The Choice of Management Practices: What Determines the Design of an Environmental Management System?
AbstractThis paper examines whether differential incentives exist in the adoption of environmental management practices (EMPs) with varying features that often make up the design of environmental management systems implemented by firms. Estimation of multivariate probit models reveals that greater consumer, regulatory and investor pressures are positively related to the adoption of EMPs that directly enhance a firm's green image. In addition, potential liability costs are positively associated with adopting broad-based EMPs while regulatory pressures are not generally found to have any significant relationship with environmental efforts that improve and address compliance issues. Results also reveal that competitive pressures arising from environmental efforts by rival firms creates stronger incentives for environmental self-regulation than any pressures arising from potential regulatory threats at the industry level.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2005 Annual meeting, July 24-27, Providence, RI with number 19503.
Date of creation: 2005
Date of revision:
Contact details of provider:
Postal: 555 East Wells Street, Suite 1100, Milwaukee, Wisconsin 53202
Phone: (414) 918-3190
Fax: (414) 276-3349
Web page: http://www.aaea.org
More information through EDIRC
environmental management system; environmental management practice; environmental self-regulation; voluntary adoption; multivariate probit; Environmental Economics and Policy; Q5; L5 ; L1 ; Q28;
Find related papers by JEL classification:
- Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
- L5 - Industrial Organization - - Regulation and Industrial Policy
- L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
- Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- John W. Maxwell & Thomas P Lyon & Steven C.. Hackett, 1995.
"Self-Regulation and Social Welfare: The Political Economy of Corporate Environmentalism,"
University of Chicago - George G. Stigler Center for Study of Economy and State
122, Chicago - Center for Study of Economy and State.
- Maxwell, John W & Lyon, Thomas P & Hackett, Steven C, 2000. "Self-Regulation and Social Welfare: The Political Economy of Corporate Environmentalism," Journal of Law and Economics, University of Chicago Press, vol. 43(2), pages 583-617, October.
- Kimhi, Ayal, 1999. "On the Tradeoff between Computational Simplicity and Asymptotic Properties in Multivariate Probit," Computational Economics, Society for Computational Economics, vol. 13(1), pages 93-101, February.
- Sinclair-Desgagne, Bernard & Gozlan, Estelle, 2003.
"A theory of environmental risk disclosure,"
Journal of Environmental Economics and Management,
Elsevier, vol. 45(2, Supple), pages 377-393, March.
- Khanna, Madhu & Damon, Lisa A., 1999. "EPA's Voluntary 33/50 Program: Impact on Toxic Releases and Economic Performance of Firms," Journal of Environmental Economics and Management, Elsevier, vol. 37(1), pages 1-25, January.
- Stephen J. Decanio & William E. Watkins, 1998. "Investment In Energy Efficiency: Do The Characteristics Of Firms Matter?," The Review of Economics and Statistics, MIT Press, vol. 80(1), pages 95-107, February.
- Jeffrey H. Dorfman, 1996. "Modeling Multiple Adoption Decisions in a Joint Framework," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(3), pages 547-557.
- Seema Arora & Timothy N. Cason, 1996. "Why Do Firms Volunteer to Exceed Environmental Regulations? Understanding Participation in EPA's 33/50 Program," Land Economics, University of Wisconsin Press, vol. 72(4), pages 413-432.
- Segerson, Kathleen & Miceli, Thomas J., 1998. "Voluntary Environmental Agreements: Good or Bad News for Environmental Protection?," Journal of Environmental Economics and Management, Elsevier, vol. 36(2), pages 109-130, September.
- Nakamura, Masao & Takahashi, Takuya & Vertinsky, Ilan, 2001. "Why Japanese Firms Choose to Certify: A Study of Managerial Responses to Environmental Issues," Journal of Environmental Economics and Management, Elsevier, vol. 42(1), pages 23-52, July.
- Gillespie, Jeffrey M. & Davis, Christopher G. & Rahelizatovo, Noro C., 2004. "Factors Influencing the Adoption of Breeding Technologies in U.S. Hog Production," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 36(01), April.
- Anton, Wilma Rose Q. & Deltas, George & Khanna, Madhu, 2002.
"Incentives for Environmental Self-Regulation and Implications for Environmental Performance,"
02-0120, University of Illinois at Urbana-Champaign, College of Business.
- Anton, W.R.Q.Wilma Rose Q. & Deltas, George & Khanna, Madhu, 2004. "Incentives for environmental self-regulation and implications for environmental performance," Journal of Environmental Economics and Management, Elsevier, vol. 48(1), pages 632-654, July.
- Henriques, Irene & Sadorsky, Perry, 1996. "The Determinants of an Environmentally Responsive Firm: An Empirical Approach," Journal of Environmental Economics and Management, Elsevier, vol. 30(3), pages 381-395, May.
- J Videras & A Alberini, 2000. "The appeal of voluntary environmental programs: which firms participate and why?," Contemporary Economic Policy, Western Economic Association International, vol. 18(4), pages 449-460, October.
- Lutz, Stefan & Lyon, Thomas P & Maxwell, John W, 2000. "Quality Leadership When Regulatory Standards Are Forthcoming," Journal of Industrial Economics, Wiley Blackwell, vol. 48(3), pages 331-48, September.
- Dasgupta, Susmita & Hettige, Hemamala & Wheeler, David, 2000. "What Improves Environmental Compliance? Evidence from Mexican Industry," Journal of Environmental Economics and Management, Elsevier, vol. 39(1), pages 39-66, January.
- Arora Seema & Cason Timothy N., 1995. "An Experiment in Voluntary Environmental Regulation: Participation in EPA's 33/50 Program," Journal of Environmental Economics and Management, Elsevier, vol. 28(3), pages 271-286, May.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search).
If references are entirely missing, you can add them using this form.