The paper aims at investigating the
potential effect on economic and financial performance caused by the adoption
of an environmental management system ISO14001certification, by SMEs in Abruzzo
region, which represent a significative case study due to the environmental
capital that characterizes the whole region. From the Signaling Theory
perspective, the adoption of such international environmental management system
certification “signals” to the firm’s stakeholders, the engagement in adopting
a sustainable management system, contributing to reduce information asymmetry
and consequently, positively influence economic and financial performance. Considering a panel dataset of a total
sample of 490 SMEs located in Abruzzo (observed from 2011 and 2019), constituted
by 212 ISO14001 certified firms and a control group of 278 firms, selected
comparing size, age and geographical location of the main group of analysis,
the results show how economic and financial performance are positively related
to the adoption of an environmental management system certification.
JEL classification numbers: O40, O44.
Keywords: ISO14001, SMEs,
Environmental Management System, Signaling Theory, Abruzzo.