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Bibliographic Details
Main Authors: Sun, Xichen, Jia, Xingzhi, Oliva, Rogelio
Format: Preprint
Published: 2025
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Online Access:https://arxiv.org/abs/2508.05811
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Table of Contents:
  • Although goal-setting theory predicts that a challenging and specific goal can improve performance, the evidence regarding the effectiveness of an environmental goal in organizations is mixed. Using a panel data set consisting over 700 global firms across multiple industries, we apply a Difference-in-Differences (DiD) strategy and empirically analyze the effect of having science-based carbon emissions targets (SBTs) on firms' carbon performance. The findings in this study contribute to the debate regarding the necessity of setting SBTs.