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Senior executive characteristics: Impact on ESG practices and corporate valuation relationship

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  • Chunhua Cai
  • Yannan Geng
  • Fufei Yang

Abstract

In recent years, sustainable development and green growth and performance of companies in environmental, social, and corporate governance (ESG) has received widespread attention from all sectors of society. Based on panel data of A-share listed companies in China from 2009 to 2022, this study employs a two-way fixed effects model to explore the mechanism of the relationship between ESG practices and corporate value, as well as the moderating effect of executive characteristics within this relationship. The results indicate a robust positive relationship between ESG practices and corporate value. ‎However, this relationship is moderated by the academic backgrounds of senior ‎executives, who negatively influence it, and by male executives, who exert a positive ‎moderating effect. Furthermore, this study reveals the variable impacts of ESG practices in different corporate ‎settings, industries, and institutional frameworks. Moreover, it demonstrates how ESG practices ‎boost corporate value through an enhanced reputation and increased government innovation ‎subsidies. It offers new insights on the strategic value of ESG for corporations and ‎policymakers. It also extends the theoretical framework by integrating attention-based and upper ‎echelons perspectives into the ESG discourse. ‎

Suggested Citation

  • Chunhua Cai & Yannan Geng & Fufei Yang, 2024. "Senior executive characteristics: Impact on ESG practices and corporate valuation relationship," PLOS ONE, Public Library of Science, vol. 19(7), pages 1-22, July.
    • Handle: RePEc:plo:pone00:0303081
    DOI: 10.1371/journal.pone.0303081
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    2. Shuyi He & Shihong Zeng, 2025. "The Impact of Carbon Disclosure on Business Valuation," Journal of Applied Finance & Banking, SCIENPRESS Ltd, vol. 15(2), pages 1-2.
    3. Malik Abu Afifa & Nha Minh Nguyen & Dao Truc Thi Vo & Duong Van Bui & Hien Vo Van, 2025. "Environmental, social and governance practices: A new perspective from Asian developing countries," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 32(1), pages 1079-1095, January.
    4. Nha Minh Nguyen & Hien Vo Van & Dao Truc Thi Vo & Oanh Kieu Thi Nguyen & Duong Van Bui, 2025. "ESG Practices and Firm Value: A Novel Perspective From Mediating and Moderating Components," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 32(5), pages 5918-5939, September.
    5. Mei Mei & Maisarah Mohamed Saat & Nor Zafir Bt. Md. Salleh, 2026. "Female Directors and Environmental, Social, and Governance Performance: Moderating Role of Group Dynamics," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 33(1), pages 73-91, January.

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