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Environmental proactivity and business performance: an empirical analysis

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  • González-Benito, Javier
  • González-Benito, Óscar
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    Abstract

    This paper analyses the relationship between environmental proactivity and business performance on a sample of 186 industrial companies. This relationship is approached by studying a bundle of relationships between different dimensions or manifestations of environmental proactivity and different measures of business performance. The analysis in part supports the idea that environmental management can bring about competitive opportunities for companies, although it also reveals that some environmental practices produce negative effects. It is thus concluded that there is no one single response for the question of whether environmental proactivity has positive effects on business performance and that this relationship must be disaggregated into more specific and concrete relationships.

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    Bibliographic Info

    Article provided by Elsevier in its journal Omega.

    Volume (Year): 33 (2005)
    Issue (Month): 1 (February)
    Pages: 1-15

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    Handle: RePEc:eee:jomega:v:33:y:2005:i:1:p:1-15

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    Keywords: Environmental proactivity Business performance;

    References

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    1. Bullinger, H. -J. & Steinaecker, J. von & Weller, A., 1999. "Concepts and methods for a production integrated environmental protection," International Journal of Production Economics, Elsevier, vol. 60(1), pages 35-42, April.
    2. Michael E. Porter & Claas van der Linde, 1995. "Toward a New Conception of the Environment-Competitiveness Relationship," Journal of Economic Perspectives, American Economic Association, vol. 9(4), pages 97-118, Fall.
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    4. Tim Newton, 1997. "Green Business: Technicist Kitsch?," Journal of Management Studies, Wiley Blackwell, vol. 34(1), pages 75-98, 01.
    5. Sarkis, Joseph, 1998. "Evaluating environmentally conscious business practices," European Journal of Operational Research, Elsevier, vol. 107(1), pages 159-174, May.
    6. Vastag, Gyula & Kerekes, Sandor & Rondinelli, Dennis A., 1996. "Evaluation of corporate environmental management approaches: A framework and application," International Journal of Production Economics, Elsevier, vol. 43(2-3), pages 193-211, June.
    7. Hamilton James T., 1995. "Pollution as News: Media and Stock Market Reactions to the Toxics Release Inventory Data," Journal of Environmental Economics and Management, Elsevier, vol. 28(1), pages 98-113, January.
    8. Christainsen, Gregory B. & Haveman, Robert H., 1981. "The contribution of environmental regulations to the slowdown in productivity growth," Journal of Environmental Economics and Management, Elsevier, vol. 8(4), pages 381-390, December.
    9. de Ron, Ad J., 1998. "Sustainable production: The ultimate result of a continuous improvement," International Journal of Production Economics, Elsevier, vol. 56(1), pages 99-110, September.
    10. Robert D. Klassen & Curtis P. McLaughlin, 1996. "The Impact of Environmental Management on Firm Performance," Management Science, INFORMS, vol. 42(8), pages 1199-1214, August.
    11. Karen Palmer & Wallace E. Oates & Paul R. Portney, 1995. "Tightening Environmental Standards: The Benefit-Cost or the No-Cost Paradigm?," Journal of Economic Perspectives, American Economic Association, vol. 9(4), pages 119-132, Fall.
    12. O'Brien, Christopher, 1999. "Sustainable production - a new paradigm for a new millennium," International Journal of Production Economics, Elsevier, vol. 60(1), pages 1-7, April.
    13. Adam B. Jaffe et al., 1995. "Environmental Regulation and the Competitiveness of U.S. Manufacturing: What Does the Evidence Tell Us?," Journal of Economic Literature, American Economic Association, vol. 33(1), pages 132-163, March.
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    Cited by:
    1. Marilyn Lucas & Matthew Wilson, 2008. "Tracking the relationship between environmental management and financial performance in the service industry," Service Business, Springer, vol. 2(3), pages 203-218, September.
    2. Elena Fraj-Andrés & Eva Martinez-Salinas & Jorge Matute-Vallejo, 2009. "A Multidimensional Approach to the Influence of Environmental Marketing and Orientation on the Firm’s Organizational Performance," Journal of Business Ethics, Springer, vol. 88(2), pages 263-286, August.
    3. Lai, Kee-hung & Wong, Christina W.Y., 2012. "Green logistics management and performance: Some empirical evidence from Chinese manufacturing exporters," Omega, Elsevier, vol. 40(3), pages 267-282.
    4. Julia Wolf, 2011. "Sustainable Supply Chain Management Integration: A Qualitative Analysis of the German Manufacturing Industry," Journal of Business Ethics, Springer, vol. 102(2), pages 221-235, August.
    5. White, Leroy & Lee, Gregory John, 2009. "Operational research and sustainable development: Tackling the social dimension," European Journal of Operational Research, Elsevier, vol. 193(3), pages 683-692, March.
    6. Supriti Mishra & Damodar Suar, 2010. "Does Corporate Social Responsibility Influence Firm Performance of Indian Companies?," Journal of Business Ethics, Springer, vol. 95(4), pages 571-601, September.
    7. Hazen, Benjamin T. & Overstreet, Robert E. & Jones-Farmer, L. Allison & Field, Hubert S., 2012. "The role of ambiguity tolerance in consumer perception of remanufactured products," International Journal of Production Economics, Elsevier, vol. 135(2), pages 781-790.
    8. Wu, Tienhua & Jim Wu, Yen-Chun & Chen, Yenming J. & Goh, Mark, 2014. "Aligning supply chain strategy with corporate environmental strategy: A contingency approach," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 220-229.
    9. Wong, Christina W.Y. & Lai, Kee-hung & Shang, Kuo-Chung & Lu, Chin-Shan & Leung, T.K.P., 2012. "Green operations and the moderating role of environmental management capability of suppliers on manufacturing firm performance," International Journal of Production Economics, Elsevier, vol. 140(1), pages 283-294.
    10. Gopalakrishnan, Kavitha & Yusuf, Yahaya Y. & Musa, Ahmed & Abubakar, Tijjani & Ambursa, Hafsat M., 2012. "Sustainable supply chain management: A case study of British Aerospace (BAe) Systems," International Journal of Production Economics, Elsevier, vol. 140(1), pages 193-203.
    11. Neubaum, Donald O. & Dibrell, Clay & Craig, Justin B., 2012. "Balancing natural environmental concerns of internal and external stakeholders in family and non-family businesses," Journal of Family Business Strategy, Elsevier, vol. 3(1), pages 28-37.
    12. Bloemhof-Ruwaard, J.M. & van Nunen, J.A.E.E., 2005. "Integration of Environmental Management and SCM," ERIM Report Series Research in Management ERS-2005-030-LIS, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus Uni.
    13. Zhu, Qinghua & Sarkis, Joseph & Cordeiro, James J. & Lai, Kee-Hung, 2008. "Firm-level correlates of emergent green supply chain management practices in the Chinese context," Omega, Elsevier, vol. 36(4), pages 577-591, August.
    14. Galeazzo, Ambra & Furlan, Andrea & Vinelli, Andrea, 2014. "Understanding environmental-operations integration: The case of pollution prevention projects," International Journal of Production Economics, Elsevier, vol. 153(C), pages 149-160.

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