 509-533.
7. International Journal of Scientific and Research Publications, Volume 10, Issue 3, March 2020 530
ISSN 2250-3153
http://dx.doi.org/10.29322/IJSRP.10.03.2020.p9966 www.ijsrp.org
[80] Tsai, K. H., & Liao, Y. C. (2017). Sustainability Strategy and
Eco‐Innovation: A Moderation Model. Business Strategy and the
Environment, 26(4), 426-437.
[81] Tsoutsoura, M. (2004). Corporate social responsibility and financial
performance. Hass School of Business, the University of California at
Berkley. Retrieved from https://escholarship.org/uc/item/111799p2
[82] United Nations Conference on Environment and Development (1993). The
Earth Summit. London: Graham & Trotman/Martinus Nijhoff.
[83] Van Reenen, J. (2011). Does competition raise productivity through
improving management quality? International Journal of Industrial
Organization, 29(3), 306-316.
[84] Wade, M., & Hulland, J. (2004). The resource-based view and information
systems research: review, extension, and suggestions for future research.
MIS Quarterly, 28(1), 107-142.
[85] Walls, J. L., Berrone, P., & Phan, P. H. (2012). Corporate governance and
environmental performance: Is there really a link? Strategic Management
Journal, 33(8), 885-913.
[86] Wernerfelt, B. (1984). A resource‐based view of the firm. Strategic
Management Journal, 5(2), 171-180.
[87] Wijethilake, C. (2017). Proactive sustainability strategy and corporate
sustainability performance: The mediating effect of sustainability control
systems. Journal of Environmental Management, 196, 569-582.
[88] Winn, M. L., & Angell, L. C. (2000). Towards a process model of corporate
greening. Organization Studies, 21(6), 1119-1147.
[89] Winter, S. C., & May, P. J. (2001). Motivation for compliance with
environmental regulations. Journal of Policy Analysis and Management,
20(4), 675-698.
[90] Wood, D. J. (1991). Corporate social performance revisited. Journal of
Academy of Management Review, 16(4), 681-718.
AUTHORS
First Author – Ahmad Yahia Mustafa Alastal, Ph.D candidate at
Tunku Puteri Intan Safinaz School of Accountancy ,Universiti
Utara Malaysia, Kedah, Malaysia
alastalahmad@hotmail.com
Second Author – Prof. Madya Dr. Che Zuriana Bt Muhammad
Jamil, Tunku Puteri Intan Safinaz School of Accountancy,
Universiti Utara Malaysia, Kedah, Malaysia
zuriana@uum.edu.my
Third Author – Dr. Hafizah bt. Abd Mutalib, Tunku Puteri
Intan Safinaz School of Accountancy, Universiti Utara Malaysia,
Kedah, Malaysia
amhafizah@uum.edu.my
Correspondence Author – Ahmad Yahia Mustafa Alastal
alastalahmad@hotmail.com, 0060183248002