Financial sustainability in the context of ESG disclosure: A comprehensive analysis of Chinese-listed firms

IF 8.3 2区管理学 Q1 BUSINESS

Corporate Social Responsibility and Environmental Management Pub Date : 2024-12-10 DOI:10.1002/csr.3072

Muhammad Istiaque Hossain, Baolei Qi, Mohamed Marie, Mohamed Omran, Yucheng Chen

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Abstract

This study examines the pivotal role of environmental, social and governance (ESG) disclosure in the financial sustainability of Chinese-listed companies, addressing a significant gap in the literature regarding the impact of corporate governance mechanisms on this relationship. Utilising a comprehensive dataset spanning from 2009 to 2021, the findings indicate that while ESG disclosure generally enhances financial sustainability, the quality of audits and the independence of boards significantly weaken this relationship by increasing transparency and mitigating managerial opportunism. The robustness of these results has been confirmed through rigorous testing. The study underscores the importance of integrating corporate governance mechanisms into firms' ESG disclosure strategies, aligning with stakeholder theory to optimise financial sustainability. This research provides theoretical and practical contributions by deepening the understanding of governance factors in ESG reporting and their strategic influence on long-term corporate financial health.

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来源期刊

Corporate Social Responsibility and Environmental Management Multiple-

CiteScore

17.20

自引率

16.30%

发文量

189

期刊介绍： Corporate Social Responsibility and Environmental Management is a journal that publishes both theoretical and practical contributions related to the social and environmental responsibilities of businesses in the context of sustainable development. It covers a wide range of topics, including tools and practices associated with these responsibilities, case studies, and cross-country surveys of best practices. The journal aims to help organizations improve their performance and accountability in these areas. The main focus of the journal is on research and practical advice for the development and assessment of social responsibility and environmental tools. It also features practical case studies and evaluates the strengths and weaknesses of different approaches to sustainability. The journal encourages the discussion and debate of sustainability issues and closely monitors the demands of various stakeholder groups. Corporate Social Responsibility and Environmental Management is a refereed journal, meaning that all contributions undergo a rigorous review process. It seeks high-quality contributions that appeal to a diverse audience from various disciplines.