Corporate Environmental Responsibility and Innovative Activities

Panagiotis Dimitropoulos () and Konstantinos Koronios ()
Additional contact information
Panagiotis Dimitropoulos: University of Peloponnese
Konstantinos Koronios: University of Peloponnese

Chapter Chapter 6 in Corporate Environmental Responsibility, Accounting and Corporate Finance in the EU, 2021, pp 113-132 from Springer

Abstract: Abstract The scope of this chapter is to examine the impact of R&D investments (capitalized R&D) on the CER-CFP association as argued by previous studies on the field, while taking into consideration potential endogeneity between the examined factors. We respond to the call for more research on the topic by covering a large multi-country sample of developed economies, and of listed and unlisted European firms over a long period of time and also by considering the bidirectional association between CER and CFP while controlling for R&D capitalization instead of R&D expenses utilized in previous studies. Empirical analysis suggested that more profitable firms are associated with more CER related performance. However, the R&D and its interaction with ROE yield insignificant coefficients in both model estimations leading us to accept the substitution hypothesis. This result corroborates arguments in the literature that less innovative firms resort to increased CER activities in order to gain market differentiation (or competitive advantages) and enhance their financial performance.

Date: 2021
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

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:spr:csrchp:978-3-030-72773-4_6

Ordering information: This item can be ordered from
http://www.springer.com/9783030727734

DOI: 10.1007/978-3-030-72773-4_6

Access Statistics for this chapter

More chapters in CSR, Sustainability, Ethics & Governance from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().