“The Natural Environmental Strategies of International Firms: Controversies and New Evidence on Performance and Disclosure” by Professor Alfred Marcus was a finalist for the Academy of Management Perspectives (AMP) Best Paper Award.
The paper was co-written by J. Alberto Aragon-Correa of the University of Surrey and Nuria Hurtado-Torres of the University of Granada.
Previous academic and popular literature has raised important debates concerning the contradictory incentives of international firms to reduce their environmental impacts and offer transparent environmental information about their operations. Marcus and his co-researchers compared the individual corporate environmental performance and disclosure of the 100 most international non-financial firms in the world to those of 16,023 firms in their industries and a group of matched pairs of firms for three different years.
Results show that although the top international firms have a much better record of environmental disclosure than the firms within their industries and the matched pairs, the top international firms also show worse environmental performance than their peers. These results suggest that the top international firms seek legitimation for their environmental activities by means of voluntary disclosure.