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The financial impacts of environmental violations on supply chains: evidence from an emerging market

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journal contribution
posted on 2023-06-09, 23:59 authored by Yangchun Xiong, Hugo K S Lam, Qiaoxuan Hu, Rachel W Y Yee, Constantin Blome
Based on 100 environmental violations occurring in China in 2018 and matched supply chain relationship data obtained from Bloomberg, our research shows that environmental violations have negative financial impacts on not only the violators but also their supply chain partners including customers and suppliers. Nevertheless, environmental transparency and supply chain diversity help these supply chain partners mitigate the negative effects arising from the environmental violations. While the mitigating role of environmental transparency is more pronounced for customers than suppliers, supply chain diversity has a similar mitigating effect for both customers and suppliers.

History

Publication status

  • Published

File Version

  • Accepted version

Journal

Transportation Research Part E: Logistics and Transportation Review

ISSN

1366-5545

Publisher

Elsevier

Volume

151

Page range

1-18

Article number

a102345

Department affiliated with

  • Management Publications

Full text available

  • Yes

Peer reviewed?

  • Yes

Legacy Posted Date

2021-06-03

First Open Access (FOA) Date

2022-05-11

First Compliant Deposit (FCD) Date

2021-06-25

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