Document Type

Article

Source of Publication

Revista Brasileira de Gestao de Negocios

Publication Date

1-1-2020

Abstract

© 2020, Fundacao Escola de Comercio Alvares Penteado. All rights reserved. Purpose – Even though there is a growing recognition of the externality costs of low environmental performance by firms, there continue to be significant inter-firm differentials in environmental performance management. We build on the theories of strategic management to inquire into the factors contributing to these differentials. Design/methodology/approach – Using a 2015 survey sample of Chinese small and medium enterprises, we empirically investigate the alternative thesis that the profit maximization motive constitutes the appropriate heuristic for the performance management of corporate social responsibility factors. Findings –The green capability of a firm is an aggregate of green trading and the investments that the firm has made in green initiatives that are complementary to its strategic business model. The profit aspiration level of firms has a negative influence on their green programing, while transformational leadership has a positive influence. Originality/value – We develop seven propositions represented as algebraic relationships to interpret these factors.

ISSN

1806-4892

Publisher

Fundacao Escola de Comercio Alvares Penteado

Volume

22

Issue

1

First Page

5

Last Page

28

Disciplines

Business

Keywords

Environmental performance management, Green capability, Profit aspiration level, Small and medium enterprises, Transformational leadership

Scopus ID

85078638621

Creative Commons License

Creative Commons Attribution 4.0 License
This work is licensed under a Creative Commons Attribution 4.0 License.

Indexed in Scopus

yes

Open Access

yes

Open Access Type

Gold: This publication is openly available in an open access journal/series

Included in

Business Commons

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