Managerial discretion and corporate commitment to the natural environment

This article considers possible associations between executive discretion and corporate environmental commitment, developing competing hypotheses from two alternative approaches: the “managerial” view and the “inertial” view. Results from a sample of 105 firms showed that their environmental commitm...

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Bibliographic Details
Published in:Journal of business research 2004-09, Vol.57 (9), p.964-975
Main Authors: Aragón-Correa, Juan Alberto, Matı́as-Reche, Fernando, Senise-Barrio, Marı́a Eugenia
Format: Article
Language:English
Subjects:
Business
Configurations
Enterprises
Environment
Environmental commitment
Environmental management
Executives
Firm theory
Hypotheses
Inertia view
Management techniques
Managerial discretion
Natural environment
Studies
Upper echelons
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Summary:This article considers possible associations between executive discretion and corporate environmental commitment, developing competing hypotheses from two alternative approaches: the “managerial” view and the “inertial” view. Results from a sample of 105 firms showed that their environmental commitment associates with specific executives being responsible for environmental matters. In addition, superior environmental commitment appeared to be linked with these executives having high levels of managerial discretion as members of their firms' dominant coalitions. Our research supports the central role of executives in order to improve corporate environmental commitment.
ISSN:0148-2963
1873-7978
DOI:10.1016/S0148-2963(02)00500-3