Premium
The Emergence of Corporate Carbon Norms: Strategic Directions and Managerial Implications
Author(s) -
Pinkse Jonatan,
Busch Timo
Publication year - 2013
Publication title -
thunderbird international business review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.553
H-Index - 37
eISSN - 1520-6874
pISSN - 1096-4762
DOI - 10.1002/tie.21580
Subject(s) - norm (philosophy) , constraint (computer aided design) , carbon fibers , position (finance) , business , economics , political science , computer science , law , mathematics , geometry , finance , algorithm , composite number
In recent years, many firms have decided to adhere to a specific carbon norm, such as carbon neutrality or carbon labels, to show their commitment to climate change mitigation. Nevertheless, it is still unclear what it means when a firm sets a specific carbon norm. This article reviews the various kinds of carbon norms that have emerged and asks why firms would adopt a carbon norm and thus assume an additional constraint on a voluntary basis. We point out that carbon norms can fulfill a dual function: They help to position a firm strategically by creating a specific favorable image, and they deal with constraining factors as a consequence of a firm's carbon dependency and stakeholder influence. As there is still also some mistrust of corporate carbon norms, we conclude the article with lessons for managers that intend to implement carbon norms. © 2013 Wiley Periodicals, Inc.