Modern Project Management

(ISSN: 2317-3963)

info@journalmodernpm.com

EXPLORING THE RELATIONSHIP BETWEEN ENVIRONMENTAL, SOCIAL AND GOVERNANCE (ESG) PERFORMANCE, FINANCIAL CONSTRAINTS, AND CORPORATE VALUE IN CHINESE LISTED FIRMS (CLFS): A COMPREHENSIVE LITERATURE REVIEW

Yuetong Wu
UKM-Graduate School of Business (UKM-GSB), Universiti Kebangsaan Malaysia, 43600 Bangi, Selangor, Malaysia
Puan Yatim
UKM-Graduate School of Business (UKM-GSB), Universiti Kebangsaan Malaysia, 43600 Bangi, Selangor, Malaysia
Sue Lin Ngan
UKM-Graduate School of Business (UKM-GSB), Universiti Kebangsaan Malaysia, 43600 Bangi, Selangor, Malaysia

Abstract

In the contemporary global business landscape, there is an escalating emphasis on the adoption of sustainable and responsible practices by enterprises. The integration of environmental, social, and governance (ESG) considerations into corporate strategies is increasingly recognized as a pivotal driver for the enduring creation of value. However, a notable information gap persists concerning the nexus between ESG performance, economic constraints, and corporate valuation, particularly within the specific milieu of Chinese listed corporations (CLFs). Consequently, the primary objective of this scholarly inquiry is to address this gap by systematically exploring the intricate relationship among ESG performance, economic constraints, and corporate value within the context of Chinese listed companies. Furthermore, the study aims to discern the mediating and moderating factors that influence this complex interplay. To undertake this investigation, a methodologically rigorous approach based on a comprehensive literature review was employed. This encompassed the systematic collection and analysis of pertinent research papers, articles, and studies. Initially, a pool of 200 papers was subjected to consideration, from which 96 research papers were deemed suitable for further scrutiny. These selected papers underwent meticulous critical review to discern and elucidate key themes, variables, and propositions. The empirical findings of this study unveil a discernible positive relationship between ESG performance and corporate value in Chinese listed firms. Furthermore, it was observed that corporate culture and supply chain management operate as mediating mechanisms within this relationship, whereas stakeholder pressure, CEO leadership, and governmental regulations were identified as moderators. By illuminating the intricacies of the relationship between ESG performance, financial constraints, and corporate value, this study makes a substantial contribution to the comprehension of sustainable business practices within Chinese listed firms. The implications of these findings underscore the imperative nature of integrating ESG considerations into corporate strategies, while also underscoring the nuanced role played by various influencing factors in shaping this relationship. The practical relevance of these insights extends to organizational decision-makers, policymakers, and stakeholders, providing valuable guidance for informed decision-making and facilitating the adoption of sustainable and responsible business practices in the Chinese business landscape.

Keywords: Environmental, Social, Governance, Performance, Financial Constraints, Corporate Value, Chinese Listed Companies, Corporate Culture, Employee Engagement, Stakeholder Pressure, CEO Leadership.

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Keywords

Project managementAgileconstructionSustainabilityproject successProjectProject SuccessDSMinnovationcase studyPMOBIMClusteringsuccessSMEDMMGovernanceLeanuncertaintyprojectcomplexityLeadershipPERTSuccessriskcriteriaschedule