ESG and firm operational efficiency: evidence from Chinese listed companies

IF 4.7 3区 环境科学与生态学 Q2 ENVIRONMENTAL SCIENCES
Bin Wang, Chenchen Wei, Longmei Shi, Xiaoqiang Cheng, Xueqin Shi
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引用次数: 0

Abstract

This paper aims at exploring whether and how environment, social responsibility, and corporate governance (ESG) affects firm operating efficiency (FOE). The potential moderating role of cash flow has also been studied in an effort to disentangle its relationships in this context. By using data on A-share listed companies from 2011 to 2020 in China, we find that a good ESG performance has a significantly positive impact on FOE. After changing the measurement of FOE, using Huazheng ESG performance and a series of stability tests such as endogenous tests, the results are still robust. Meanwhile, we find that the primary driver of the positive impact of ESG on FOE lies in its capacity to enhance economies of scale. In addition, we also find that ESG has a more pronounced effect on FOE for non-manufacturing enterprises and privately-owned enterprises. These results suggest that ESG has become an effective way to improve FOE. Exploring the impact of ESG performance on corporate operational efficiency is of significant practical significance for getting rid of corporate development difficulties, promoting good business operation, advancing the upgrading of the industrial structure of the industry, and ultimately realizing the efficient and steady growth of the industry as a whole.

ESG与公司运营效率:来自中国上市公司的证据
本文旨在探讨环境、社会责任和公司治理(ESG)是否以及如何影响企业经营效率(FOE)。现金流量的潜在调节作用也进行了研究,以努力理清其在此背景下的关系。利用2011 - 2020年中国a股上市公司的数据,我们发现良好的ESG绩效对FOE具有显著的正向影响。在改变FOE的测量方法后,利用华正ESG绩效和内源性测试等一系列稳定性测试,结果仍然具有鲁棒性。同时,我们发现ESG对FOE产生积极影响的主要驱动力在于其提高规模经济的能力。此外,我们还发现ESG对非制造业企业和民营企业FOE的影响更为显著。这些结果表明,ESG已成为改善FOE的有效途径。探讨ESG绩效对企业经营效率的影响,对于摆脱企业发展困境,促进企业良好经营,推进行业产业结构升级,最终实现行业整体高效稳定增长,具有重要的现实意义。
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来源期刊
Environment, Development and Sustainability
Environment, Development and Sustainability Economics, Econometrics and Finance-Economics and Econometrics
CiteScore
10.20
自引率
6.10%
发文量
754
期刊介绍: Environment, Development and Sustainability is an international and multidisciplinary journal covering all aspects of the environmental impacts of socio-economic development. It is also concerned with the complex interactions which occur between development and environment, and its purpose is to seek ways and means for achieving sustainability in all human activities aimed at such development. The subject matter of the journal includes the following and related issues: -mutual interactions among society, development and environment, and their implications for sustainable development -technical, economic, ethical and philosophical aspects of sustainable development -global sustainability - the obstacles and ways in which they could be overcome -local and regional sustainability initiatives, their practical implementation, and relevance for use in a wider context -development and application of indicators of sustainability -development, verification, implementation and monitoring of policies for sustainable development -sustainable use of land, water, energy and biological resources in development -impacts of agriculture and forestry activities on soil and aquatic ecosystems and biodiversity -effects of energy use and global climate change on development and sustainability -impacts of population growth and human activities on food and other essential resources for development -role of national and international agencies, and of international aid and trade arrangements in sustainable development -social and cultural contexts of sustainable development -role of education and public awareness in sustainable development -role of political and economic instruments in sustainable development -shortcomings of sustainable development and its alternatives.
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