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Impact of business strategy on carbon emissions: Empirical evidence from U.S. firms

Abdelfattah, Tarek; Ullah, Subhan; Houqe, Muhammad Nurul; Zahir-ul-Hassan, Muhammad Kaleem

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Authors

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SUBHAN ULLAH SUBHAN.ULLAH@NOTTINGHAM.AC.UK
Associate Professor in Accounting

Muhammad Nurul Houqe

Muhammad Kaleem Zahir-ul-Hassan



Abstract

This study examines the nexus between business strategy and carbon emissions by utilising a dataset of U.S. firms from 2007 to 2020. It focuses on two broad types of firms, that is, prospectors and defenders. Regarding carbon emissions, we consider total emissions (Scope 1 & 2), direct emissions (Scope 1) and indirect emissions (Scope 2). The results reveal a significant association between business strategy and total carbon emissions as well as direct carbon emissions. Notably, the results suggest that prospectors, compared to defenders, display higher levels of total and direct carbon emissions. Our findings contribute to the debate on whether prospectors in developed countries mismanage sustainability issues. The study offers valuable insights into the interplay between business strategy and carbon emissions and provides empirical evidence that business strategy is an important determinant of total and direct carbon emissions.

Citation

Abdelfattah, T., Ullah, S., Houqe, M. N., & Zahir-ul-Hassan, M. K. (2024). Impact of business strategy on carbon emissions: Empirical evidence from U.S. firms. Business Strategy and the Environment, https://doi.org/10.1002/bse.3789

Journal Article Type Article
Acceptance Date Apr 10, 2024
Online Publication Date May 6, 2024
Publication Date May 6, 2024
Deposit Date Apr 19, 2024
Publicly Available Date May 7, 2026
Journal Business Strategy and the Environment
Print ISSN 0964-4733
Electronic ISSN 1099-0836
Publisher Wiley
Peer Reviewed Peer Reviewed
DOI https://doi.org/10.1002/bse.3789
Keywords Business Strategy; Direct carbon emissions; Indirect carbon emissions; US; Prospectors; Defenders
Public URL https://nottingham-repository.worktribe.com/output/33837643
Additional Information Received: 2023-09-19; Accepted: 2024-04-10; Published: 2024-05-06

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Publisher Licence URL
https://creativecommons.org/licenses/by/4.0/

Copyright Statement
© 2024 The Authors. Business Strategy and The Environment published by ERP Environment and John Wiley & Sons Ltd.




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