Correlation Between Environmental Performance And Financial Performance

Since entering the industrialization development stage, with the rapiddevelopment of market economy, Our country’s environmental pollution problems isincreasingly serious, the people’s survival is a seriously threatened. In order tocontrol the worsening environmental pollution problem, the government urgentlyneeds to develop reasonable and effective environmental policies to guide therealization of green production in companies, embarked on the road of sustainabledevelopment. The correlation study between environmental performance and financialperformance can provide important reference for establishing the environmentalprotection policy. In addition, the correlation study between environmentalperformance and financial performance can also provide guidelines for company’senvironmental investment decisions, optimize resource utilization efficiency andachieve win-win environmental performance and financial performance.Content framework of this paper consists of five parts. The first chapter is theintroduction of the article. This chapter meanly discusses the research background,significance of the topic, research content and research methods. The second chaptermeanly introduces the domestic and foreign literature review about the environmentalperformance, financial performance and correlation between them. The third chapterselects the overall environmental indicators of industrial enterprises in various regionsfrom "China Environmental inspection" as study samples. Then I use the means ofdata envelopment analysis to calculate the environmental performance score. I alsobriefly evaluate and analysis the final level of environmental performance for eachregion based on the data achieved already. The fourth chapter is the empirical study ofthis article. Relevant conclusions about the correlation between environmentalperformance and financial performance are reached by SPSS statistical techniques.The fifth chapter is the end of this article, including the conclusion of the study,research proposals and research limitations.In short, through this article, I hope to be able to provide a reference for theestablishing of environmental protection policy and the optimization of corporateenvironmental management decisions. I wish this essay can make some contributionsfor the further study on this topic.