Determinants of Environmental Sustainability Among Listed Manufacturing Firms in Nigeria

Abstract

The escalating degradation of the environment has raised concerns about the ability of ecosystems to sustainably support human needs without compromising ecological balance. In view of this, this study examined the determinants of environmental sustainability among listed manufacturing firms in Nigeria specifically focusing on consumer goods sector. The study adopted an ex-post facto research design and utilized a panel data of one hundred and twenty (120) pooled observations gathered from twelve (12) listed consumer goods firms in Nigeria over ten (10)-year period (2014-2023). The study however employed panel multiple regression technique to analyze the data via E-views 10.0 statistical package. The study findings revealed that firm age has a significant positive effect (Coeff. = 0.7181{0.0035}) on environmental sustainability of listed manufacturing firms in Nigeria while firm leverage has a non-significant negative effect (Coeff. = -12.2477{0.4483}) on environmental sustainability of listed manufacturing firms in Nigeria. It also revealed that firm size has a significant negative effect (Coeff. = -7.5880{0.0025}) on environmental sustainability of listed manufacturing firms in Nigeria. It was thus concluded that firm attributes pose a significant effect on environmental sustainability of listed manufacturing firms in Nigeria. The study recommended, amongst others that listed manufacturing firms in Nigeria focus on adopting environmentally-friendly practices and investing in waste management infrastructure, regardless of their age. This can be achieved through training and capacity-building programs for employees, as well as investments in cleaner production technologies.