Proactive Environmental Strategy: A Study of Malaysian Manufacturing Firms

Abstract:

In recent years, the adoption of proactive environmental strategy (PES) in addressing the environmental challenge and maintain firms’ competitiveness have gained more acceptance by many countries.  PES embraces minor improvements to the current technology in the existing products and process, and innovative solutions to reduce material and energy consumption. This paper presents an empirical assessments on the current state of PES implementation in Malaysian manufacturing firms. A questionnaire based survey was conducted among 224 managers of Malaysian firms. Descriptive statistics was utilised to basic features of variables used. The result shows that greening strategy is moderately practiced in Malaysian manufacturing firms. It was found that manufacturing firms are paying higher attention to greening strategy as compared to beyond greening strategy. The study adds to existing literature by introducing business development indicators within beyond greening strategy. Tested measure of PES shall help managers to assess their state level of PES to achieve their competitive and sustainability goals. Further, some important managerial and policy implications are discussed in this study.

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