The economic repercussions of ISO 14001 environmental certification

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Published 18-09-2018
Joaquín Cañon de Francia Concepción Garces Ayerbe

Abstract

This study is an empirical contrast on the effect that the announcement of the gaining of ISO 14001 certification by a firm has on its market value. The analysis is based on a sample of 80 observations of environmental quality certification of the shop-floor systems or processes of large Spanish companies listed on the continuous trading market of the Madrid Stock Exchange in the period from 1996-2002. Results were obtained by use of Event Study methodology and they showed that ISO 14001 certification does not represent a sufficiently clear sign of environmental proactivity to generate expectations of long-term efficiency and profits in the capital market.

How to Cite

Cañon de Francia, J., & Garces Ayerbe, C. (2018). The economic repercussions of ISO 14001 environmental certification. Cuadernos De Gestión, 6(1), 45–62. https://doi.org/10.5295/cdg.19151jc
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Keywords

Environmental Management System, Environmental Proactiveness, ISO 14001 certification, Market Value, Resource-based View, Event Study Methodology

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