IDEAS home Printed from https://ideas.repec.org/a/taf/oabmxx/v11y2024i1p2404236.html
   My bibliography  Save this article

Greenwashing and financial performance of firms: the moderating role of internal audit quality and digital technologies

Author

Listed:
  • Pupung Purnamasari
  • Indah Umiyati

Abstract

Greenwashing (GW) is a common business strategy employed by modern-day firms to realize sustainability and financial goals. However, the puzzle of whether GW and underlying conditions essential to improve the financial performance (FP) remains unresolved. This study aims to empirically investigate the impact of GW on FP by operationalizing internal audit quality and digital technologies as moderators. The data of non-financial Indonesian firms between 2018 to 2022 were drawn and analyzed using generalized method of moments (GMM) technique. The findings indicate that GW has a significant positive effect on FP. The results also confirmed a significant positive moderating effect of internal audit quality on the relationship between GW/FP whereas digital technologies exhibit an insignificant positive effect on the nexus between GW/FP. Our findings contribute to validating the implementation of GW blended with internal audit quality and digital technologies to improve the sustainability and financial portfolios of the firms located in emerging economies.

Suggested Citation

  • Pupung Purnamasari & Indah Umiyati, 2024. "Greenwashing and financial performance of firms: the moderating role of internal audit quality and digital technologies," Cogent Business & Management, Taylor & Francis Journals, vol. 11(1), pages 2404236-240, December.
    • Handle: RePEc:taf:oabmxx:v:11:y:2024:i:1:p:2404236
    DOI: 10.1080/23311975.2024.2404236
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/23311975.2024.2404236
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/23311975.2024.2404236?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:oabmxx:v:11:y:2024:i:1:p:2404236. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://cogentoa.tandfonline.com/OABM20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.