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Article
Publication date: 19 June 2019

Haixu Bao, Haizhen (Jane) Wang and Chenglin Sun

The purpose of this paper is to explore how middle managers respond to the career challenges caused by environmental regulation. In particular, this paper examines whether…

Abstract

Purpose

The purpose of this paper is to explore how middle managers respond to the career challenges caused by environmental regulation. In particular, this paper examines whether environmental regulation strength is positively related to middle managers’ openness toward change, and whether middle managers’ openness toward change is positively related to proactive behavior. Furthermore, the moderating role of top managers’ bottom-line mentality in these two relationships is examined.

Design/methodology/approach

Cross-sectional survey research (n=155) was conducted. During a training program, data were collected from 155 middle managers from a listed company that manufactures primary products. With these data the authors examined the main relationship and also explored the moderating effect of top managers’ bottom-line mentality.

Findings

Analysis of the findings indicates that perceived environmental regulation strength influences middle managers’ openness toward change and consequently their proactive behavior. In addition, top managers’ bottom-line mentality moderates both the link between environmental regulation strength and openness toward change and the link between openness toward change and proactive behavior.

Originality/value

The findings of this study reveal how environmental regulation induces middle managers’ proactive behavior, and the influence of top managers’ mentality on how middle managers respond to environmental regulation both cognitively and behaviorally.

Details

Career Development International, vol. 24 no. 5
Type: Research Article
ISSN: 1362-0436

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Article
Publication date: 2 August 2013

J. Campbell Gemmell and E. Marian Scott

This paper aims to provide an overview of environmental regulation and recent trends and developments in this area, rooted in the practical regulatory implementation…

Abstract

Purpose

This paper aims to provide an overview of environmental regulation and recent trends and developments in this area, rooted in the practical regulatory implementation activities of EPAs worldwide and drawing connection to sustainability, environmental risks, economics and environmental justice.

Design/methodology/approach

The design and methodology in developing “Better (Environmental) Regulation” is addressed drawn on experiences from different regulatory systems. It addresses the linkages between environment, economy, regulation and sustainability and adopts and develops Sparrow's approach to a focus on tackling harms.

Findings

A range of challenges in policy and practice terms – e.g. economic growth versus sustainability – is described. Arguments against the political economy convention of reducing burdens are made and a spectrum of compliance for regulators is offered, leading to a proposed agenda to help deliver better regulation generally.

Research limitations/implications

A major challenge in arguing for an anti‐burden approach is the lack of a general ecosystem services approach and the dearth of valuation data to validate industry claims, demonstrate the costs of compliance and non‐environment and the value of protection.

Practical implications

The argument is presented that environmental regulation is of fundamental value not only to the environment per se but to tackling climate change and protecting society at large.

Originality/value

Hitherto there has been very little in the literature from a practitioner perspective, analysing and proposing improvements to environmental regulation in practice while preserving and securing environmental and sustainability policy objectives. This paper should support and encourage policy makers and implementers in improving practice.

Details

Sustainability Accounting, Management and Policy Journal, vol. 4 no. 2
Type: Research Article
ISSN: 2040-8021

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Article
Publication date: 15 June 2015

Han Lin, Saixing Zeng, Hanyang Ma and Hongquan Chen

The purpose of this paper is to develop a better understanding of the mechanisms by which symbolic commitment to self-regulation influences corporate environmental

Abstract

Purpose

The purpose of this paper is to develop a better understanding of the mechanisms by which symbolic commitment to self-regulation influences corporate environmental performance through the adoption of substantive actions.

Design/methodology/approach

Using a sample of Chinese listed private firms in manufacturing sectors, this paper empirically investigates whether and how corporate symbolic commitment to environmental self-regulation really improves the consequences of corporate activities with respect to environmental issues under the current Chinese context. A moderated mediation analysis is employed to test the hypotheses and examine the relationships proposed in the research framework.

Findings

The authors argue that making a commitment to environmental self-regulation could motivate firms to implement effective means of being green. The intriguing and robust results show that firms with higher ranking environmental commitment are more likely to use political connections to obtain resources (green subsidies), and then improve environmental performance.

Practical implications

The results of this study provide a snapshot of the mechanism between symbolic promises and real outcomes.

Originality/value

The authors theorize about and test both direct and indirect effects of commitment to self-regulation on real outcomes which provide empirical evidence for the incipient but growing understanding of self-regulation.

Details

Management Decision, vol. 53 no. 5
Type: Research Article
ISSN: 0025-1747

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Book part
Publication date: 17 December 2003

Petra Christmann and Glen Taylor

Globalization increases concerns about national governments’ ability to regulate firms’ environmental conduct because firms can avoid complying with stringent environmental

Abstract

Globalization increases concerns about national governments’ ability to regulate firms’ environmental conduct because firms can avoid complying with stringent environmental regulations by locating polluting operations in countries with low regulations. Business self-regulation is increasingly seen as a force that can counterbalance the decreasing power of governments in the global economy. Previous research identified external stakeholder pressures as an important determinant of business self-regulation. In this chapter we explore how firm capabilities affect the likelihood that firms self-regulate their environmental conduct by adopting ISO 14000 environmental standards. Our findings show that firm capabilities are indeed an important determinant of self-regulation in the global economy. We discuss implications of this finding for governments, other stakeholders, and business decision makers.

