Are aliens green? Assessing foreign establishments' environmental conduct in the United States

Andrew A. King, J. Myles Shaver

Research output: Contribution to journalArticle

76 Scopus citations

Abstract

Previous research has found that foreign-owned establishments often lack specific capabilities needed to respond to local business conditions and are held to a higher standard by local stakeholders. These establishments compensate, however, by possessing offsetting capabilities such as technological excellence. In this article, we investigate how these conflicting forces shape the environmental conduct of foreign-owned facilities. Using data from the Environmental Protection Agency, we find that foreign-owned establishments generate more waste yet manage more waste than U.S.-owned establishments. We also find evidence that both domestic and foreign-owned firms generate more waste if they operate multiple facilities across multiple jurisdictions in the United States.

Original languageEnglish (US)
Pages (from-to)1069-1085
Number of pages17
JournalStrategic Management Journal
Volume22
Issue number11
DOIs
StatePublished - Nov 1 2001

Keywords

  • Foreign direct investment
  • Natural environment
  • Pollution chain

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