Research on the Impact of Executives' Overseas Background on the Enhancement of Corporate ESG Capability
Year: 2025
Type: article
Abstract: Based on the top echelon theory and branding theory, This study explores the impact of executives' international experience on enhancing corporate ESG (Environmental, Social, and Governance) capabilities. Using empirical data from A-share listed companies in Shanghai and Shenzhen between 2018 and 2023, we examine how executives' overseas backgrounds contribute to improved ESG performance. The analysis seeks to highlight the role of global experience in advancing corporate sustainability and governance practices.It is found that executives' international experience is positively associated with higher corporate ESG scores.Specifically, executives with overseas backgrounds are able to introduce diversified perspectives and advanced management concepts, thus improving corporate performance in areas such as environmental sustainability, social responsibility, and governance.In addition, the study suggests that firms that take executives' international experience into account in their decision-making process are able to optimize resource allocation and respond effectively to stakeholders' needs. These findings offer both theoretical insights and practical recommendations for businesses in the selection and development of managerial talent, and emphasise the importance of executives' international background in promoting sustainable development and social responsibility.
Source: CREATIVE ECONOMY
Author: Xiaoyu Min
Institution: Zhejiang University of Finance and Economics
Language: English
Subfield: Strategy and Management
Domain: Social Sciences
Open Access status: bronze
OpenAlex ID: W4408867580