Details

Multinationals, Environment and Global Competition
Type: Book
ISBN: 978-1-84950-179-8

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Book part
Publication date: 13 November 2014

Maoliang Bu, Shuwen Zhai, Jie Zhang and Wenping Zheng

The central debate on pollution havens concerns whether the level of environmental regulation in developing countries influences foreign investment location decisions…

Abstract

The central debate on pollution havens concerns whether the level of environmental regulation in developing countries influences foreign investment location decisions. Most empirical studies are based on aggregate data, while micro-level evidence is relatively lacking in the literature. To fill this research gap, this paper tests for the existence of intracountry pollution havens in China by estimating the determinants of foreign investment flows based on a large firm-level panel dataset. Evidence from this study supports the existence of pollution havens within China in certain industries. However, the sensitivity of foreign investment to environmental regulation varies significantly across industries with different pollution characteristics. Furthermore, when the impact of government subsidies on foreign investment is accounted for, the results show that subsidies can compensate for pollution treatment costs in provinces with stricter environmental regulation.

Details

Globalization and the Environment of China
Type: Book
ISBN: 978-1-78441-179-4

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Article
Publication date: 10 September 2020

Abdurafiu Olaiya Noah, Pawan Adhikari, Babafemi O. Ogundele and Hassan Yazdifar

The purpose of this study is to investigate how state regulations become ineffective in holding corporations accountable for environmental degradation in an emerging…

Abstract

Purpose

The purpose of this study is to investigate how state regulations become ineffective in holding corporations accountable for environmental degradation in an emerging economy context, with a specific focus on oil and gas and cement industry in Nigeria.

Design/methodology/approach

The study draws on capture theory to bring out the factors that have rendered redundant the state intervention to make corporations accountable for their environmental activities. The research setting is the oil and gas and cement industry in Nigeria. Data for the study are derived from both documentary analysis and semi-structured interviews and analysed using a thematic technique.

Findings

The findings of the paper demonstrate a regulatory failure to hold corporations to account for their environmental activities. A lack of political will, outdated regulations and the manipulation of the regulators, all have played a part in preventing corporations from being accountable for their activities. In addition, the widespread elite corruption in the country has provided corporations with leeway to manipulate their environmental accountability practices. The study emphasises the need for continuous review of the regulations and efforts to reduce corruption in order to promote corporations' environmental accountability in Nigeria.

Research limitations/implications

The research is limited to Nigeria, oil and gas and cement industries. The theoretical lens can be used to address problem of capture of the regulations and institution in the country.

Practical implications

The practical implication is that it would enhance environmental regulations in Nigeria and emerging economies. It will also provide support from researchers emerging markets on the adoption of capture theory in future research.

Social implications

It will promote corporate best environmental practices in the country. It will reduce the issues surrounding environmental accountability practices and create awareness on environmental issues among the populace. It will create the impression that corporations will be held accountable for their environmental activities in the country and the need to have improved environmental regulations in the country.

Originality/value

The study adds to the debate on corporate environmental accountability practices engendering insights from the Nigerian oil and gas and cement industry. The paper demonstrates how companies in emerging economies can capture state regulations and how rendering environmental accountability becomes more of rhetoric than a reality with little impacts on the welfare of people and society.

Details

Journal of Accounting in Emerging Economies, vol. 11 no. 1
Type: Research Article
ISSN: 2042-1168

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Article
Publication date: 7 January 2019

Cong Peng and Peng Yuan

China intends to enhance its environmental regulations, which will affect many industries, because of the serious environmental pollution that the country faces. This…

Abstract

Purpose

China intends to enhance its environmental regulations, which will affect many industries, because of the serious environmental pollution that the country faces. This study aims to investigate the influence of environmental regulations on China’s provincial tourism competitiveness.

Design/methodology/approach

A vertical-and-horizontal scatter degree method is used to construct provincial-level tourism competitiveness and environmental regulation indices in China. Thereafter, a spatial econometric model is established to empirically assess the influence of environmental regulations on China’s provincial tourism competitiveness and investigate the spatial spillover effects of environmental regulations.

Findings

Environmental regulations and China’s provincial tourism competitiveness exhibit a “U”-shaped relationship, mainly because of the indirect effects of environmental regulations (spatial spillover effects). The environmental regulation indices of the majority of the provinces have crossed the turning point. Thus, improving environmental regulations has a positive effect on tourism competitiveness. This effect mainly originates from the positive spatial spillover effects.

Social implications

Tourism development plays an important role in promoting economic growth. However, increasing environmental pollution may constrain the development of tourism. Therefore, the possible influence of environmental regulations on tourism development should be understood.

Originality/value

At present, no research has explored the influence of environmental regulations on China’s tourism competitiveness. The current study considers the nonlinear effects of environmental regulations and investigates their spatial spillover effects.

