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Environmental Performance and Corporate Governance: Evidence from Japan

Author

Listed:
  • Syeda Humayra Abedin

    (Department of Accounting and Finance, School of Business and Economics, North South University, Dhaka 1229, Bangladesh)

  • Silima Subha

    (Sobey School of Business, Saint Mary’s University, Halifax, NS B3H 3C2, Canada)

  • Mumtaheena Anwar

    (School of Accountancy, Queensland University of Technology, Brisbane, QLD 4000, Australia)

  • Md. Nurul Kabir

    (Department of Accounting and Finance, School of Business and Economics, North South University, Dhaka 1229, Bangladesh)

  • Yasean A. Tahat

    (Department of Accounting and MIS, College of Business Administration, Gulf University of Science and Technology, Mischref 32093, Kuwait)

  • Mohammed Hossain

    (Department of Accounting and MIS, College of Business Administration, Gulf University of Science and Technology, Mischref 32093, Kuwait)

Abstract

This study investigates the impact of corporate governance on corporate environmental performance among Japanese companies listed on the Tokyo Stock Exchange for the period 2006–2019. Using fixed-effects modelling for 4617 firm-year observations from 2006–2019, we demonstrate that board independence, board diversity, and the presence of environmental management committees are significantly associated with improved environmental performance. However, a large board reduces the environmental performance, and CEO duality does not appear to be a significant factor affecting a firm’s environmental performance. Additionally, we show a consistent result when we proxy environmental performance by total carbon emissions.

Suggested Citation

  • Syeda Humayra Abedin & Silima Subha & Mumtaheena Anwar & Md. Nurul Kabir & Yasean A. Tahat & Mohammed Hossain, 2023. "Environmental Performance and Corporate Governance: Evidence from Japan," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:4:p:3273-:d:1064628
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    References listed on IDEAS

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