Going beyond environmental regulations—The influence of firm size on the effect of green practices on corporate financial performance

Despite the various environmental regulations to address the negative effect of construction activities on the environment, the construction sector is still slow to implement green practices (GPs). To encourage construction firms to implement GPs, these firms should be convinced that GPs are a finan...

Full description

Saved in:
Bibliographic Details
Published in:Corporate social-responsibility and environmental management 2020-01, Vol.27 (1), p.32-42
Main Authors: Yusof, Nor'Aini, Tabassi, Amin Akhavan, Esa, Muneera
Format: Article
Language:English
Subjects:
Component and supplier management
Construction companies
construction firm
Construction industry
corporate financial performance
Corporate law
environmental regulation
Environmental regulations
firm size
green practice
Multivariate statistical analysis
Project management
Regulations
Small & medium sized enterprises-SME
Small business
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Despite the various environmental regulations to address the negative effect of construction activities on the environment, the construction sector is still slow to implement green practices (GPs). To encourage construction firms to implement GPs, these firms should be convinced that GPs are a financially viable endeavour. This paper aimed to analyse the influence of GPs on corporate financial performance (CFP) and investigate whether firm size influences that effect. A survey was employed to gather information from Malaysian construction firms, and the data were analysed using partial least squares structural equation modelling. The findings indicate that green supplier management, green subcontractor management, and green project management have significant effects on CFP and that large firms with high levels of green business practices and green project management attained higher CFP than small and medium enterprises. Policymakers and managers should take a flexible approach to boost GPs in the construction industry.
ISSN:1535-3958
1535-3966
DOI:10.1002/csr.1771