Configurations of environmental management strategy: evidence from the container shipping service industry

Abstract

This study applies the theory of strategic groups to segment environmental management practices orientation, and assess the performance outcomes of different environmental strategy oriented groups in container shipping sector in Taiwan. Based on data collected from 152 shipping firms, four environmental management dimensions were identified based on factor analysis: 1) environmental auditing; 2) environmental collaboration; 3) environmental purchasing; 4) environmental commitment. Cluster analysis was subsequently used to assign respondents' firms to three environmental strategy oriented groups, namely: environmental commitment oriented firms, environmental collaboration oriented firms, and environmental auditing and environmental purchasing oriented firms, based on their factor scores in the four environmental management dimensions. Finally, analysis of variance (ANOVA) results indicate that environmental auditing and purchasing oriented firms exhibited the best environmental performance among the groups, whereas environmental commitment oriented firms possessed the best non-financial performance, and environmental collaboration oriented firms had the best financial performance.