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The relationship between the environmental and economic performance of firms: an empirical analysis of the European paper industry

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  • Marcus Wagner
  • Nguyen Van Phu
  • Théophile Azomahou
  • Walter Wehrmeyer

Abstract

This paper examines the relationship between the environmental and economic performance of firms in the European paper manufacturing industry. It initially discusses possible functional relationships between environmental and economic performance rooted in different theoretical frameworks and links these to recent empirical and theoretical analyses of the Porter hypothesis. Following this, it reports the results of an empirical study carried out in the European paper industry. Findings fit better with ‘traditionalist’ reasoning about the relationship between environmental and economic performance, which predicts the relationship to be uniformly negative. In particular they confirm the necessity for a more differentiated view of the Porter hypothesis. Copyright © 2002 John Wiley & Sons, Ltd. and ERP Environment.

Suggested Citation

  • Marcus Wagner & Nguyen Van Phu & Théophile Azomahou & Walter Wehrmeyer, 2002. "The relationship between the environmental and economic performance of firms: an empirical analysis of the European paper industry," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 9(3), pages 133-146, September.
    • Handle: RePEc:wly:corsem:v:9:y:2002:i:3:p:133-146
    DOI: 10.1002/csr.22
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