The Impact of the Degree of RMOR on Corporate ESG Performance

Yixuan Yuan; Yixuan Zhang; Jingyi Tong

doi:10.54097/qrqx2w49

Authors

Yixuan Yuan
Yixuan Zhang
Jingyi Tong

DOI:

https://doi.org/10.54097/qrqx2w49

Keywords:

Degree of RMOR; ESG performance; Resource effect; Management effect.

Abstract

Mixed-ownership reform is one of the core measures of China's economic system reform, aiming to optimize corporate governance structures and stimulate market vitality through the integration of diverse capital. In recent years, the emerging "reverse mixed-ownership reform (RMOR)" has gradually become an innovative path for deepening reform, especially in promoting corporate sustainable development and green transformation. Based on panel data of A-share listed companies in China from 2009 to 2023, this study constructs a mediation effect model to empirically examine the impact of the degree of RMOR on corporate ESG performance and its mechanism of action. The findings indicate that the degree of RMOR significantly enhances corporate ESG performance. In terms of resource effects, RMOR significantly amplifies the efficiency of corporate ESG investment by reducing major shareholders' fund occupation, alleviating financing constraints, and enhancing the ability to obtain government subsidies. Regarding management effects, RMOR effectively promotes corporate ESG performance by increasing the average employee salary, raising the proportion of independent directors, and optimizing the quality of internal control. Moreover, heterogeneity analysis shows that the improvement effect of RMOR on ESG performance is more significant for enterprises in the eastern and western regions. From an industry perspective, the promoting effect of RMOR is significant in manufacturing, real estate, and transportation industries, while it is delayed in the construction industry with strong resource rigidity. This study provides strong empirical evidence for how state-owned capital can promote the sustainable development of private enterprises and offers data support and reference for relevant policy-making.

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