How Does Pro-Clean Government-Business Relationship Affect Corporate ESG Performance
The performance of enterprises in environmental,social,and governance(ESG)aspects cannot be separated from the support and guarantee of the institutional environment.Taking A-share listed companies in Shanghai and Shenzhen stock exchanges from 2017 to 2021 as samples,this study explores how pro-clean government-business relationship affects corporate ESG performance.The find-ings show that pro-clean government-business relationship can significantly improve corporate ESG performance.The mechanism analysis reveals that the pro-clean government-business relationship mainly enhances corporate ESG performance through the two channels:improving the external financing envi-ronment and suppressing the short-sighted behaviors of corporate management.Further analysis reveals that the"clean"dimension of the government-business relation plays a major role;and in enterprises registered in provincial capitals or municipalities,belonging to non-heavily-polluting industries,with a high degree of digital transformation,and with a higher proportion of institutional investors holding shares,the pro-clean government-business relation can significantly improve corporate ESG perfor-mance.Based on the above research conclusions,it is recommended that local governments should ac-tively build pro-clean government-business relationship to optimize financing channels.Meanwhile,en-terprises should overcome short-term profit seeking behaviors,so as to achieve long-term sustainable development.
pro-clean government-business relationshipESG performancefinancing constraintsshort sightedness of management
万方数据
维普
