Advances in Economics, Management and Political Sciences

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Proceedings of the 7th International Conference on Economic Management and Green Development

Series Vol. 36 , 10 November 2023


Open Access | Article

Factors Influencing Enterprise ESG Performance

Xiao Chen * 1
1 Shanghai Ocean University

* Author to whom correspondence should be addressed.

Advances in Economics, Management and Political Sciences, Vol. 36, 39-44
Published 10 November 2023. © 2023 The Author(s). Published by EWA Publishing
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Citation Xiao Chen. Factors Influencing Enterprise ESG Performance. AEMPS (2023) Vol. 36: 39-44. DOI: 10.54254/2754-1169/36/20231784.

Abstract

This paper discusses the factors which influence the environmental, social, and governance performance of enterprises by reviewing previous studies. The article is analyzed from the external and internal environment of enterprises and developed from three dimensions: social institution, policy, and executives’ characteristics. Social institution and policy are external environments, and executives’ characteristic is the internal environment. The factor of social institutions, political institutions, labor institutions, and cultural institutions are discussed. They will be detailed on corruption, unemployment rate, labor protection, social cohesion, and equal opportunities. Unemployment rate and labor protection pose a positive impact on enterprise ESG performance, while high levels of country corruption, social cohesion, and equal opportunities contribute to negative ESG performance. Spanish, French, and Japanese enterprises are listed as an example. Spanish and French firms have similar levels of social and corporate governance performance, while Japanese firms are more committed to environmental issues due to cultural institutional differences. In the factor of policy, the article focuses on the positive influence of China’s environmental regulation on technology innovation in the paper industry. The factor of executives’ characteristics, international background, and diversity, specifically in female proportion, of corporate executives are helpful to enterprise ESG performance. ESG performance is influenced by the external and internal environment of the enterprise. There is a mutual promotion between external and internal environments. This paper analyzing several factors will provide a reference for developing enterprise ESG performance in different countries.

Keywords

ESG, social institution, policy, executives’ characteristics

References

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3. Zhu, K., & Tang, Y.: ESG Ratings and Corporate Debt Financing Costs: An Empirical Test Based on Multi-Period DID. Management Modernization 42(06), 30-37 (2022).

4. Baldini, M., Maso, L.D., Liberatore, G. et al.: Role of Country- and Firm-Level Determinants in Environmental, Social, and Governance Disclosure. JBus Ethics 150, 79–98 (2018).

5. Ortas, E., Álvarez, I., Jaussaud, J., & Garayar, A.: The impact of institutional and social context on corporate environmental, social and governance performance of companies committed to voluntary corporate social responsibility initiatives. Journal of Cleaner Production 108, 673–684 (2015).

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7. He, S.: The Impact of Environmental Regulations on Technological Innovation in China's Paper Industry. Hunan University of Science and Technology (2016).

8. Wu, P.: Executive Overseas Background and Corporate ESG Performance. Beijing Foreign Studies University (2022).

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Data Availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

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Volume Title
Proceedings of the 7th International Conference on Economic Management and Green Development
ISBN (Print)
978-1-83558-093-6
ISBN (Online)
978-1-83558-094-3
Published Date
10 November 2023
Series
Advances in Economics, Management and Political Sciences
ISSN (Print)
2754-1169
ISSN (Online)
2754-1177
DOI
10.54254/2754-1169/36/20231784
Copyright
© 2023 The Author(s)
Open Access
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

Copyright © 2023 EWA Publishing. Unless Otherwise Stated