The Influence of Environmental, Social, and Governance (ESG) Practices on US Firms’ Performance: Evidence from the Coronavirus Crisis

This study explores the influence of total and individual ESG practices and the coro navirus crisis on US firm performance (FP). A large and recent sample of 406 US f irms that adopted ESG issues during 2016–2020 was used. This study uses the gen eralized least-squares (GLS) regression estimator, th...

وصف كامل

محفوظ في:
التفاصيل البيبلوغرافية
المؤلف الرئيسي: Mohamed Habib, Ahmed (author)
مؤلفون آخرون: Mouead, Nahia (author)
منشور في: 2023
الوصول للمادة أونلاين:https://bspace.buid.ac.ae/handle/1234/3758
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الوصف
الملخص:This study explores the influence of total and individual ESG practices and the coro navirus crisis on US firm performance (FP). A large and recent sample of 406 US f irms that adopted ESG issues during 2016–2020 was used. This study uses the gen eralized least-squares (GLS) regression estimator, the dynamic analysis technique, and robustness tests. The results indicate that firms with heightened ESG practices have better performance measures. In most cases, the results suggest that firms with heightened environmental, social, and governance performances have better perfor mance measures. The results suggest that the coronavirus crisis negatively affected FP measures. In addition, the analyses of the differences suggest significant distinc tions in FP due to the coronavirus crisis. This study’s findings have important impli cations for stakeholders. Managers could benefit from the results of this examination by recognizing the status of ESG practices and FP before and during the coronavirus crisis and identifying the linkage between the fulfillment of ESG responsibilities and FP. This study provides noteworthy practical implications that could enable man agers to develop strategies and policies for adopting and enhancing ESG practices to achieve the best performance. Furthermore, the results could influence trading processes as investors and financiers pursue attractive financial returns from invest ments in businesses concerned with ESG issues.