Towards a deeper understanding of managerial green investment patterns – a USA–Germany comparison

Birte Schaltenbrand, Kai Foerstl, Andrew P. Kach and Marco J. Maier

International Journal of Production Research, 2015, vol. 53, issue 20, 6242-6262

Abstract: Green investments are crucial mechanisms for translating green operation strategies into managerial action. We examine the impact of external pressures on green investment patterns in terms of their scope, type and time horizon across 251 German and US managers. A scenario-based experiment was conducted using a 2 × 2 × 2 factorial design in which managers were assigned to high and low consumer, community, and resource treatment groups before being asked to make green investment decisions. Our hypotheses are developed based on resource advantage theory and tested in a number of regression models. The results demonstrate that German and US managers respond differently to external pressures in their green investment decisions. Regarding the scope of green investments, German and US managers invest differently if end consumer pressure increases and partially differently if resource scarcity increases, but they act in a similar way if community pressure increases. Moreover, we detected specific variations in the type and time horizon of green investments across US and German managers. The theoretical and practical implications of these findings for green operations management research and for firms operating in multinational settings are explained.

Date: 2015
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DOI: 10.1080/00207543.2015.1047979

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