This study examines the association between zombie firms and their environmental and social performance. Using a global dataset of listed firms from 49 countries between 2002 and 2019, we find that zombie firms perform poorly on environmental and social responsibility fronts. This finding supports the argument that zombie firms are characterized by consistent losses and that their existence is risky without external support. Zombie firms, while struggling for survival, may not be able to undertake environmental and social activities that require huge investments, thus falling behind other firms. Further analysis highlights that eco-innovation, the presence of a sustainability committee, and industry nature (i.e., heavily polluting industries) mitigate the negative impact of firms’ zombie status on their environmental and social performance. Moreover, a zombie firm’s engagement in environmental and social activities improves its financial performance. Our main findings are robust to a battery of estimation techniques, alternative proxies, selection bias, and endogeneity issues.
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Despite the important role of entrepreneurship in alleviating poverty, scholars have paid little attention to the relationship between entrepreneurship and poverty in developed countries. As a result, our understanding of how entrepreneurship can contribute to poverty alleviation in these contexts remains limited, even though poverty in developed countries had been rising well before the COVID-19 pandemic. This systematic literature review aims to build a foundational understanding of this phenomenon by examining research articles that address the link between entrepreneurship and poverty in developed countries. The authors identify 51 relevant studies published between 1990 and 2020. This paper offers new insights and outlines several promising directions for future research to advance the literature on entrepreneurship and poverty.
- Recherche
- Entrepreneuriat
