Research on The Influence of ESG Information Disclosure on Enterprise Financial Risk
Taking Pharmaceutical Industry as An Example
DOI:
https://doi.org/10.54097/fbem.v5i3.2033Keywords:
ESG information disclosure; Financial risk; The pharmaceutical industry.Abstract
Based on the data of Chinese A-share pharmaceutical industry companies from 2017 to 2020, this paper analyzes the impact of ESG information disclosure on financial risk. The results show that good ESG information disclosure can significantly reduce the financial risk of enterprises. The effect of ESG information disclosure on financial risk control of non-state-owned enterprises is more prominent, and the higher the degree of marketization, the more obvious the positive effect.
Downloads
References
Zou Yanchun. On enterprise financial risk evaluation system [J]. Chinese and Foreign Entrepreneurs,2016(19):160+162.
Zhang hui. ESG responsible investment theoretical basis, research present situation and future [J]. Journal of accounting monthly, 2022 (17) : 143-150. The DOI: 10.19641 / j.carol carroll nki. 42-1290 / f 2022.17.019.
Aboud A, Diab A.The Impact of Social, Environmental and Corporate Governance Disclosures on Firm Value Journal of Accounting in Emerging Economies, 2018,8 (4) : 442-458.
Giese G, Lee L E. Weighing the evidence: ESG and equity returns[J]. MSCI Research Insight, 2019.
Zhang Lin, Zhao Haitao. Does Corporate Environmental, Social and Corporate Governance (ESG) Performance Affect Firm Value?-- An empirical study on A-share listed companies [J]. Wuhan Finance,2019(10):36-43.
Alareeni, Bahaaeddin A, Allam H.ESG Impact on Performance of US S&P 500-Listed Firms [J],Corporate Governance (Bradford), 2019 (10) : 33-43. 20, 20 (7) : 1409-1428
Xu Guanghua, Zhuo Yaoyao, Zhang Yimeng, Zhang Jiayi. Will ESG disclosure improve enterprise value?[J]. Finance and Accounting Communications,2022(04):33-37.
Wang Linlin, Lian Yonghui, Dong Jie. Research on the influence mechanism of ESG performance on firm value [J]. Securities Market Review,2022(05):23-34.]
Soft science, 2022, 4 (6) : 78-84. The DOI: 10.13956 / j. s. 1001-8409.2022.06.11.
Velte, Patrick.Does ESG Performance have an Impact on Financial Performance? Evidence from Germany [J], Journal of Global Responsibility, 2017,8 (2) : 169-178.
Lingxue Yi, Yiqi Jiang, Shujie Yao. A study on the value Creation Effect of ESG Practices in Enterprises: An examination from the perspective of external pressure [J/OL]. The southern economy: 1-24 [2022-09-21]. DOI: 10.19592 / j.carol carroll nki scje. 391581.
Dalal K K, Thaker N. ESG and corporate financial performance: A panel study of Indian companies[J]. IUP Journal of Corporate Governance, 2019, 18(1): 44-59.
Ahmad N, Mobarek A, Roni N N. Revisiting the impact of ESG on financial performance of FTSE350 UK firms: Static and dynamic panel data analysis[J]. Cogent Business & Management, 2021, 8(1): 1900500.
Qureshi M A, Akbar M, Akbar A, et al. Do ESG endeavors assist firms in achieving superior financial performance? A case of 100 best corporate citizens[J]. Sage Open, 2021, 11(2): 21582440211021598.
Zhang Xian-hua, Gao Yuan-yuan. Is ESG performance of listed companies related to financial performance?- data from the Shanghai and shenzhen 300 index [J]. Journal of fujian business school, 2021 (04) : 54-61. The DOI: 10.19473 / j.carol carroll nki. 1008-4940.2021.04.009.
Ren Zixian, Gu Shuchang, Yang Yuzhu, Li Jingwen. ESG performance and corporate financial performance relations empirical study [J]. Journal of business and management, 2021 (11) : 26-32. DOI: 10.16517 / j.carol carroll nki cn12-1034 / f 2021.11.005.
Landi G, Sciarelli M. Towards a more ethical market: the impact of ESG rating on corporate financial performance[J]. Social Responsibility Journal, 2018.
Duque-Grisales E, Aguilera-Caracuel J. Environmental, social and governance (ESG) scores and financial performance of multilatinas: Moderating effects of geographic international diversification and financial slack[J]. Journal of Business Ethics, 2021, 168 (2) : 315-334.
