Sustainability Orientation and Political Firm Environmental Performance

Abstract

In this study, our main contribution is that political connections are considered the main channel to increase environmental performance. With the support of resource dependency theory, we argue that these connections are external and internal resources of the firms. This happen because the government can easily play a role in sustainable development, they can get green subsides to impact the firm's profitability positively However, based on the previous literatures, we explored that the impact of political connection on environmental performance in developing and under-developing countries. This study is useful for the private politically connected firms because politically exposed person provide numerous benefits. However, political connections are prevalence in chemical, infrastructure, investment, and miscellaneous industry. To sum up, all evidence proved that political connections have a significant positive impact on environmental performance.