Determinants of voluntary environmental management practices by MNE subsidiaries

Ekrem Tatoglu, Erkan Bayraktar, Sahadev Sunil, Mehmet Demirbag, Keith Glaister

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    Abstract

    There have been few empirical studies of the determinants of voluntary environmental management practices (VEMPs) of MNE subsidiaries operating in emerging countries. To provide insight on this issue, this study explores the antecedent factors that drive MNE subsidiaries to adopt VEMPs, using data drawn from a key emerging country – Turkey. Based largely on the arguments of institutional theory and the resource based view of the firm, a number of hypotheses are formulated in order to investigate the effects of stakeholder pressures, perceived polluting potential, customer focus and competitive intensity. Each of these factors, with the exception of competitive intensity, is found to positively influence the adoption level of VEMPs by MNE subsidiaries. Some of the study’s parent-level and subsidiary-level control variables are also found to have significant effects on the extent of VEMPs adoption by MNE subsidiaries.
    Original languageEnglish
    Pages (from-to)536–548
    Number of pages13
    JournalJournal of World Business
    Volume49
    Issue number4
    Early online date21 Dec 2013
    DOIs
    Publication statusPublished - Oct 2014

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    Keywords

    • environmental management practices
    • institutional theory
    • resource based view
    • emerging countries
    • Turkey

    Cite this

    Tatoglu, E., Bayraktar, E., Sunil, S., Demirbag, M., & Glaister, K. (2014). Determinants of voluntary environmental management practices by MNE subsidiaries. Journal of World Business, 49(4), 536–548. https://doi.org/10.1016/j.jwb.2013.12.007