Sustainable environmental strategy, firm competitiveness, and financial performance: Evidence from the mining industry

2022 ◽  
Vol 75 ◽  
pp. 102515
Author(s):  
Samuel Adomako ◽  
Mai Dong Tran
2022 ◽  
Vol 10 (1) ◽  
pp. 29-36 ◽  
Author(s):  
Quang-Huy Ngo

Although prior studies draw upon natural resource-based views, environmental strategy permits competitive advantages, and as such, gains financial performance. However, empirical results are mixed. To shed light on this issue, this study proposes that environmental performance mediates the link between environmental strategy and financial performance. Data were collected from 175 third-party logistic providers currently operating in Vietnam to test the hypotheses. Partial least square structural equation modeling was borrowed to test the data. The results reveal environmental performance partially mediates the link between environmental strategy and financial performance. By considering the mediating effect, this study contributes to the literature by addressing the intervening mechanism of environmental performance on the inconclusive relationship between environmental strategy and financial performance. Besides, this study also extends prior studies by borrowing a concept of environmental strategy, which captures the extent of organizations pursuing this strategy, to explain how and why pursuing this strategy permits environmental and financial performance.


Author(s):  
Lastri Meito Nababan ◽  
Dede Abdul Hasyir

As a result of their activities, companies are demanded by stakeholders to perform in accordance with the concept of triple bottom line: financial aspects (profit), environment (planet), and social (people). This study aims to examine the effect of environmental costs and environmental performance on the company's financial performance. Environmental costs data are retrieved from the company's sustainability reports, environmental performance is then measured by PROPER ratings, and financial performance is proxied by return on assets (ROA). In addition, company size is employed as control variable. Through purposive sampling method, seven companies were selected in the mining industry sector in the period 2012-2016 as samples. This study uses multiple linear regression analysis to test the hypothesis. The results of the research both simultaneously and partially show that environmental costs and environmental performance have a significant influence on financial performance. It can be concluded that the greater the environmental cost and the better the environmental performance (PROPER) can increase the financial performance (return on assets) of the company. Firm size as a control variable is significantly associated with environmental costs and environmental performance. The hypothesis formulated in this study was accepted and has been supported by statistical research results.


2021 ◽  
Vol 12 (3) ◽  
pp. 1377-1783
Author(s):  
Andi Auliya Ramadhany Et.al

Global warming is currently an issue that is widely discussed of both the accounting literature and others. The topic of environmental performance is gaining increasing attention from academics and politics when it is associated with each country’s policies regarding environmental damage. Purpose: This article to investigate both the direct and indirect the effect of green innovation and firm value on financial performance as mediating variable Design/methodology/approach: The samples in this study are applied using purposive sampling ad obtained total sample of PROPER participating companies listed in Indonesia Stock Exchange during the year of 2012-2018. The data used in this study are secondary data obtained from annual report. Companies are listed on the Indonesia Stock Exchange in mining industry in 2012-2018. The variable green innovation was measured by using PROPER, the financial performance was measured by ROA and the firm value were measured by Tobin’s Q. Data processing uses SEM-PLS with WarpPLS 6.0 with the consideration that SEM-PLS is a reliable tool for testing predictive models. Several studies using capital market data in Indonesia have found data with abnormal distribution, so data using PLS is appropriate. Result of the study: The authors find that the green innovation has a positive effect on the firm value and financial performance full mediate the effect green innovation and firm value. Research limitations: this article only examines green innovation using the PROPER measure while the green innovation measure is thought to be related to company value such as ISO 14001, content analysis is not discussed at all in this article and the research sample is limited to mining companies. This scope may not be able to describe the overall conditions in Indonesia. Originality/value: This study comprehensively examines both direct and indirect effect of green innovation with financial performance and firm value, which is rarely examined in extant studies.


2018 ◽  
Vol 2018 (1) ◽  
pp. 13983
Author(s):  
Gustavo Lannelongue ◽  
Fernando Muñoz-Bullón ◽  
Ignacio Requejo ◽  
Maria J. Sanchez-Bueno

Author(s):  
Gosai Maji ◽  
Uma Sankar Malik

The leading coalfield of India, the Raniganj coalfield under Eastern Coalfield Limited is recognised as the birth place of the Indian coal mining industry and one of the most prominent coalfields not only in India but also in the world. It is also the second largest supplier of superior quality of coal in the nation at present subsequent to Jharia coalfield. Raniganj and Jharia Coalfields (RCF & JCF) can be recognised as mirror image in the history of coal mining in India.  Both the coal mining areas are witnessing mining of coal for more than 230 years. With the shifting of economic structure of the country, the cold filed region has registered quite a lot of ups and down in its financial performance. From this point of view the current paper is an attempt to assess the financial performance in the field of mining segment of Raniganj Coal Field, the most important coal producer in West Bengal. The whole study is entirely based on secondary data. A period of five year from 2014-15 to 2019-20 has been determined for the study. The data have been tabulated, analysed and interpreted with the help of Z Score Model and Economic Value Added (EVA) based on financial ratios. It is observed from the analysis of various financial ratios that the revenue earning capability, liquidity condition and long-standing solvency situation of RCF, is to a certain extent good during the entire study period and the level of bankruptcy situation is also very low.


2018 ◽  
Vol 14 (1) ◽  
pp. 180-193 ◽  
Author(s):  
Refandi Budi Deswanto ◽  
Sylvia Veronica Siregar

Purpose This study aims to investigate both the direct and indirect associations of environmental disclosures with financial performance, environmental performance and firm value. Design/methodology/approach The samples are companies listed on the Indonesia Stock Exchange in the agriculture industry, mining industry, basic industry and chemicals, miscellaneous industry and consumer goods industry and that are participating in the Performance Rating Assessment Program on Environment Management (PROPER/Program Penilaian Peringkat Kinerja Perusahaan) of the Ministry of the Environment Republic of Indonesia or have been awarded the Green Industry Award by the Ministry of Industry Republic of Indonesia in 2012-2014. Data are collected from sustainability reports, annual reports and annual financial statements. The authors used simultaneous equation modeling and panel data regression analysis to analyze the data. Findings The authors find that the financial performance does not affect the environmental disclosures. The lagged environmental performance has a positive effect on the current environmental disclosures, and environmental disclosures do not affect the firm market value and do not mediate the effect of financial performance and environmental performance on firm value. Originality/value This study comprehensively examines both direct and indirect associations of environmental disclosures with financial performance, environmental performance and firm value, which is rarely examined in extant studies.


Sign in / Sign up

Export Citation Format

Share Document