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The Antecedents and Performance Consequences of Proactive Environmental Strategy: A Meta-analytic Review of National Contingency

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  • Liu, Yi
  • Guo, Jingzhou
  • Chi, Nan

Abstract

In this article we provide a comprehensive framework to explain, in China and in Western countries, how three antecedents – regulations, stakeholder norms, and managerial mindsets – differently affect proactive environmental strategies (PES) and subsequently influence firm performance. A meta-analysis of 68 studies involving 71 samples supports our hypotheses. In Western countries, top managerial mindsets have the strongest effect and regulations have the weakest effect on PES. In China, regulations, stakeholder norms, and managerial mindsets have similar effects on PES. For Western firms, the PES has stronger effects on environmental performance than on economic performance and the effect on environmental performance is stronger than that in Chinese firms. For firms in China, the PES has equally positively affects on environmental and economic performance, but the effect on economic performance is stronger than that of Western firms. Implications for future research are discussed.

Suggested Citation

  • Liu, Yi & Guo, Jingzhou & Chi, Nan, 2015. "The Antecedents and Performance Consequences of Proactive Environmental Strategy: A Meta-analytic Review of National Contingency," Management and Organization Review, Cambridge University Press, vol. 11(3), pages 521-557, September.
    • Handle: RePEc:cup:maorev:v:11:y:2015:i:03:p:521-557_00
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    Cited by:

    1. Huishuang Su & Xintong Qu & Shuo Tian & Qiang Ma & Ling Li & Yong Chen, 2022. "Artificial intelligence empowerment: The impact of research and development investment on green radical innovation in high‐tech enterprises," Systems Research and Behavioral Science, Wiley Blackwell, vol. 39(3), pages 489-502, May.
    2. Danny Z. X. Huang, 2021. "Environmental, social and governance (ESG) activity and firm performance: a review and consolidation," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 61(1), pages 335-360, March.
    3. Virginia Barba-Sánchez & Carlos Atienza-Sahuquillo, 2016. "Environmental Proactivity and Environmental and Economic Performance: Evidence from the Winery Sector," Sustainability, MDPI, vol. 8(10), pages 1-15, October.
    4. Baoshan Ge & Yibing Yang & Dake Jiang & Yang Gao & Xiaomin Du & Tingting Zhou, 2018. "An Empirical Study on Green Innovation Strategy and Sustainable Competitive Advantages: Path and Boundary," Sustainability, MDPI, vol. 10(10), pages 1-18, October.
    5. Zhou, Min & Govindan, Kannan & Xie, Xiongbiao & Yan, Liang, 2021. "How to drive green innovation in China's mining enterprises? Under the perspective of environmental legitimacy and green absorptive capacity," Resources Policy, Elsevier, vol. 72(C).
    6. Defeng Yang & Aric Xu Wang & Kevin Zheng Zhou & Wei Jiang, 2019. "Environmental Strategy, Institutional Force, and Innovation Capability: A Managerial Cognition Perspective," Journal of Business Ethics, Springer, vol. 159(4), pages 1147-1161, November.
    7. Nguyen Phong Nguyen & Samuel Adomako, 2021. "Environmental proactivity, competitive strategy, and market performance: The mediating role of environmental reputation," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 2008-2020, May.
    8. Danny Zhao‐Xiang Huang, 2022. "An integrated theory of the firm approach to environmental, social and governance performance," Accounting and Finance, Accounting and Finance Association of Australia and New Zealand, vol. 62(S1), pages 1567-1598, April.
    9. Yogesh Bhatt & Karminder Ghuman, 2023. "Corporate environmental responsiveness: a bibliometric and content analysis," Management Review Quarterly, Springer, vol. 73(3), pages 1303-1350, September.
    10. Zhiwei Yan & Xuerong Peng & Seoki Lee & Leibao Zhang, 2023. "How do multiple cognitions shape corporate proactive environmental strategies? The joint effects of environmental awareness and entrepreneurial orientation," Asian Business & Management, Palgrave Macmillan, vol. 22(4), pages 1592-1617, September.
    11. Shaker M. Al-Kahtani & Nabil Ahmed Mareai Senan & Ibtisam Dhuwayhi Alanazi, 2024. "Environmental Responsibility, Strategy, and Competitive Advantage: Mediating Effect of Environmental Innovation," International Journal of Energy Economics and Policy, Econjournals, vol. 14(3), pages 316-331, May.
    12. Nguyen, Jason, 2024. "Beyond policy impacts: Internal strategic capabilities as determinants of industrial energy efficiency implementation," Energy Policy, Elsevier, vol. 184(C).
    13. Liao, Zhongju & Chen, Jie & Weng, Chen & Zhu, Cunbin, 2023. "The effects of external supervision on firm-level environmental innovation in China: Are they substantive or strategic?," Economic Analysis and Policy, Elsevier, vol. 80(C), pages 267-277.
    14. Suicheng Li & Jianqi Qiao & Hecheng Cui & Shuang Wang, 2020. "Realizing the Environmental Benefits of Proactive Environmental Strategy: The Roles of Green Supply Chain Integration and Relational Capability," Sustainability, MDPI, vol. 12(7), pages 1-18, April.
    15. Binh Do & Ninh Nguyen, 2020. "The Links between Proactive Environmental Strategy, Competitive Advantages and Firm Performance: An Empirical Study in Vietnam," Sustainability, MDPI, vol. 12(12), pages 1-22, June.
    16. Flavio Boccia & Tetiana Paientko & Gian Paolo Cesaretti & Daniela Covino, 2020. "Environmental management in a developing global business context: Sustainable challenges and opportunities," RIVISTA DI STUDI SULLA SOSTENIBILITA', FrancoAngeli Editore, vol. 0(2), pages 179-193.
    17. Jun Xie & Wataru Nozawa & Shunsuke Managi, 2020. "The role of women on boards in corporate environmental strategy and financial performance: A global outlook," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(5), pages 2044-2059, September.
    18. Wenbo Jiang & Francesco Rosati & Huaqi Chai & Taiwen Feng, 2020. "Market orientation practices enhancing corporate environmental performance via knowledge creation: Does environmental management system implementation matter?," Business Strategy and the Environment, Wiley Blackwell, vol. 29(5), pages 1899-1924, July.
    19. Kang Tan & Abu Bakkar Siddik & Farid Ahammad Sobhani & Muhammad Hamayun & Mohammad Masukujjaman, 2022. "Do Environmental Strategy and Awareness Improve Firms’ Environmental and Financial Performance? The Role of Competitive Advantage," Sustainability, MDPI, vol. 14(17), pages 1-24, August.
    20. Naveedullah Mulaessa & Lefen Lin, 2021. "How Do Proactive Environmental Strategies Affect Green Innovation? The Moderating Role of Environmental Regulations and Firm Performance," IJERPH, MDPI, vol. 18(17), pages 1-19, August.
    21. Oksana Seroka‐Stolka, 2023. "Towards sustainability: An environmental strategy choice, environmental performance, and the moderating role of stakeholder pressure," Business Strategy and the Environment, Wiley Blackwell, vol. 32(8), pages 5992-6007, December.

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