Big profits can fuel bad corporate behaviour, new research shows

Companies that over-perform financially are more likely to breach environmental and social regulations, academic finds

Hubris and overconfidence caused by excellent financial performance is a major driver of irresponsible corporate behaviour, according to new research.

Di Fan, a senior lecturer at the business school of the Australian National University, said his research showed companies making above-average profits were more likely to breach their environmental or social obligations than run-of-the-mill firms.