Outsourcing climate change

This paper examines whether and how firms combat climate change. Our study provides robust evidence that firms outsource part of their carbon emissions to foreign suppliers and shows how internal and external stakeholders significantly shape firms' environmental policies. Furthermore, firms ten...

Full description

Saved in:
Bibliographic Details
Main Authors: DAI, Rui, DUAN, Rui, LIANG, Hao, NG, Lilian
Format: text
Language:English
Published: Institutional Knowledge at Singapore Management University 2022
Subjects:
Online Access:https://ink.library.smu.edu.sg/lkcsb_research/7000
https://ink.library.smu.edu.sg/context/lkcsb_research/article/7999/viewcontent/SSRN_id3765485.pdf
Tags: Add Tag
No Tags, Be the first to tag this record!
Institution: Singapore Management University
Language: English
id sg-smu-ink.lkcsb_research-7999
record_format dspace
spelling sg-smu-ink.lkcsb_research-79992022-04-25T07:22:19Z Outsourcing climate change DAI, Rui DUAN, Rui LIANG, Hao NG, Lilian This paper examines whether and how firms combat climate change. Our study provides robust evidence that firms outsource part of their carbon emissions to foreign suppliers and shows how internal and external stakeholders significantly shape firms' environmental policies. Furthermore, firms tend to seek a foreign supplier and decrease their emission abatement efforts as pressure to reduce domestic emissions intensifies. These firms are also less incentivized to develop green technologies. Finally, we find that outsourcing emissions has real and economic consequences, with investors demanding a higher carbon premium for their exposures to carbon risks associated with increased outsourced emissions. 2022-01-01T08:00:00Z text application/pdf https://ink.library.smu.edu.sg/lkcsb_research/7000 info:doi/10.2139/ssrn.3765485 https://ink.library.smu.edu.sg/context/lkcsb_research/article/7999/viewcontent/SSRN_id3765485.pdf http://creativecommons.org/licenses/by-nc-nd/4.0/ Research Collection Lee Kong Chian School Of Business eng Institutional Knowledge at Singapore Management University Outsourcing Emissions Imports Stakeholders Reputational Risk Green Technologies Carbon Premium Corporate Finance Environmental Sciences Finance and Financial Management Strategic Management Policy
institution Singapore Management University
building SMU Libraries
continent Asia
country Singapore
Singapore
content_provider SMU Libraries
collection InK@SMU
language English
topic Outsourcing Emissions
Imports
Stakeholders
Reputational Risk
Green Technologies
Carbon Premium
Corporate Finance
Environmental Sciences
Finance and Financial Management
Strategic Management Policy
spellingShingle Outsourcing Emissions
Imports
Stakeholders
Reputational Risk
Green Technologies
Carbon Premium
Corporate Finance
Environmental Sciences
Finance and Financial Management
Strategic Management Policy
DAI, Rui
DUAN, Rui
LIANG, Hao
NG, Lilian
Outsourcing climate change
description This paper examines whether and how firms combat climate change. Our study provides robust evidence that firms outsource part of their carbon emissions to foreign suppliers and shows how internal and external stakeholders significantly shape firms' environmental policies. Furthermore, firms tend to seek a foreign supplier and decrease their emission abatement efforts as pressure to reduce domestic emissions intensifies. These firms are also less incentivized to develop green technologies. Finally, we find that outsourcing emissions has real and economic consequences, with investors demanding a higher carbon premium for their exposures to carbon risks associated with increased outsourced emissions.
format text
author DAI, Rui
DUAN, Rui
LIANG, Hao
NG, Lilian
author_facet DAI, Rui
DUAN, Rui
LIANG, Hao
NG, Lilian
author_sort DAI, Rui
title Outsourcing climate change
title_short Outsourcing climate change
title_full Outsourcing climate change
title_fullStr Outsourcing climate change
title_full_unstemmed Outsourcing climate change
title_sort outsourcing climate change
publisher Institutional Knowledge at Singapore Management University
publishDate 2022
url https://ink.library.smu.edu.sg/lkcsb_research/7000
https://ink.library.smu.edu.sg/context/lkcsb_research/article/7999/viewcontent/SSRN_id3765485.pdf
_version_ 1770576225190805504