DOI QR코드

DOI QR Code

The Effect of ESG Performance on Economic Growth

  • Wei-Keon ZHANG (Department of Management Information System, Chungbuk University)
  • Received : 2023.12.22
  • Accepted : 2023.12.30
  • Published : 2023.12.30

Abstract

Purpose - By filling the existing research hole and supplying a whole evaluation, this test wants to offer actionable insights for stakeholders navigating the intersection of sustainability and financial prosperity. Ultimately, this study contributes to the evolving speak on ESG, fostering a deeper comprehension of its implications for fostering sustainable economic increase. Research design, data, and methodology - Based on the numerous prior literature, the current study adopts a rigorous and systematic approach to discover the connection between Environmental, Social, and Governance (ESG) performance and its effect on a financial boom. The Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) method is the guiding framework for systematically accumulating and analyzing earlier research studies. Result: The finding of this study indicates that using ESG-pushed innovation, practitioners can force technological advancements inside their respective industries. By combining sustainability with research and improvement tasks, corporations can be leaders in selling economic boom through current, green solutions. Conclusion - In summary, this study concludes that embracing those findings in this study allows practitioners and managers to enhance their organization's easy regular, well-known traditional regular standard overall performance and undoubtedly contribute to a broader financial boom via leveraging the transformative strength of ESG necessities.

Keywords

References

  1. Abdi, Y., Li, X., & Camara-Turull, X. (2020). Impact of sustainability on firm value and financial performance in the air transport industry. Sustainability, 12(23), 9957.
  2. Baraibar-Diez, E., & D. Odriozola, M. (2019). CSR committees and their effect (Baraibar-Diez & Odriozola, 2019) on ESG performance in UK, France, Germany, and Spain. Sustainability, 11(18), 5077.
  3. Berg, F., Fabisik, K., & Sautner, Z. (2020). Rewriting history II: The (un) predictable past of ESG ratings. European Corporate Governance Institute-Finance Working Paper, 708(2020), 10-2139.
  4. Bhaskaran, R. K. (2023). Sustainability Initiatives, Knowledge-Intensive Innovators, and Firms' Performance: An Empirical Examination. International Journal of Financial Studies, 11(1), 14.
  5. Bressan, S. (2023). Effects from ESG scores on P&C insurance companies. Sustainability, 15(16), 12644.
  6. Carnini Pulino, S., Ciaburri, M., Magnanelli, B. S., & Nasta, L. (2022). Does ESG disclosure influence firm performance?. Sustainability, 14(13), 7595.
  7. Crespi, F., & Migliavacca, M. (2020). The determinants of ESG rating in the financial industry: the same old story or a different tale?. Sustainability, 12(16), 6398.
  8. Daugaard, D., & Ding, A. (2022). Global drivers for ESG performance: the body of knowledge. Sustainability, 14(4), 2322.
  9. Ge, G., Xiao, X., Li, Z., & Dai, Q. (2022). Does ESG performance promote high-quality development of enterprises in China? the mediating role of innovation input. Sustainability, 14(7), 3843.
  10. Handayani, M. K. Y. (2019). The effect of ESG performance on economic performance in the high profile industry in Indonesia. Journal of International Business Economics, 7(2), 112-121.
  11. Hieu, V. M., & Hai, N. T. (2023). The role of environmental, social, and governance responsibilities and economic development on achieving the SDGs: evidence from BRICS countries. Economic research-Ekonomska istrazivanja, 36(1), 1338-1360.
  12. Ionescu, G. H., Firoiu, D., Pirvu, R., Enescu, M., Radoi, M. I., & Cojocaru, T. M. (2020). The potential for innovation and entrepreneurship in EU countries in the context of sustainable development. Sustainability, 12(18), 7250.
  13. Kang, E. (2022). The Impact of the Korean Wave (Hallyu) in a Global Business Context. Journal of Koreanology Reviews, 1(2), 1-9.
  14. Kang, E. (2022). Innovative capability and its connection with worker's environmental performance. The Journal of Industrial Distribution & Business, 13(7), 17-25.
  15. Kim, J. H., & Kang, E. (2022). The role of wearable devices for the success of the healthcare business: verification from PRISMA approach. Journal of Economics Marketing, and Management, 10(4), 13-24. https://doi.org/10.20482/JEMM.2022.10.4.13
  16. Koh, H. K., Burnasheva, R., & Suh, Y. G. (2022). Perceived ESG (environmental, social, governance) and consumers' responses: the mediating role of brand credibility, brand image, and perceived quality. Sustainability, 14(8), 4515.
  17. Levonian, M. M. (2022). CSR committees' impact on ESG Performance: a quantitative study of Swedish listed firms. (Master's thesis, Uppsala University). Retrieved May 22, 2023, from https://www.divaportal.org/smash/get/diva2:1673346/FULLTEXT01.pdf
  18. Menicucci, E., & Paolucci, G. (2022). Board diversity and ESG performance: evidence from the Italian banking sector. Sustainability, 14(20), 13447.
  19. Nantharath, P., Kang, E. G., & Hwang, H. J. (2016). Investment analysis in the hydroelectric power sector of the Lao People's Democratic Republic (Lao PDR). Journal of Distribution Science, 14(8), 5-8. https://doi.org/10.15722/JDS.14.8.201608.5
  20. Park, J. E., & Kang, E. (2022). The mediating role of eco-friendly artwork for urban hotels to attract environmental educated consumers. Sustainability, 14(7), 3784.
  21. Pham, T. N., Tran, P. P., Le, M. H., Vo, H. N., Pham, C. D., & Nguyen, H. D. (2022). The effects of ESG combined score on business performance of enterprises in the transportation industry. Sustainability, 14(14), 8354.
  22. Raneses, A. (2020). Beyond firms doing good: the impact of environmental, social, and governance factors (ESG) on the financial performance of Philippine companies. Harvard University.
  23. Tang, H. (2022). The effect of ESG performance on corporate innovation in China: the mediating role of financial constraints and agency cost. Sustainability, 14(7), 3769.
  24. Woo, E. J., & Kang, E. (2021). Employee environmental capability and its relationship with corporate culture. Sustainability, 13(16), 8684.
  25. Woo, E. J., & Kang, E. (2020). Environmental issues as an indispensable aspect of sustainable leadership. Sustainability, 12(17), 7014.
  26. Xia, J. (2022). A Systematic Review: How does organisational learning enable ESG performance (from 2001 to 2021)?. Sustainability, 14(24), 16962.
  27. Zhang, S., Yin, X., Xu, L., Li, Z., & Kong, D. (2022). Effect of environmental, social, and governance performance on corporate financialization: evidence from China. Sustainability, 14(17), 10712.
  28. Zhou, X., Caldecott, B., Harnett, E., & Schumacher, K. (2020). The effect of firm-level ESG practices on macroeconomic performance. Oxford Sustainable Finance Programme, Smith School of Enterprise and the Environment, University of Oxford. Working Paper, (20-03), 50.