Friede G, Busch T, Bassen A. ESG and financial performance: aggregated evidence from more than 2000 empirical studies[J]. Journal of sustainable finance & investment, 2015, 5(4): 210-233.
Godfrey P C. The relationship between corporate philanthropy and shareholder wealth: A risk management perspective[J]. Academy of management review, 2005, 30(4): 777-798.
Kumar, N. C. A., C. Smith, L. Badis, N. Wang, P. Ambrosy, R. Tavares, "ESG Factors and Risk-adjusted Performance: "A new Quantitative Model", Journal of Sustainable Finance & Investment, 2016, 6(4), 292-300.
Shakil M H. Environmental, social and governance performance and financial risk: Moderating role of ESG controversies and board gender diversity[J]. Resources Policy, 2021, 72: 102144.
Oikonomou I, Brooks C, Pavelin S. The impact of corporate social performance on financial risk and utility: A longitudinal analysis[J]. Financial Management, 2012, 41(2): 483-515.
Sassen R, Hinze A K, Hardeck I. Impact of ESG factors on firm risk in Europe[J]. Journal of business economics, 2016, 86 (8) : 867-904.
Chollet P, Sandwidi B W. CSR engagement and financial risk: A virtuous circle? International evidence[J]. Global Finance Journal, 2018, 38: 65-81.
[Qiu Muyuan, Yin Hong. ESG performance and financing cost of enterprises in the context of ecological civilization construction.] Quantitative and Technical Economics Research,2019,36(03):108-123.]
Xu C. Study of Environmental Accounting Information Disclosure and Financial Performance of Heavy Pollution Enterprises -- Based on Empirical Evidence of Coal Enterprises[C]//6th International Conference on Economics, Management, Law and Education (EMLE 2020). Atlantis Press, 2021: 533-540.
[Han Fang, Yang Liu. Social responsibility information Disclosure and financial risk [J]. Statistics and Decision,2021,37(14):165-168.]
Hadlock C J, Pierce J R. New Evidence on Measuring Financial Con⁃straints: Moving Beyond the KZ Index [J].Review of Financial Studies,2010,(23).
Quan Xiao-feng, Wu Shin-Nong, Yin Hong-ying. Corporate Social Responsibility and stock price Crash Risk: "Sharp Tool of Value" or "Tool of Self-interest"?[J]. Economic Research Journal,2015,50(11):49-64.
[Yu Fusheng, Zhang Min, Jiang Fuxiu, Ren Mengjie.] Does corporate governance affect corporate financial risk?[J]. Accounting Research,2008(10):52-59+97.
[J]. Accounting Research, 2008 (10) : 52-59 + 97. Finance and Accounting Communications,2014(03):53-56.]
Xu Xiangbing, Qiao Pengcheng, Huang Qin. Can ESG accountability performance deliver more transparent information?[J/OL]. Industrial Economics Review :1-18[2022-09-18].
[Wang Jing. Research on driving factors and progress of green finance development in China [J]. Economic Reform,2019(05):136-142.]
Alexander D L, Thistle P D. Market power, efficiency and the dispersion of systematic risk[J]. Review of Industrial Organization, 1999, 14(4): 377-390.
Benlemlih M, Girerd‐Potin I. Corporate social responsibility and firm financial risk reduction: On the moderating role of the legal environment[J]. Journal of Business Finance & Accounting, 2017, 44(7-8): 1137-1166.
Research on financial management of small and medium-sized enterprises under the background of liquidity contraction [J]. Modern Economic Information,2011(13):148+167.]
Soft science, 2022, 4 (6) : 78-84. The DOI: 10.13956 / j. s. 1001-8409.2022.06.11.
Su C, Chen C. Study on ESG evaluation system of listed companies under new development concept: A case study of listed companies in heavy pollution manufacturing industry [J]. Finance and Accounting Monthly,2022(06):155-160.]
Gao Jieying, Chu Dongxiao, Lian Yonghui, Zheng Jun. Can ESG performance improve corporate investment efficiency?[J]. Securities Market Review,2021(11):24-34+72.
[Zhang Zhaoguo, Jin Xiaocui, Li Gengqin. An empirical study on the interaction between corporate social responsibility and financial performance [J]. Accounting Research, 2013 (8) : 32-39+96.]
