So Close, Yet So Far Away: Exploring the Role of Psychological Distance from Climate Change on Corporate Sustainability

Abstract

Despite some improvements and increasing social pressures, most organizations seem to be stagnating in a superficial implementation of sustainability practices despite the accumulation of climate change consequences. Research on corporate sustainability has shown that external pressures and psychological factors influence managers’ environmental decisions. However, these psychological factors have been undertheorized in the management research field. The concept of psychological distance has shown promising results in studying environmental behaviors. This concept is rooted in the construal level theory and is defined as the subjective experience of feeling that something is close or far away from the self, the here and the now. Therefore, it represents a relevant path for exploration in research on corporate sustainability. The main goals of this integrative review are to explore how the concept of psychological distance has been employed in research on corporate sustainability and to explore related concepts from this research field. Additionally, concepts that are related to the four dimensions of psychological distance (i.e., temporal, spatial, social, and hypothetical) are critically discussed. The links between these concepts and their impacts on sustainability endeavors within organizations are then visually presented through a conceptual map, which forms the main contribution of this review. Further theoretical contributions are presented, the implications for managers are discussed, and future research avenues are proposed.