Research on the Effect of Corporate Environmental Responsibility on Corporate Sustainability and the Mediator Effect of Corporate Environmental Strategy

Abstract

Corporate sustainability development has emerged as a significant concern globally. However, there is an inherent conflict between the corporate’s goals of maximization of profit and achievement of sustainable development. The increasing environmental responsibility offers a solution to reconcile this contradiction. Therefore, this paper aims to empirically investigate the influence of corporate environmental responsibility on corporate sustainable development and the mediator effect of corporate environmental strategy based on the nature of strategy that it can transform temporary and one-sided-focused activities into chronical and holistic actions. The study conducted two stages of data collection, gathering a total of 324 data sets from China in 2022, which were subsequently analyzed. The findings demonstrate that corporate environmental responsibility has a significant positive impact on corporate sustainable development, with corporate environmental strategy playing a crucial intermediary role. And this research offers theoretical contribution by extending literature on sustainable development and provides significant managerial implications.