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The impact of symbolic and substantive actions on environmental legitimacy

Author

Listed:
  • Berrone, Pascual

    (IESE Business School)

  • Gelabert, Liliana

    (Universidad Carlos III)

  • Fosfuri, Andrea

    (Universidad Carlos III)

Abstract

Drawing on institutional theory and insights from stakeholder theory and impression management, we empirically analyze the impact of both environmental symbolic polices (participation in voluntary environmental programs, green trademarks, environmental-dedicated board committees, environmental pay policies and community communication) and substantive actions (environmental patents and pollution prevention practices) on environmental legitimacy. We show that 1) symbolic actions have a weaker positive effect on legitimacy than substantive actions; 2) that the impact of symbolic actions is greater when they are combined with substantive actions, and 3) that this impact is only short-term while substantive actions have both short- and long-term effects.

Suggested Citation

  • Berrone, Pascual & Gelabert, Liliana & Fosfuri, Andrea, 2009. "The impact of symbolic and substantive actions on environmental legitimacy," IESE Research Papers D/778, IESE Business School.
    • Handle: RePEc:ebg:iesewp:d-0778
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    References listed on IDEAS

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    17. Richard M. Crossley & Mohamed H. Elmagrhi & Collins G. Ntim, 2021. "Sustainability and legitimacy theory: The case of sustainable social and environmental practices of small and medium‐sized enterprises," Business Strategy and the Environment, Wiley Blackwell, vol. 30(8), pages 3740-3762, December.
    18. Margarida Rodrigues & Mário Franco, 2020. "Measuring the urban sustainable development in cities through a Composite Index: The case of Portugal," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(4), pages 507-520, July.
    19. Itziar Castelló & Michael Etter & Finn Årup Nielsen, 2016. "Strategies of Legitimacy Through Social Media: The Networked Strategy," Journal of Management Studies, Wiley Blackwell, vol. 53(3), pages 402-432, May.
    20. Ren, Shenggang & He, Duojun & Yan, Ji & Zeng, Huixiang & Tan, Justin, 2022. "Environmental labeling certification and corporate environmental innovation: The moderating role of corporate ownership and local government intervention," Journal of Business Research, Elsevier, vol. 140(C), pages 556-571.
    21. Luis Perez-Batres & Jonathan Doh & Van Miller & Michael Pisani, 2012. "Stakeholder Pressures as Determinants of CSR Strategic Choice: Why do Firms Choose Symbolic Versus Substantive Self-Regulatory Codes of Conduct?," Journal of Business Ethics, Springer, vol. 110(2), pages 157-172, October.
    22. Truong, Yann & Berrone, Pascual, 2022. "Can environmental innovation be a conventional source of higher market valuation?," Journal of Business Research, Elsevier, vol. 142(C), pages 113-121.
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    24. Obiamaka Adaeze Nwobu & Collins Ngwakwe & Akintola Owolabi & Kingsley Adeyemo, 2021. "An Assessment of Sustainability Disclosures in Oil and Gas Listed Companies in Nigeria," International Journal of Energy Economics and Policy, Econjournals, vol. 11(4), pages 352-361.

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    Keywords

    environmental management; institutional theory; legitimacy; stakeholder management; symbolic management;
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