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Profitability as a Factor That Spurs Corporate Green Investment Practices in Johannesburg Stock Exchange (JSE) Listed Firms

Author

Listed:
  • Fortune Ganda

    (University of Limpopo, South Africa)

  • Collins C. Ngwakwe

    (University of Limpopo, South Africa)

  • Cosmas M. Ambe

    (University of Limpopo, South Africa)

Abstract

Present studies show corporate reluctance and a lack of interest regarding stimulation towards green investment initiative. This paper investigated the association involving profitability and corporate green investment practices in 100 South African CDP companies on the JSE. Using, Chi-square tests, the outcomes of the test demonstrate that profitability influences green investment practices in these JSE listed firms. Furthermore, a positive direct correlation between profitability and green investment practices in these JSE listed firms was determined. The paper hence indicates that firms can experience improved performance (profitability) if green investment activities are integrated.

Suggested Citation

  • Fortune Ganda & Collins C. Ngwakwe & Cosmas M. Ambe, 2015. "Profitability as a Factor That Spurs Corporate Green Investment Practices in Johannesburg Stock Exchange (JSE) Listed Firms," Managing Global Transitions, University of Primorska, Faculty of Management Koper, vol. 13(3 (Fall)), pages 231-252.
    • Handle: RePEc:mgt:youmgt:v:13:y:2015:i:3:p:231-252
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    References listed on IDEAS

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    Cited by:

    1. Fortune Ganda, 2018. "The influence of carbon emissions disclosure on company financial value in an emerging economy," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 20(4), pages 1723-1738, August.

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    More about this item

    Keywords

    corporate profitability; green investment practices; JSE listed firms; Carbon Disclosure Project (CDP); South Africa;
    All these keywords.

    JEL classification:

    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q54 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Climate; Natural Disasters and their Management; Global Warming
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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