ESG practices and corporate financial performance : evidence from Borsa Istanbul
Ebru Saygili, Serafettin Arslan, Ayse Ozden Birkan
The purpose of this paper is to determine whether environmental, social, and governance (ESG) practices affect corporate financial performance (CFP) indicators at Turkish listed companies. The impact of ESG disclosures on the firm-level CFP of companies listed on the Borsa Istanbul Corporate Governance Index (XKURY) over the period 2007-2017 is investigated using the corporate governance principles of the Capital Markets Board and Global Reporting Initiative (GRI) environmental indicators. The contribution of this study is that it explores the influence of twenty independent ESG variables, comprising company disclosures, on CFP in an emerging market. The results of the study reveal a negative effect of environmental disclosures on CFP. Stakeholder involvement in management contributes to operational efficiency in the social dimension of ESG. Provisions related to shareholder rights and the board of directors has a positive impact on CFP in the governance dimension.
Year of publication: |
2022
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Authors: | Saygili, Ebru ; Arslan, Serafettin ; Birkan, Ayşe Özden |
Published in: |
Borsa Istanbul Review. - Amsterdam [u.a.] : Elsevier, ISSN 2214-8450, ZDB-ID 2745445-9. - Vol. 22.2022, 3, p. 525-533
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Subject: | Corporate financial performance | ESG disclosures | Turkish listed companies | Unternehmenserfolg | Firm performance | Türkei | Turkey | Aktiengesellschaft | Listed company | Corporate Social Responsibility | Corporate social responsibility |
Saved in:
freely available
Type of publication: | Article |
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Type of publication (narrower categories): | Aufsatz in Zeitschrift ; Article in journal |
Language: | English |
Other identifiers: | 10.1016/j.bir.2021.07.001 [DOI] |
Classification: | G34 - Mergers; Acquisitions; Restructuring; Corporate Governance ; L25 - Firm Size and Performance ; M40 - Accounting and Auditing. General ; Q56 - Environment and Development; Environment and Trade; Sustainability; Environmental Accounting |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10013334780