Inderscience Publishers

Determinants of corporate carbon reduction targets

- By: , ,

Courtesy of Courtesy of Inderscience Publishers

This paper examines attributes affecting a corporation’s choice of an intensity-only (carbon emissions relative to sales, production, etc.) versus an absolute carbon dioxide (CO
) emissions goal. We investigate alternative hypotheses for this choice including: 1) a high growth hypothesis whereby high growth companies select an intensity goal, to continue to grow without an absolute emission reduction; 2) a high emissions industrial sector hypothesis where firms in high CO
emission industries prefer an intensity goal that is easier to reach; 3) a green window dressing hypothesis whereby firms tied to consumer acceptance select an easier to meet intensity target. Utilising maximum likelihood logit regressions, we find a higher likelihood for firms with higher growth, in high emission industries, and those in the consumer/retail sector to be more likely to have an intensity-only CO
emissions goal. Corporations with stronger brands, however, are associated with more transparent, absolute emission targets

Keywords: environmental accounting, global warming, social responsibility, carbon reduction targets, climate change, green washing, absolute emissions reduction

Customer comments

No comments were found for Determinants of corporate carbon reduction targets. Be the first to comment!