The effect of sustainable product investment on business performance

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Issue Date
2021-08-31
Language
en
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Abstract
In the last two decades, the understanding of a broader perspective on performance measurements has increased. Manufacturing firms have increased their awareness about the balance between financial and non-financial performance indicators. Companies still need to pay more attention to performance measures regarding their sustainable responsibility. However, there is little consensus about the business performance effect resulted out of sustainability investments. This study is an investigation into the effect of sustainable product investments on business performance divided into three dimensions, accounting performance, market performance, and operations performance. The regression analysis shows that hypothesis two can be confirmed. Thereafter, the relationships were proposed to respondents in an interview. This resulted in underlying explanations of the relationships. In conclusion, sustainable product investments affect the business performance of Dutch manufacturing companies on the market performance dimension.
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Faculteit der Managementwetenschappen