Emerging Dynamics of Sustainability in Multinational Enterprises
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Emerging Dynamics of Sustainability in Multinational Enterprises

Edited by John R. McIntyre, Silvester Ivanaj, Vera Ivanaj and Rabi N. Kar

This review addresses some of the pertinent questions arising out of the fast changing dynamics of sustainability development in multinational enterprises focusing their strategies, practices and models on emerging economies. Contributors from India, Europe and the United States offer fresh perspectives on strategic considerations for firms as well as case material.
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Chapter 10: Environmental Kuznets curve: CO2 emissions, pollution havens and type of economic development

K.V. Bhanu Murthy and Niti Bhasin


Any attempt to understand global environmental sustainability would necessarily involve examining the linkages between three dimensions of globalization – global environmental degradation, international trade and investment and the type of economic development that globalization has meant in recent decades. In this chapter, we specifically examine the relationship between carbon dioxide (CO2) emissions, which is a major indicator of environmental degradation; foreign direct investment (FDI) that is caused by relocation of international production through the dynamics of location of multinational enterprises (MNEs); and the type of economic development that the global economy has witnessed in recent decades. The pertinent view that has been researched in this chapter is that while the growth and dynamics of location of MNEs and hence, FDI, has meant the economic sustainability of MNEs, along with the development of the global economy, it has also led to vital changes in the patterns of global environmental degradation, which has led to an unsustainable global environment for the rest of the world in general, and emerging economies in particular.

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