Work

Does Board Internationalization Affect Corporate ESG Performance? Evidence from Chinese A-Share-Listed Companies

Year: 2024

Type: article

Abstract: This study empirically investigates whether board internationalization enhances corporate ESG performance, using data from Chinese listed companies from 2012 to 2022. The findings indicate that the introduction of foreign directors significantly improves corporate ESG performance, a conclusion that holds robust after various checks and addressing endogeneity concerns. Further analysis reveals that the positive impact of board internationalization on ESG performance is stronger in samples with older average management age and in high-pollution enterprises. By using Chinese companies as an example, this research uncovers the relationship between board internationalization and ESG performance, offering empirical evidence on how emerging market companies can enhance ESG performance through global human resource management.

Source: Sustainability

DOI: 10.3390/su162310738

Authors: Haotian Wu, Qiqi Sun, Zhihong Zhang, Dongmei Wang

Institutions: Shandong University of Finance and Economics, State Grid Corporation of China (China), State Grid Shandong Electric Power Company (China)

Language: English

Topic: Corporate Social Responsibility Reporting

Subfield: Strategy and Management

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: gold

Estimated APC paid: $2,728

Funder: Ministry of Education of the People's Republic of China