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Environmental regulation and competitive performance: new evidence from a sectoral study
Authors:Francesco Testa  Fabio Iraldo  Marco Frey
Institution:1. Institute of Management, Sant'Anna School of Advanced Studies , Piazza Martiri della Libertà 33, Pisa, 56127, Italy f.testa@sssup.it;3. Institute of Management, Sant'Anna School of Advanced Studies , Piazza Martiri della Libertà 33, Pisa, 56127, Italy
Abstract:Economic theory provides different perspectives on the relationship between environmental regulation and company environmental and competitive performance. A frequently analysed issue refers to the impact of environmental regulation on company performance. Using qualitative data collected within the recently completed Environmental regulation and Market forces Providing Incentives for Resource Efficiency (EMPIRE) project, we analysed the relationship between environmental regulation and company competitiveness, operating in the building and construction (B&C) sector. Empirical evidence from the correlation analysis emphasises that environmental regulation can be an important driver of competitive performance improvements in relevant segments of the European B&C sector.
Keywords:environmental regulation  command and control  voluntary instruments  competitive performance  building and construction sector
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