Sustainable Development in the Global Food and Beverage Sector: Leveraging Brand Visibility for Competitive Advantage and Effective Stakeholder Engagement

Abstract

This study examines the interplay between environmental management (EM), environmental performance (EP), and corporate financial performance (CFP) within the global food and beverage (F&B) industry to advance the discourse on sustainable development. By leveraging the natural resource-based view (NRBV) and stakeholder theory, it investigates how internal environmental policy translates into financial outcomes and evaluates the moderating role of brand visibility in facilitating stakeholder engagement. Using system generalized method of moments (GMMs) on panel data from 540 firms spanning 2015 to 2023, the findings reveal that EM significantly improves market-based CFP (Tobin's Q), but has no direct effect on accounting-based measures (ROA and ROE). EP shows no direct financial impact, though EM positively influences EP. Brand visibility significantly moderates the EM-CFP and EP-CFP relationships, amplifying their effects. The study clarifies the distinct roles of EM and EP, addresses mixed findings in prior research, and highlights the strategic importance of integrating environmental and marketing capabilities to drive competitive advantage and enhance firm performance.