The purpose of this paper is to explore the pattern of relationships between business strategy and environmental approaches and to identify the environmental typology. This paper is written based on the mail-survey study of 83 firms in Indonesian chemical industry.
Using factor analysis, the study found three environmental approaches: prevention, information, and correction. Using cluster analysis, the sample can be grouped into five categories as environmental typology: non-compliance (20 firm). compliance (14 firms), compliance-plus (11 firms), excellence (13 firm) and leading edge (24 firms).
Empirical finding from regression analyses suggested that the relationship between business strategy and environmental approaches was found. Business strategy has a significant and positive relationship with prevention approach and information approach.