Pressure from customers, shareholders, governments and the general public pushes firms to improve their environmental performance – but what about a firm’s competitors? What role does competition between companies play in influencing environmental practices?
Shareholders of large companies employ CEOs in order to run corporations on their behalf. In this world, the shareholder remains the primary corporate stakeholder. However, for most organizations, small- and medium-sized enterprises among them, shareholders are unlikely to have a dominant hold over the organization.
Managers and executives from all industries are now considering whether environmental certifications are right for their business given that many companies believe customers will pay more for certified products and services because of the positive signal these certifications send.
