| Title | Corporate environmental responsibility, financial performance and environmental outcomes in India: a review |
|---|---|
| ID_Doc | 17389 |
| Authors | Mishra, T; Datta, P; Behera, B |
| Title | Corporate environmental responsibility, financial performance and environmental outcomes in India: a review |
| Year | 2024 |
| Published | Discover Sustainability, 5, 1 |
| Abstract | Adopting green and sustainable production practices is crucial for addressing growing environmental challenges and achieving economic and social benefits in developing countries like India. However, such approaches often involve costs, necessitating a re-examination of the relationship between corporate environmental responsibility (CER) and corporate financial performance (CFP). The existing studies on CER in Indian firms and the associated environmental regulations lack establishing an empirical relationship between CER and CFP. Furthermore, the global literature similarly lacks a decisive consensus, often exhibiting indeterminate outcomes concerning the positive impact of CER on CFP. This study systematically reviews literature published from 2000 to 2024 to examine the influence of CER on the CFP of Indian firms, focusing on the following research questions: (i) What is the relationship between CER and CFP of Indian firms? (ii) Are Indian firms prioritizing CER likely to achieve better CFP? (iii) Which specific dimensions of CFP of Indian firms are influenced by CER? Three scholarly search engines were used to identify studies based on a well-formulated search string, with the SLR guided by PRISMA following document search, article screening, and data extraction processes. The results indicate a positive relationship between CER and CFP, with significant improvements in environmental outcomes. Returns on investment emerges as a common indicator of CFP, showing a significant positive impact from CER practices. While studies have used a wide range of CER indicators, the reduction and recycling of waste are found to play a prominent role in improving CFP. This finding has important policy implications for sustainable development and the environment, as the government of India encourages firms to adopt waste-to-wealth practices. Policymakers should particularly focus on small and medium-sized firms that are either reluctant to adopt environmental measures or fear reduced financial performance due to a lack of financial support. |
| https://doi.org/10.1007/s43621-024-00421-0 |
Similar Articles
| ID | Score | Article |
|---|---|---|
77286
|
Bodhanwala, S; Bodhanwala, R Does corporate sustainability impact firm profitability? Evidence from India(2018)Management Decision, 56, 8 | |
| 66289
|
Jyoti, G; Khanna, A How does sustainability performance affect firms' market performance? An empirical investigation in the Indian context(2024)Environment Development And Sustainability, 26, 8 | |
| 69096
|
Hasan, I; Singh, S; Kashiramka, S Does corporate social responsibility disclosure impact firm performance? An industry-wise analysis of Indian firms(2022)Environment Development And Sustainability, 24, 8 | |
| 74673
|
Ma, C; Chishti, MF; Durrani, MK; Bashir, R; Safdar, S; Hussain, RT The Corporate Social Responsibility and Its Impact on Financial Performance: A Case of Developing Countries(2023)Sustainability, 15, 4 | |
| 77255
|
Dash, A; Mohanty, SK The mediating effect of a firm's corporate reputation and sustainability practices in translating CSR into competitive performance in Indian ESG companies(2023)Society And Business Review, 18, 4 | |
| 34569
|
Ye, JM; Dela, E The Effect of Green Investment and Green Financing on Sustainable Business Performance of Foreign Chemical Industries Operating in Indonesia: The Mediating Role of Corporate Social Responsibility(2023)Sustainability, 15, 14 | |
| 22813
|
Chen, SJ; Lakkanawanit, P; Suttipun, M; Xue, H Environmental regulation and corporate performance: The effects of green financial management and top management's environmental awareness(2023)Cogent Business & Management, 10.0, 1 | |
| 73625
|
Gupta, AK; Gupta, N Effect of corporate environmental sustainability on dimensions of firm performance - Towards sustainable development: Evidence from India(2020) | |
| 69755
|
Goel, P Rising standards of sustainability reporting in India A study of impact of reforms in disclosure norms on corporate performance(2021)Journal Of Indian Business Research, 13.0, 1 | |
| 30746
|
Tang, YJ; Yue, SF; Ma, WC; Zhang, LL How do environmental protection expenditure and green technology innovation affect synergistically the financial performance of heavy polluting enterprises? Evidence from China(2022)Environmental Science And Pollution Research, 29, 59 |