 CEO Power and Carbon Emissions Management: Australian EvidenceHoa Luong, Jayanthi Kumarasiri and Abeyratna Gunasekarage Business Strategy and the Environment, 2025, vol. 34, issue 2, 2239-2272 Abstract: We investigate how CEO power contributes to the emissions management of Australian companies. Constructing a CEO power index and employing firm‐level carbon emissions data, we document a significant negative relationship between CEO power and carbon emissions, suggesting that firms with powerful CEOs better manage their carbon emissions. Extending our analyses into different dimensions of power, we find that the CEO power–emissions management relationship mainly comes from structural power and expert power sources. Further analyses show that emissions management plays a significant mediating role in the association between CEO power and firm performance. A survey administered among sustainability managers of large Australian companies reveals corroborative evidence that the leadership of powerful CEOs is an essential element in managing carbon emissions and mitigating the risk associated with climate change. The findings of this study provide insights to policymakers, regulators and corporate top‐management teams regarding an issue that is under severe public scrutiny and social pressure. Date: 2025 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:bla:bstrat:v:34:y:2025:i:2:p:2239-2272 Ordering information: This journal article can be ordered from Access Statistics for this article Business Strategy and the Environment is currently edited by Richard Welford More articles in Business Strategy and the Environment from Wiley Blackwell |
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