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Informal institutions and corporate reputational exposure: the role of public environmental perceptions

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Public awareness about issues surrounding the physical environment and climate change is becoming more important around the world. However, there is a lack of research on the association between environment-related perceptions and reputational exposure. Therefore, we know little about whether and how reputational exposure is shaped by institutional pressures, as it would be stipulated by the institutional theory. Using a sample of 643 firms from 19 European countries over the period 2015–2018, we aim to shed further light on this issue. Our results show that more environmentally-friendly public perceptions result in lower reputational exposure. This finding holds when, on an individual basis, we examine public opinions on energy, climate, and the introduction of related policies. To ensure robustness in our results, we conduct a number of analyses and tests designed to alleviate endogeneity and to correct sample bias.
Original languageEnglish
JournalBritish Journal of Management
Publication statusAccepted for publication - 23 Nov 2020

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  • PAPADIMITRI_2020_cright_Informal Institutions and Corporate Reputational Exposure

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    Accepted author manuscript (Post-print), 1.87 MB, PDF document

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