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January 1, 2025SAGE OpenOpen Access

Corporate Governance and Greenwashing: The Moderating Role of Political Connection and Sensitive Industries

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Authors

SLSiew Peng LeeMIMansor IsaMSMohammed Sharaf Shaiban

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Overview

Analysis reveals that board independence and gender diversity curb greenwashing, with political connections moderating the effects.

Key Points

  • Corporate governance significantly influences the practice of greenwashing in firms, helping to ensure accountability.
  • Board independence and gender diversity emerged as key factors in reducing greenwashing practices among firms in Malaysia.
  • Using a fixed effects model, the research analyzed data from 988 firm-year observations over seven years for sustainability insights.
  • Strengthening corporate governance frameworks is essential to mitigate greenwashing risks in sensitive industries and enhance transparency.

Cite This Study

Lee et al. (2025) studied this question.

synapsesocial.com/papers/68af5f07ad7bf08b1eae162dhttps://doi.org/10.1177/21582440251369200
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