Regardless of firm size, many companies are committed to fight against climate change because of their own values. However, only a few companies associate climate change with additional market opportunities. Small companies in particular link the combat against climate change with additional cost burden. The "climate-friendly" attitude of many Mittelstand companies also manifests itself in concrete actions: More than half of all companies have already implemented environmentally relevant innovations in the past. While large companies innovate more than SMEs due to their resource advantages, the unity of ownership and management in Mittelstand companies facilitates the implementation of environmental activities. A specific promotion of environmental innovations is problematic because of the expected windfall effects. Instead, it would make sense to rely on flexible environmental policy instruments. In addition to market-based solutions such as emissions trading systems or CO2 pricing, informal instruments could be used for this purpose.
IfM-Materialien | 2022 Attitudes and behavior of Mittelstand companies facing climate change
Dienes, C.; Butkowski, O.; Holz M.; Korus, A.; Wolter, H.-J. (2021): Einstellungen und Verhalten mittelständischer Unternehmen angesichts des Klimawandels, in: IfM Bonn, IfM-Materialien Nr. 290, Bonn