Top Managers’ Political Network And Corporate Environmental Investment-Considering External Pressure’ Influence

Both gold and silver,have beautiful scenery is good wishes of the society.Due to the need of economic development and the dispersion and concealment of environmental pollution,environmental pollution is becoming more and more serious.It is generally accepted that environmental pollution control and protection need the participation of government,enterprises and the public and the research of corporate environmental investment has become one of the research focus.The research on the environmental investment mainly focuses on environmental regulation,corporate governance and so on,and also achieved fruitful results.However,the impact of managers’ individual characteristics on corporate environmental investment has not been studied yet.Based on the perspective of political network,this paper studies on the influence of different types of managers’ political network on environmental investment and discusses the moderating effects of two external pressures of environmental regulation and media supervision on the relationship between the two parties are discussed.Firstly,this paper reviews the institutional background of environmental protection of our country and the relationship between government and enterprises,combined with the reputation theory,legitimacy theory,reputation theory,this paper established the theoretical analysis framework of managers’ political networks and corporate environmental investment.Secondly,based on the samples of China A-shares listed companies in heavy polluting industries from 2008 to 2014,we analysis the relations between political network and environmental investment with the method of multiple regression,specifically,the top managers’ political network is divided into the local political network and the central political network,the official political network and representative political network.Then we explore the impact of the external pressure on the relationship between the managers’ political network and corporate environmental investment.The study finds that:(1)During 2008-2012,the environmental investment of listed companies in China heavy polluting industries showed a decreasing trend,the overall scale of environmental investment is low,and there is a big difference in environmental investment between different corporates.(2)The political network of managers has a negative impact on the corporate environmental investment,the concrete manifestation is that the more developed the political network is,the lower the corporate environmental investment will be.(3)The negative influence of the local political network on the corporate environmental investment is greater than that of the central political network,and the negative effect of the official political network on the environmental protection investment is greater than that of the representative political network.(4)Environmental regulation and media supervision can restrain the negative impact of top managers’ political network on corporate environmental investment,the greater the intensity of environmental regulation and media supervision,the lower the negative impact of the political network on corporate environmental investment.Finally,according to the above research conclusions,this paper argues that we should strengthen the supervision of the relationship between government and business,improve the environmental regulatory system and intensity of environmental regulation,and optimize the roel of media supervise on corporate environmental behavior.This paper extends the research perspective of the influencing factors of corporate environmental investment,enrich the research on the economic consequences of political network,and this paper can provide suggestions for strengthening the external supervision and improving the performance of corporate environmental responsibility.