Small Firms and Environmental Management: Predictors of Green Purchasing in Western Australian Pharmacies

Abstract

The purpose of this study was to determine if any factors exist which can be used to predict the level of environmentally responsible ('green') business behaviour amongst SMEs (small and medium-sized enterprises). The variables examined included environmental attitudes of owner/managers, personal demographic variables (age, gender and education level) of the owner, and key external variables (consumer demand, capital availability, firm size, time and information resources). The owner/managers of 154 retail pharmacies in Western Australia were examined. The results showed a high level of 'green' attitudes amongst owners, but no statistically significant relationship between attitudes and their firm's actual performance. None of the demographic characteristics of the owner/managers were related to actual levels of environmental performance. However, two external variables (the amount of time available for owners to undertake discretionary business activity, and the level of environmental information available to business owners) were found to be significantly positively related to a firm's 'green' activities.