Political connections and corporate ESG performance
Abstract
With the popularization of the concept of sustainable development, corporate ESG performance has attracted more and more attention from all walks of life. However, there is still a lack of in-depth discussion on what factors affect corporate ESG performance, especially in a political and economic system like China. This article takes A-share listed companies as a sample to empirically analyze the impact of political connections on corporate ESG performance. The study found that political connections can promote corporate ESG performance by increasing media attention and reducing financing constraints. Further research found that this promotion performance is more significant in non-state-owned enterprises. This article combines the national conditions with Chinese characteristics, enriches the research on the factors that promote corporate ESG performance from the government perspective, and deepens the research on the role and consequences of political connections.
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