Last, this study makes its contributions to the existing literature
by providing findings that support the instrumental stakeholder
theory. The environmental management strategy or green strategy
encompasses waste management and recycling, and according to
Donaldson and Preston (1995) and Freeman (1984), such strategy
as a part of a broader concept of corporate social responsibility
(CSR) acts for firms as an instrument that eventually leads to
enhanced firm performance. Findings of the current study are also
consistent with the enlightened stakeholder theory proposed by
Jensen (2001 ); a firm cannot ignore its diverse stakeholders' various
interests if the firm wants to maximize its performance in a
long-run