Effect of environmental capabilities on environmental strategies and performances of thermal power plants in Iran

Journal Title: International Journal of Business and Applied Social Science - Year 2019, Vol 5, Issue 7

Abstract

The electricity industry has an important role in the economic growth and industrial dynamics in all countries. However, it is one of the main sources of environmental pollutants as well. Hence, environmental experts are always trying to reduce the amount of pollutants. This study aims to realize the relations between environmental capabilities and environmental strategies with environmental, financial and operational performances. Accordingly, questionnaires, by 39 questions, distributed among 103 participants, including environmental experts of the thermal power plants and thermal power company. Among 103 questionnaires, 70 qualified questionnaires were collected. The reliability of questioners was tested by Cronbach alpha criterion and the amount of this criterion (0.845) verified the reliability of the questionnaire. Also, the validity of the questionnaire confirmed through the Fornell and Locker methods and other factors. For testing the hypotheses of research, the method of structural equation modelling analysis was used. The empirical results show that: 1. The environmental capabilities have a positive impact on environmental strategies 2. The environmental strategies have positive impacts on financial, operational and environmental performances 3. The environmental capabilities can have positive effects on environmental, financial and operational performance through environmental strategies. These results confirm that focusing on environmental issues of thermal power plant activities, not only improve environmental performance, but also improve their operational and financial performances.

Authors and Affiliations

Leila Behnia, Rohullah Bayat Ph. D.

Keywords

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  • EP ID EP610179
  • DOI 10.33642/ijbass.v5n7p2
  • Views 139
  • Downloads 0

How To Cite

Leila Behnia, Rohullah Bayat Ph. D. (2019). Effect of environmental capabilities on environmental strategies and performances of thermal power plants in Iran. International Journal of Business and Applied Social Science, 5(7), 16-29. https://europub.co.uk/articles/-A-610179