How environmental accidents influence consumer “green” behavior: An econometric analysis

Abstract Environmental accidents (EAs) are firm operational failures that harm human health, the natural environment, and offending firms. We propose they also initiate a subtle form of activism among consumers living near the accident by stimulating increased “green” behavior. Using annual county‐level data in California from 2000 to 2015, we show that following an EA, consumers reduce the trash/garbage they generate and the energy they consume. The impact is long‐lasting and stronger when EAs are more severe and when consumers have pro‐environmental beliefs, ready access to information, and convenient access to “green” options, such as recycling. Since affected consumers may also refuse to buy from, invest in, or work for offending companies, the results suggest that firms should develop environmental strategies, which include engaging and collaborating with local communities. The study results also provide input for the development of initiatives, which maximize consumer “green” behavior after, or in the absence of, an EA.

Authors

Institutions

Publication Details

Journal
Business Strategy and the Environment
Published
2024-09-08
DOI
https://doi.org/10.1002/bse.3946
Citations
1
Primary Topic
Environmental Sustainability in Business
Type
article
Field-Weighted Citation Impact
0.44
Controls
|||
ALL TIME
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
article

How environmental accidents influence consumer “green” behavior: An econometric analysis

Suvrat Dhanorkar, Rick Hardcopf
1 citations
Business Strategy and the Environment
Environmental Sustainability in Business
0.44
article

How environmental accidents influence consumer “green” behavior: An econometric analysis

Suvrat Dhanorkar, Rick Hardcopf
article en
1 citations

Abstract

Abstract Environmental accidents (EAs) are firm operational failures that harm human health, the natural environment, and offending firms. We propose they also initiate a subtle form of activism among consumers living near the accident by stimulating increased “green” behavior. Using annual county‐level data in California from 2000 to 2015, we show that following an EA, consumers reduce the trash/garbage they generate and the energy they consume. The impact is long‐lasting and stronger when EAs are more severe and when consumers have pro‐environmental beliefs, ready access to information, and convenient access to “green” options, such as recycling. Since affected consumers may also refuse to buy from, invest in, or work for offending companies, the results suggest that firms should develop environmental strategies, which include engaging and collaborating with local communities. The study results also provide input for the development of initiatives, which maximize consumer “green” behavior after, or in the absence of, an EA.

Business Strategy and the EnvironmentVol. 33(8)
Utah State University (US), Pennsylvania State University (US), Huntsman (United States) (US)
Openalex Percentile: Top 28%
Environmental Sustainability in Business
0.44
AI Navigator

Ask Laika to Summarize, Analyze, and Connect papers live on the map.

Summarize Papers & Methodologies

Extract key findings, datasets, and comparative methods across publications.

Benchmark Rankings & Visual Analytics

Rank top research institutions, authors, funders, topics, and journals by Field-Weighted Citation Impact (FWCI) and paper volume with instant charts.

Connect Distant Disciplines

Bridge topological clusters on the map to find hidden collaborative intersections.