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What makes environmental performance differ between firms? Empirical evidence from the Spanish tile industry

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  • Andr�s J Picazo-Tadeo
  • Andr�s Garc�a-Reche

Abstract

Environmental performance is a matter of major concern both for policy makers and for firm managers. In this paper we interpret firms’ environmental performance as their ability to reduce polluting wastes while maintaining observed levels of inputs and desirable outputs. Making use of data envelopment analysis techniques, we compute waste-specific environmental efficiency measures for a sample of ceramic-tile producers located in the eastern Spanish region of Valencia. Our results show that there exists substantial room for improving environmental performance, which would have highly beneficial consequences for the local environment. In a second stage of analysis, we find that affiliation to the regional Technological Institute, ITC, which aims to promote technological innovation within the ceramic-tile industry, improves tile firms’ environmental efficiency. In addition, firms located in the local industrial district of the Plana Baixa enjoy what we have broadly defined as ‘environmental spillovers’, which enhance their environmental performance. Also, ceramic-tile firms which outsource the management of wastes show better environmental performance.

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Bibliographic Info

Article provided by Pion Ltd, London in its journal Environment and Planning A.

Volume (Year): 39 (2007)
Issue (Month): 9 (September)
Pages: 2232-2247

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Handle: RePEc:pio:envira:v:39:y:2007:i:9:p:2232-2247

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Web page: http://www.pion.co.uk

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Cited by:
  1. Camarero, Mariam & Picazo-Tadeo, Andrés J. & Tamarit, Cecilio, 2008. "Is the environmental performance of industrialized countries converging? A 'SURE' approach to testing for convergence," Ecological Economics, Elsevier, vol. 66(4), pages 653-661, July.
  2. Jaraite, Jurate & Di Maria, Corrado, 2011. "Efficiency, Productivity and Environmental Policy: A Case Study of Power Generation in the EU," CERE Working Papers 2011:3, CERE - the Center for Environmental and Resource Economics.
  3. Andrés J. Picazo-Tadeo & José A. Gómez-Limón & Ernest Reig-Martínez, 2010. "Assessing farming eco-efficiency: A Data Envelopment Analysis approach," Working Papers 1004, Department of Applied Economics II, Universidad de Valencia.
  4. Färe, Rolf & Grosskopf, Shawna & Lundgren, Tommy & Marklund, Per-Olov & Zhou, Wenchao, 2012. "Pollution Generating Technologies and Environmental Efficiency," CERE Working Papers 2012:16, CERE - the Center for Environmental and Resource Economics.
  5. Halkos, George & Tzeremes, Nickolaos, 2011. "A conditional full frontier modelling for analyzing environmental efficiency and economic growth," MPRA Paper 32839, University Library of Munich, Germany.
  6. López-Estornell,Manuel & Barberá-Tomás,David & García-Reche,Andrés & Mas-Verdú,Francisco, 2012. "Evolution of innovation policy in Emilia-Romagna and Valencia: Similar reality, similar results?," INGENIO (CSIC-UPV) Working Paper Series 201210, INGENIO (CSIC-UPV).
  7. Alessandro Manello & Matteo Ferraris, 2013. "Eco-Efficiency in the Italian Waste Management sector," CERIS Working Paper 201312, Institute for Economic Research on Firms and Growth - Moncalieri (TO).
  8. Halkos, George E. & Tzeremes, Nickolaos G., 2013. "A conditional directional distance function approach for measuring regional environmental efficiency: Evidence from UK regions," European Journal of Operational Research, Elsevier, vol. 227(1), pages 182-189.
  9. Ernest Reig-Martínez & José A. Gómez-Limón & Andrés J. Picazo-Tadeo, 2010. "Ranking farms with a composite indicator of sustainability," Working Papers 1005, Department of Applied Economics II, Universidad de Valencia.
  10. Halkos, George & Tzeremes, Nickolaos, 2011. "Kuznets curve and environmental performance: evidence from China," MPRA Paper 34312, University Library of Munich, Germany.

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