Environmental uncertainty and digital technologies corporate in shaping corporate green behavior and tax avoidance

Xiang-Yuan Ao; Tze San Ong; Roberto Aprile; Assunta Di Vaio

doi:10.1038/s41598-023-49687-w

Environmental uncertainty and digital technologies corporate in shaping corporate green behavior and tax avoidance

Sci Rep. 2023 Dec 13;13(1):22170. doi: 10.1038/s41598-023-49687-w.

Authors

Xiang-Yuan Ao^{1

2}, Tze San Ong^{1

3}, Roberto Aprile⁴, Assunta Di Vaio⁵

Affiliations

¹ School of Business and Economics, Universiti Putra Malaysia, Serdang, Malaysia.
² School of Management, Guangzhou University, Guangdong , China.
³ Department of Business Administration, Daffodil International University, Dhaka, Bangladesh.
⁴ Department of Management, University of Bergamo, Bergamo, Italy.
⁵ Department of Law, University of Naples "Parthenope", Naples, Italy. susy.divaio@uniparthenope.it.

Abstract

This study contributes to the field of sustainability by analyzing changes in firms following the adoption of new environmental protection laws to meet community sustainability needs. Focusing on the Chinese context, it examined the relationship between firms' environmental protection measures (i.e., corporate green behavior) and profitability (i.e., corporate tax avoidance). The moderating roles of environmental uncertainty and digital technology application in this relationship were also investigated. The findings offer insights into the complex dynamics linking firms' environmental initiatives to their business outcomes and financial decisions within the framework of a sustainable community. Ultimately, this study highlights the importance and implications of sustainable practices for both the environment and corporate financial performance. Firms' environmental behaviors are enablers of sustainable communities by deploying natural resources and creating a more resilient economy through active community participation in green production models.