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Impact of Environmental Commitment, Environmental Management Accounting and Green Innovation on Firm Performance: An Empirical Investigation

Author

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  • Sudawan Somjai

    (Graduate School, Suan Sunandha Rajabhat University, Bangkok, Thailand)

  • Ratchada Fongtanakit

    (Graduate School, Suan Sunandha Rajabhat University, Bangkok, Thailand)

  • Khomsan Laosillapacharoen

    (Graduate School, Suan Sunandha Rajabhat University, Bangkok, Thailand)

Abstract

The present study aims to analyze the influence of environmental uncertainty on a firm s environmental management accounting. Moreover, the current examination is also motivated to empirically investigate the relationship of environmental commitment, environmental management accounting and green innovation on firm performance. The current study is first in studying the joint impact of the studied variables in analyzing SMEs performance appraisals. In doing so, we applied PLS_SEM and the results of this methodology confirm that all selected variables have a positive and significant impact on environmental performance in except environmental uncertainty. Moreover, the outcomes of the PLS-SEM confirm that environmental commitment has a positive and significant impact on firm performance of multinational firms of Indonesia. Moreover, the results further suggested that environmental uncertainty have a negative and significant impact on firm performance. The results of PLS-SEM also confirm that green innovation and environmental management accounting have significantly and positively impact on firm performance. Technical speaking, the results confirm that green innovation and environmental commitment are the key contributors to enhance the firm performance of Indonesian multinational firms.

Suggested Citation

  • Sudawan Somjai & Ratchada Fongtanakit & Khomsan Laosillapacharoen, 2020. "Impact of Environmental Commitment, Environmental Management Accounting and Green Innovation on Firm Performance: An Empirical Investigation," International Journal of Energy Economics and Policy, Econjournals, vol. 10(3), pages 204-210.
    • Handle: RePEc:eco:journ2:2020-03-25
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    References listed on IDEAS

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    More about this item

    Keywords

    Environmental commitment; Green innovation; Firm performance; Indonesia.;
    All these keywords.

    JEL classification:

    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance

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