The impact of organizational-level political connection on environmental strategy in private firms

Zhineng Long, Yulan Duan and Heng Zhan

Economic Modelling, 2024, vol. 132, issue C

Abstract: Encouraging private firms in emerging economies to adopt environmental strategies presents a significant challenge. Previous literature has extensively explored environmental strategies but has not sufficiently delved into the influence of organizational-level political connections. Using a national sample survey of Chinese private firms in 2016, this study investigates the impact of Party branch on firm's environmental strategies. Our findings reveal that the presence of Party branches significantly boosts green innovation and environmental protection investment among private firms. Furthermore, these effects are positively reinforced by environmental regulatory pressure and public environmental pressure. This study underscores the crucial role of organizational-level political connections, specifically Party branches, in transmitting and coordinating external institutional pressures, thereby fostering firms' environmental strategies.

Keywords: Political connection; Environmental strategy; Party branch; Green innovation; Environmental protection investment (search for similar items in EconPapers)
JEL-codes: E22 G34 O16 (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S026499932300456X
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:ecmode:v:132:y:2024:i:c:s026499932300456x

DOI: 10.1016/j.econmod.2023.106644

Access Statistics for this article

Economic Modelling is currently edited by S. Hall and P. Pauly

More articles in Economic Modelling from Elsevier
Bibliographic data for series maintained by Catherine Liu ().