Firm’s Considerations on Building ESG Profile

DOI: https://doi.org/10.62517/jse.202411213

Author(s)

Fan Xiao

Affiliation(s)

College of Management, Zhongkai University of Agriculture and Engineering, Guangzhou, Guangdong, China

Abstract

This paper examines the growing significance of Environmental, Social, and Governance (ESG) standards in the corporate domain. Acknowledging the shift from the traditional focus on shareholder wealth maximization, scholars advocate for a comprehensive assessment of corporate performance across environmental, social responsibility, and governance dimensions—the "triple bottom line" principles. Regulatory influence, investor impact, and consumer behavior emerge as key themes shaping firm-specific and institutional contexts influencing corporate decisions to enhance their ESG profile. The study proposes a comprehensive methodology involving data collection from diverse sources, Python-based analysis, and econometric methods. The research aims to provide insights into the decision-making processes of companies adopting ESG-aligned technologies, contributing to a deeper understanding of sustainable development and social responsibility. The potential avenues for further exploration encompass regulatory dynamics, investor perspectives, consumer behavior dynamics, comparative institutional analysis, and managerial decision-making. By analyzing stakeholder needs and requirements, the study aims to benefit companies, governments, investors, and society in advancing sustainable development. Overall, this research contributes to social movement studies, organization theory, and non-market strategies related to ESG.

Keywords

ESG; Investor Impact; Consumer Behavior; Corporate Social Responsibility (CSR)

References

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