Business Strategy and The Environment最新文献

Firms worldwide are strengthening environmental, social and governance (ESG) factors, indicating a bidirectional association between financial and non-financial performance. Understanding the ambiguity around the predictors of the firm's ESG performance, we attempt to reappraise the ESG- firm performance (FP) linkage using the firms indexed in the NIFTY 100 ESG index spanning 2014 to 2023. Our findings highlight that market forces significantly influence firms' ESG performance; however, in emerging economies, the direct relationship between ESG and FP appears to be insignificant. Surprisingly, corporate governance positively moderates the ESG–FP linkage, strengthening this association. Among the four proxies for market forces, the Volatility Index (VIX) shows a significant impact, where higher market volatility is associated with improved ESG performance, and lower volatility corresponds to weaker ESG performance. Conversely, the World Uncertainty Index (WUI) exhibits a negative significance, suggesting that higher WUI adversely affects the ESG performance of firms in emerging economies, while lower WUI has a favourable effect. Green bonds have a positive and significant effect on overall ESG performance and on social and governance dimensions; however, their influence on environmental performance is not significant, raising concerns about potential greenwashing trends. Strikingly, our findings indicate that emerging economy firms do not consider systematic risk, suggesting that investors' risk perceptions remain unchanged regardless of whether firms over- or under-invest in ESG initiatives. Our research calls for greater attention to policymakers by providing accurate reasonings for the ESG performance of emerging economy firms.

In response to growing climate change debate and sustainability concerns, business organizations must adopt relevant sustainable strategies aligning with the United Nations Sustainable Development Goals (UN-SDGs). Extant research examines integration of sustainability in banking and finance, but demand-side mechanisms influencing sustainable banking remain underresearched. With a mixed-method approach, we analyse how consumers' adoption of sustainable banking services can be augmented in order to contribute to the SDG attainment. We develop a model that integrates theory of planned behaviour (TPB), value-belief-norm, and goal framing theory. Using focus group discussions and structural equation modelling, the results indicate that TPB variables, environment-specific factors and altruistic values significantly influence adoption behaviour, with interesting mediating effects. We highlight the moderating role of biospheric, altruistic and hedonic values on linkage between intentions and behaviour. The study provides a comprehensive framework to assess demand-side perspective of sustainable banking and offers insights to managers and policymakers on strategies for promoting these services for sustainable development.

Krstic, M., Agnusdei, L., Palmi, P., & Baleˇzentis, T. (2024). Enabling Organizations to Strategically Manage Risks in Circular Supply Chains. Business Strategy and the Environment, 33(6), 5996–6009. https://doi.org/10.1002/bse.3793.

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Open access publishing facilitated by Universita del Salento, as part of the Wiley - CRUI-CARE agreement.

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This study explores the role of perceived authenticity in shaping the persuasiveness of sponsored content by green influencers. We examine how variations in the importance of six authenticity component judgments—accuracy, connectedness, integrity, legitimacy, originality, and proficiency—influence consumers' intentions to change their behavior following green influencers' advice in the case of sponsored and nonsponsored content. To this end, we conducted an experiment with 486 active social media users who follow at least one green influencer. Results indicate that, although sponsored content typically diminishes the intent to follow green influencer advice, this effect is contingent upon the relative importance attributed to the authenticity components by consumers. Further, cluster analysis identified distinct consumer segments that vary in their response to sponsored content based on their perceptions of authenticity. We offer guidance to green influencers and companies on how to authentically tailor their sustainable collaborations.

This study examines the environmental risk management practices of US firms operating in environmentally sensitive industries. Using two proxy variables for ex ante environmental policy risk—firm-level toxic chemical emissions and climate-related keywords in annual financial statements—we demonstrate that firms facing high ex ante environmental policy risk tend to increase the frequency and length of their voluntary sustainability reports. Additionally, we find that proactive sustainability disclosures significantly mitigate firm-level systematic risk (beta) and associated litigation risk. This risk reduction is more pronounced among firms with substantial green innovations and stronger corporate governance practices. Overall, this study highlights the causes and consequences of voluntary sustainability reports, focusing on how environmentally sensitive firms manage environmental risk through these publications.

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