IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v5y2013i6p2664-2692d26534.html
   My bibliography  Save this article

Motivations for Proactive Environmental Management

Author

Listed:
  • Madhu Khanna

    () (Department of Agricultural and Consumer Economics, University of Illinois, 1301 W, Gregory Drive Urbana, IL 61801, USA)

  • Cameron Speir

    () (Cameron Speir, NOAA Fisheries, Southwest Fisheries Science Center, Fisheries Ecology Division, 110 Shaffer Road, Santa Cruz, CA 95060, USA)

Abstract

This paper examines the extent to which there are differential incentives that motivate the adoption of environmental management practices (EMPs) and pollution prevention (P2) methods. We analyze the role of internal drivers such as managerial attitudes towards the environment and external pressures using both observed characteristics of facilities and perceived pressures. We estimate a structural equation model using survey data from facilities in Oregon that involves simultaneous estimation of the latent dependent and explanatory variables and the two regression equations explaining adoption behavior of EMPs and P2. We find that perceived regulatory pressures and managerial attitudes have a statistically significant impact on the adoption of both EMPs and P2 practices, while market pressures were significant in influencing the adoption of EMPs but not P2 methods. Furthermore; we find that both external regulatory pressures and internal managerial attitudes had a larger impact in motivating adoption by facilities that did not view environmental issues as being a significant concern as compared to facilities that did.

Suggested Citation

  • Madhu Khanna & Cameron Speir, 2013. "Motivations for Proactive Environmental Management," Sustainability, MDPI, Open Access Journal, vol. 5(6), pages 1-29, June.
  • Handle: RePEc:gam:jsusta:v:5:y:2013:i:6:p:2664-2692:d:26534
    as

    Download full text from publisher

    File URL: http://www.mdpi.com/2071-1050/5/6/2664/pdf
    Download Restriction: no

    File URL: http://www.mdpi.com/2071-1050/5/6/2664/
    Download Restriction: no

    References listed on IDEAS

    as
    1. Madhu Khanna & Surender Kumar, 2011. "Corporate Environmental Management and Environmental Efficiency," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 50(2), pages 227-242, October.
    2. 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.
    3. Sarkis, Joseph & Zhu, Qinghua & Lai, Kee-hung, 2011. "An organizational theoretic review of green supply chain management literature," International Journal of Production Economics, Elsevier, vol. 130(1), pages 1-15, March.
    4. Khanna, Madhu, 2001. " Non-mandatory Approaches to Environmental Protection," Journal of Economic Surveys, Wiley Blackwell, vol. 15(3), pages 291-324, July.
    5. 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.
    6. Madhu Khanna & George Deltas & Donna Harrington, 2009. "Adoption of Pollution Prevention Techniques: The Role of Management Systems and Regulatory Pressures," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 44(1), pages 85-106, September.
    7. 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.
    8. Donna Ramirez Harrington & Madhu Khanna & George Deltas, 2008. "Striving to be green: the adoption of total quality environmental management," Applied Economics, Taylor & Francis Journals, vol. 40(23), pages 2995-3007.
    9. 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.
    10. Deltas, George & Harrington, Donna Ramirez & Khanna, Madhu, 2006. "Green Management And The Nature Of Technical Innovation," Annual Meeting, May 25-28, 2006, Montreal, Quebec 34185, Canadian Agricultural Economics Society.
    11. Cropper, Maureen L & Oates, Wallace E, 1992. "Environmental Economics: A Survey," Journal of Economic Literature, American Economic Association, vol. 30(2), pages 675-740, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Yongrok Choi & Jingwen Jin, 2015. "Is the Web Marketing Mix Sustainable in China? The Mediation Effect of Dynamic Trust," Sustainability, MDPI, Open Access Journal, vol. 7(10), pages 1-21, October.
    2. Hongjun Dai & Tao Sun & Kun Zhang & Wen Guo, 2015. "Research on Rural Nonpoint Source Pollution in the Process of Urban-Rural Integration in the Economically-Developed Area in China Based on the Improved STIRPAT Model," Sustainability, MDPI, Open Access Journal, vol. 7(1), pages 1-12, January.
    3. Llorenç Bagur-Femenias & Dolors Celma & Josep Patau, 2016. "The Adoption of Environmental Practices in Small Hotels. Voluntary or Mandatory? An Empirical Approach," Sustainability, MDPI, Open Access Journal, vol. 8(7), pages 1-14, July.

    More about this item

    Keywords

    environmental management practices; pollution prevention; structural equation modeling; factor analysis;

    JEL classification:

    • Q - Agricultural and Natural Resource Economics; Environmental and Ecological Economics
    • Q0 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General
    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • 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
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:5:y:2013:i:6:p:2664-2692:d:26534. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (XML Conversion Team). General contact details of provider: http://www.mdpi.com/ .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.