Details

Nankai Business Review International, vol. 10 no. 3
Type: Research Article
ISSN: 2040-8749

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Article
Publication date: 16 November 2010

Ramakrishnan Ramanathan, Andrew Black, Prithwiraj Nath and Luc Muyldermans

The role of environmental regulations in inducing innovation and improving performance has been studied in the literature. However, there have been no studies in the UK…

Abstract

Purpose

The role of environmental regulations in inducing innovation and improving performance has been studied in the literature. However, there have been no studies in the UK using statistical data. This paper aims to study the links among regulations, innovation and performance in the UK using sector level data.

Design/methodology/approach

The paper used structural equation modelling to study the links among the three variables simultaneously.

Findings

The analysis indicates that environmental regulations in the UK are significant in improving economic performance of the industrial sectors. They also find that, in the short run, environmental regulations negatively influence innovation, and innovation negatively influences economic performance in these sectors.

Practical implications

The results have implications both for policy makers and firms in the UK industrial sector. For policy makers, environmental regulations have generally improved economic performance. For firms, the study shows that sufficient planning in meeting government's environment standards can help improve their economic performance.

Originality/value

This is the first study in the UK to explore simultaneously the links among the three variables: environmental regulations, innovation, and performance, using secondary sector level data.

Details

Management Decision, vol. 48 no. 10
Type: Research Article
ISSN: 0025-1747

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Article
Publication date: 30 October 2009

Even Fallan and Lars Fallan

The purpose of this paper is to explore the development of environmental disclosure during periods of voluntarism and during periods with changed statutory requirements…

Abstract

Purpose

The purpose of this paper is to explore the development of environmental disclosure during periods of voluntarism and during periods with changed statutory requirements. More specific, the question is how volume and content variety of environmental disclosure in financial statements are immediately affected by statutory regulations.

Design/methodology/approach

In order to compare the effects of such regulations with the development in environmental disclosure during periods without any changes in statutory requirements, a longitudinal study is conducted to test five specific hypotheses. A quasi‐experiment with pre‐ and post‐testing of disclosure volume and content variety is carried out to test the effects of the statutory changes.

Findings

The most important lesson from this paper is the significance of the voluntary approach to improve the variety of environmental disclosure. The present paper supports the claim of voluntarism that companies will meet the heterogeneous requirements of their stakeholders without any governmental regulations. No statutory regulations are needed to make the companies increase and adapt their environmental disclosure to the demand from their stakeholders and legitimate their existence towards society. The present paper has revealed that the regulation approach has a significant, immediate effect on mandatory environmental disclosure only, and that companies do not fully comply with such statutory regulations.

Research limitations/implications

There is no universal notion of voluntarism. Different countries and societies have different legal requirements and political cultures regarding voluntarism. That is, voluntary reporting in Norway is affected by the national statutory requirements and may be underpinned by a certain set of societal responsibilities that may or may not exist elsewhere. Further research is needed to see whether these findings are readily generalized or whether they should only be interpreted in light of local considerations.

Originality/value

This is the first comprehensive study of the development of environmental disclosure in Norwegian companies. A total of 822 financial statements and annual reports, during the period between 1987 and 2005, are analysed.

Details

Journal of Accounting & Organizational Change, vol. 5 no. 4
Type: Research Article
ISSN: 1832-5912

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Article
Publication date: 3 April 2017

Yuhong Cao and Jianxin You

This paper aims to explore the relationship between environmental regulation, technological innovation and manufacturing quality competitiveness to provide some references…

Abstract

Purpose

This paper aims to explore the relationship between environmental regulation, technological innovation and manufacturing quality competitiveness to provide some references for emission reduction activities and improvements in manufacturing quality competitiveness to achieve environmental protection targets and economic development as part of a win–win situation.

Design/methodology/approach

Based on the structure-behavior-performance paradigm and Grabowski’s research, a new empirical model was provided. The software, EViews 6.0, was used for econometric analysis. Regression analysis was adopted to explore the three indicators’ relationships.

Findings

First, environmental regulation can promote technological innovation effectively. Second, compared with wasted gas and wasted solids, investment in wasted water control promotes Chinese technological innovation most. Third, the impact of research and development investment, induced by environmental regulation, on manufacturing quality competitiveness is greater than that induced by non-environmental regulation. Fourth, the impact of lagged two-phase environmental regulation on manufacturing quality competitiveness is similar to that of lagged one-phase regulation.

Practical implications

The issue that Chinese manufacturing is facing is how to manage the trade-off between pollution control investment and improved quality competitiveness. This study enables managers to understand how to better implement environmental regulation initiatives while achieving environmental protection and quality competitiveness as part of a win–win situation.

Originality/value

This paper analyzes the relationships between environmental regulation, technological innovation and manufacturing quality competitiveness for the first time and provides the basic argument for integrating Chinese environmental regulation with quality competitiveness to reveal the uniqueness of the circumstances determining China’s economic development.

Details

Chinese Management Studies, vol. 11 no. 1
Type: Research Article
ISSN: 1750-614X

Keywords

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