Driving businesses towards a better climate: Macro and micro mechanisms to protect the planet

Abstract This study examines whether corporate commitment to climate change is driven by country‐level factors related cultural values and the legal system (LS) of a country. We also investigate impact governance strength on extent which there are moderating effects between LS influences. use large dataset 21,564 firm‐year observations companies operating in United States, UK, China for period 2013 2020 develop unique measure using different proxies measuring practices. find variations among three countries that LSs affect change. Companies located socially oriented society, transparent characterized long‐term orientation, more strongly involved actions. The increases Corporate moderates some detrimental influences commitment. These findings have implications managers as they reveal macro‐level behavior can help moderate these factors.