The study demonstrates that environmental sustainability enhances firm financial performance in companies, indicating the importance of integrating strategies as instrumental variables.
Key Points
Environmental sustainability significantly improves firm financial performance, especially in Pakistan's listed companies.
Tobin's Q and return on assets showed notable improvement, suggesting strong financial benefits from sustainability efforts.
Analysis using two-stage least squares confirmed the effectiveness of integrating strategies as valid instrumental variables.
Practical implications encourage company leaders to adopt integrating strategies for maximizing financial returns from sustainability.