Publication Type

PhD Dissertation

Version

publishedVersion

Publication Date

6-2025

Abstract

Our study finds that 43.14% of global green mergers & acquisitions (GMAs) from 2001 to 2020 may be susceptible to Green Embellishment—the gap between corporate environmental representations and actual performance, regardless of intent. Using a multi-criteria theoretical framework, we show that financial constraints strongly drive Green Embellishment in GMAs, with regulatory stringency and national culture moderating this effect. GMAs in weak regulatory environments are especially vulnerable, particularly under high stakeholder pressure. We further provide empirical evidence that financially constrained GMAs with lower green profiles and those in “browner” industries exhibit a higher propensity for Green Embellishment. Even in stringent regulatory settings, financially constrained GMAs still display moderate embellishment, suggesting that greater regulatory focus on actual performance outcomes is needed. Corporate boards and CEOs play a crucial role in ensuring sustainability is embedded into core business processes, in order that it leads to genuine performance.

Keywords

Sustainability, Green Embellishment, Greenwashing, Green Acquisition, Green Mergers and Acquisitions, GMA, Green Performance, Declared Sustainability Actions, Declared Actions, Substantive Sustainability Actions, Substantive Actions, Environmental Sustainability, Sustainability Governance

Degree Awarded

PhD in Business (General Management)

Discipline

Environmental Policy

Supervisor(s)

LIANG, Hao; GENG, Xuesong

First Page

1

Last Page

148

Publisher

Singapore Management University

City or Country

Singapore

Copyright Owner and License

Author

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