Talk the Talk, But Walk the Walk? Female-Managed Firms and Greenwashing Behavior

Previous studies have examined gender differences in environmental disclosure and corporate environmental responsibility, which are elements used to measure greenwashing. However, little attention has been given to the impact of firm leaders’ gender on greenwashing. This study applies a logit econometric model to estimate the probability of being greenwashers for female-led firms compared to male-led firms, using a sample of 7,870 private firms from 28 countries. Our main results suggest that female-managed firms are not less likely to conduct greenwashing. This study also evaluates the impact on greenwashing of other determinants, such as access to finance, firm size, pollution degree, and region, and whether the gender gap in greenwashing is attributed to the primary drivers of greenwashing. Finally, we draw implications from this study on how to enhance the credibility of environmental initiatives for both female-led and male-led firms.