Does ESG performance have an impact on financial performance? Evidence from Germany

Publikation: Beiträge in ZeitschriftenZeitschriftenaufsätzeForschungbegutachtet

Authors

Purpose: The purpose of this paper is to concentrate on environmental, social and governance performance (ESGP) in total and divided in each component and evaluate their impact on financial performance (FINP). Design/methodology/approach: The study covers a sample selection of companies listed on the German Prime Standard (DAX30, TecDAX, MDAX) for the business years 2010-2014 (412 firm-year observations). A correlation and regression analysis was carried out to evaluate possible links between ESGP as determined by the Asset4 database of Thomson Reuters and accounting and market-based measures of FINP (Return on Assets [ROA] and Tobin’s Q). Findings: ESGP has a positive impact on ROA but no impact on Tobin’s Q. Furthermore, by analyzing the three different components of ESGP, governance performance has the strongest impact on FINP in comparison to environmental and social performance. Originality/value: The analysis makes a key contribution to the empirical corporate social responsibility (CSR) research as the author breaks down ESGP into their three components and include both accounting-based and market-based FINP measures for the German setting for the first time. Not only companies but also regulators and researchers are affected by the notion that CSR and FINP are close together and should be lead to a successful stakeholder management.

OriginalspracheEnglisch
ZeitschriftJournal of Global Responsibility
Jahrgang8
Ausgabenummer2
Seiten (von - bis)169-178
Anzahl der Seiten10
ISSN2041-2568
DOIs
PublikationsstatusErschienen - 29.08.2017

Zugehörige Projekte

  • Corporate governance and CSR/IR reporting

    Projekt: Forschung

DOI

Zuletzt angesehen

Publikationen

  1. Competition in fragmented markets
  2. Gabriel Tarde (1843-1904)
  3. Effective working hours and wages
  4. Defining Value in Sustainable Business Models
  5. Pathways for Transformatio
  6. A practical perspective on repatriate knowledge transfer
  7. How selective are real wage cuts?
  8. ‘Work experience without qualities?’
  9. Die Schreibwerkstatt Mehrsprachigkeit
  10. Soft spaces across the Fehmarn Belt
  11. Dispersal and diversity–unifying scale-dependent relationships within the neutral theory
  12. On the frontiers of collaboration and conflict: how context influences the success of collaboration
  13. Understanding spam
  14. Critical evaluation of commonly used methods to determine the concordance between sonography and magnetic resonance imaging: A comparative study
  15. Biodiversity buffers pollination from changes in environmental conditions
  16. The efficiency of different online learning media - An empirical study
  17. Introduction to Music and the Politics of Memory
  18. Knowledge sharing for shared success in the decade on ecosystem restoration
  19. Motivation and emotion as mediators in multimedia learning
  20. Social Exclusion and Housing
  21. „Conversation is simply something to begin with“
  22. Die Schreibwerkstatt Mehrsprachigkeit
  23. Not Feeling Good in STEM
  24. Support for major hypotheses in invasion biology is uneven and declining
  25. Advanced oxidation processes in the treatment of trifluraline effluent
  26. Zur ‚Privatisierung‘ von gewaltsamem Protest
  27. Fragmente zu einer "Generativen Resonanzästhetik".
  28. Microstructure and corrosion behavior of Mg-Sn-Ca alloys after extrusion
  29. Polychlorinated Biphenyls in a Temperate Alpine Glacier
  30. Comparing the fatigue performance of Ti-4Al-0.005B titanium alloy T-joints, welded via different friction stir welding sequences
  31. The positive facet of self-compassion predicts self-reported use of and attitudes toward desirable difficulties in learning
  32. Wie gehe ich mit schwierigen Schülern um?
  33. Sufficiency and Subsistence – On two important concepts for Sustainable Development
  34. Fast supercritical fluid extraction and high-resolution gas chromatography with electron-capture and flame photometric detection for multiresidue screening of organochlorine and organophosphorus pesticides in Brazil's medicinal plants
  35. Großgruppenmethoden
  36. Dimensionierung von Sicherheitsbeständen
  37. Silence, remembering, and forgetting in Wittgenstein, Cage, and Derrida
  38. LiteraturGesellschaft DDR
  39. Comparing Regulatory Designs for the Transmission of Offshore Wind Energy
  40. Does Internet-based guided self-help for depression cause harm?
  41. The justice dimension of sustainability
  42. Sustainable Green Technologies
  43. Psychophysiological Correlates of Flow-Experience
  44. Through the eye of a butterfly
  45. Different bodies
  46. Unexpected Expansion Behavior of Mg-Al Alloys During Isothermal Ageing