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September 18, 2025Eduvest - Journal Of Universal StudiesOpen Access

Analysis of Greenwashing Measurement on Internal Company Factors in Indonesia

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Authors

DSDianto Kurnia Parulian SinagaZDZuliani Dalimunthe

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Overview

Analysis reveals how internal company factors affect greenwashing risk in Indonesian firms, indicating profitability and tax management play a vital role.

Key Points

  • A significant negative relationship exists between profit margin and greenwashing risk, indicating healthier companies are less likely to engage in greenwashing.
  • The research shows that a higher effective tax rate correlates with reduced greenwashing activities, emphasizing the impact of tax management.
  • Larger firms with more cash flow are found to have higher greenwashing risk, suggesting they may use resources to promote misleading environmental claims.
  • No significant influence was detected for state-owned enterprise status or capital structure on greenwashing practices in the analyzed companies.

Cite This Study

Sinaga et al. (2025) studied this question.

synapsesocial.com/papers/68d462db31b076d99fa62863https://doi.org/10.59188/eduvest.v5i9.51404
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Also Consider

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  5. 5The Practice of Green Washing Motivated by Financial Constraints: An Analysis in Global Economies2024 · 2 citations