June 8th, the 28th event of Academic series of Hujiang Economy & Management symposium of Business School was hosted at VOOV meeting (ID: 968-271-900), YU BYUNGJUN (俞炳俊), Ph.D in Business administration and Lecturer of Department of Business Administration, presented “Governors’ partisanship and environmental performance” .
This presentation investigates the relationship between governors' partisanship and the corporate environmental performance of firms in South Korea. According to political ideology perspective, governors' partisanship closely influences the policy directions and preferences of the provincial administration. Conservative (red) governors tend to induce and encourage competition among firms by deregulating and offering policy benefits to businesses at the provincial level. In response to increased competition in provinces governed by red governors, firms commit to aggressive environmental initiatives as a strategic differentiation tool, in contrast to their behavior in provinces controlled by liberal (blue) governors. Moreover, we examine a contingent role of the provincial Congress. According to the principle of checks and balances, the positive impact of red governors on a firm's environmental performance is stronger when the provincial Congress is controlled by the liberal (blue) party, with its checks and balances on the red governors. This study extends an institutional theory by exploring institutional setting mechanisms at the provincial level.
After presentation, colleagues and students summarized theoretical contributions and practical implications of this study, and they also suggested further research direction and insightful comments.
