Untangling the determinants of carbon management strategy adoption in an emerging economy

Abstract

Purpose The current longitudinal study explores the determinants of carbon management strategy in an emerging economy. Design/methodology/approach The study is based on BSE 500 Indian firms for 7 years i.e. from 2016–17 to 2022–23. The appropriate panel regression models have been used to untangle the determinants of carbon management strategy. Findings The empirical findings of the study document that gender diversity, environment committee, Environment Management System (EMS) and climate change risks and opportunities play a significant and positive role in the adoption of carbon management strategy. Contrary, board size exerts a significant and negative influence on carbon management strategy adoption. Practical implications The study enriches the emerging climate change and carbon management strategy literature. Social implications The study provides treasured acumens to regulators, policymakers and managers as the study highlights the role of various determinants in carbon management strategy adoption. Originality/value The current research provides novel insights into carbon management strategy literature by unraveling the determinants of carbon management strategy adoption. Further, to the best of the authors’ knowledge, the present study is the first to explore the determinants of carbon management strategy adoption in a developing country context.