IDEAS home Printed from https://ideas.repec.org/a/eee/finlet/v63y2024ics1544612324004069.html
   My bibliography  Save this article

The impact of the percentage of female directors on corporate ESG score

Author

Listed:
  • Fan, Yiyi
  • Li, Shanshan
  • Yang, WenQi

Abstract

This study systematically analyzes the relationship between the percentage of female directors and ESG score using A-share listed companies from 2010 to 2021 as the research sample. The results show that the percentage of female directors is positively related to ESG score, green innovation plays a mediating role, and media attention plays a significant positive moderating role. Further research suggests that a higher percentage of female directors on boards with educational backgrounds, legal backgrounds, and independent directorships are associated with higher ESG score. The results of heterogeneity analysis indicates that the promotion effect of increasing the percentage of female directors on corporate ESG score is more significant in the separation of two positions and non-state-owned enterprises.

Suggested Citation

  • Fan, Yiyi & Li, Shanshan & Yang, WenQi, 2024. "The impact of the percentage of female directors on corporate ESG score," Finance Research Letters, Elsevier, vol. 63(C).
    • Handle: RePEc:eee:finlet:v:63:y:2024:i:c:s1544612324004069
    DOI: 10.1016/j.frl.2024.105376
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1544612324004069
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.frl.2024.105376?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Alexandre Sanches Garcia & Renato J. Orsato, 2020. "Testing the institutional difference hypothesis: A study about environmental, social, governance, and financial performance," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3261-3272, December.
    2. Lu, Yun & Ntim, Collins G. & Zhang, Qingjing & Li, Pingli, 2022. "Board of directors’ attributes and corporate outcomes: A systematic literature review and future research agenda," International Review of Financial Analysis, Elsevier, vol. 84(C).
    3. Ishmael Tingbani & Lyton Chithambo & Venancio Tauringana & Nikolaos Papanikolaou, 2020. "Board gender diversity, environmental committee and greenhouse gas voluntary disclosures," Business Strategy and the Environment, Wiley Blackwell, vol. 29(6), pages 2194-2210, September.
    4. Bissoondoyal-Bheenick, Emawtee & Brooks, Robert & Do, Hung Xuan, 2023. "ESG and firm performance: The role of size and media channels," Economic Modelling, Elsevier, vol. 121(C).
    5. Mehdi Nekhili & Héla Chakroun & Tawhid Chtioui, 2018. "Women’s Leadership and Firm Performance: Family Versus Nonfamily Firms," Journal of Business Ethics, Springer, vol. 153(2), pages 291-316, December.
    6. Zhang, Qin & Wong, Jin Boon, 2022. "ESG reputational risks and board monitoring committees," Finance Research Letters, Elsevier, vol. 50(C).
    7. Ellen Pei‐yi Yu & Christine Qian Guo & Bac Van Luu, 2018. "Environmental, social and governance transparency and firm value," Business Strategy and the Environment, Wiley Blackwell, vol. 27(7), pages 987-1004, November.
    8. Tunyi, Abongeh A. & Areneke, Geofry & Tob-Ogu, Abiye & Khalid, Sharif, 2023. "Doing more with more: Women on the board and firm employment," Journal of Business Research, Elsevier, vol. 154(C).
    9. Xiaoke Zhang & Xuankai Zhao & Yu He, 2022. "Does It Pay to Be Responsible? The Performance of ESG Investing in China," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 58(11), pages 3048-3075, September.
    10. repec:hal:journl:hal-02311932 is not listed on IDEAS
    11. Xiyan Bai & Chan Lyu, 2023. "Executive’s Environmental Protection Background and Corporate Green Innovation: Evidence from China," Sustainability, MDPI, vol. 15(5), pages 1-20, February.
    12. Kanno, Masayasu, 2023. "Does ESG performance improve firm creditworthiness?," Finance Research Letters, Elsevier, vol. 55(PA).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Luning Tong & Maowei Chen, 2024. "The Impact of Female Director Background on the ESG Performance of Chinese Technology Firms: A Moderating Effect Based on Risk Appetite," Sustainability, MDPI, vol. 16(23), pages 1-20, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wang, Zhen & Chu, Erming & Hao, Yukai, 2024. "Towards sustainable development: How does ESG performance promotes corporate green transformation," International Review of Financial Analysis, Elsevier, vol. 91(C).
    2. René P. Orij & Saif Rehman & Hashim Khan & Faisal Khan, 2021. "Is CSR the new competitive environment for CEOs? The association between CEO turnover, corporate social responsibility and board gender diversity: Asian evidence," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(2), pages 731-747, March.
    3. Sara De Masi & Agnieszka Słomka‐Gołębiowska & Claudio Becagli & Andrea Paci, 2021. "Toward sustainable corporate behavior: The effect of the critical mass of female directors on environmental, social, and governance disclosure," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 1865-1878, May.
    4. Palmieri, Egidio & Ferilli, Greta B. & Stefanelli, Valeria & Geretto, Enrico F. & Polato, Maurizio, 2023. "Assessing the influence of ESG score, industry, and stock index on firm default risk: A sustainable bank lending perspective," Finance Research Letters, Elsevier, vol. 57(C).
    5. Wang, Haijun & Jiao, Shuaipeng & Ge, Chen & Sun, Guanglin, 2024. "Corporate ESG rating divergence and excess stock returns," Energy Economics, Elsevier, vol. 129(C).
    6. Liu, Dayong & Gu, Kaiyuan & Hu, Wenhua, 2023. "ESG performance and stock idiosyncratic volatility," Finance Research Letters, Elsevier, vol. 58(PB).
    7. Marie, Mohamed & Qi, Baolei & Elgammal, Mohammed & Elnahass, Marwa, 2024. "A more sustainable future: Can politically connected CEOs spur the nexus between ESG performance and firm financial performance?," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 96(C).
    8. Wang, Zhen & Tang, Pei, 2024. "Substantive digital innovation or symbolic digital innovation: Which type of digital innovation is more conducive to corporate ESG performance?," International Review of Economics & Finance, Elsevier, vol. 93(PB), pages 1212-1228.
    9. Ji, Xinru & Chen, Xiaoxu & Ao, Zhiming, 2024. "ESG rating, board faultlines, and corporate performance," Research in International Business and Finance, Elsevier, vol. 72(PB).
    10. Zhang, Mengdi & Yang, Wanting & Zhao, Zhiheng & Wang, Shuaian & Huang, George Q., 2024. "Do fairness concerns matter for ESG decision-making? Strategic interactions in digital twin-enabled sustainable semiconductor supply chain," International Journal of Production Economics, Elsevier, vol. 276(C).
    11. Zhang, Dongyang, 2023. "Does green finance really inhibit extreme hypocritical ESG risk? A greenwashing perspective exploration," Energy Economics, Elsevier, vol. 121(C).
    12. Al-Shaer, Habiba & Uyar, Ali & Kuzey, Cemil & Karaman, Abdullah S., 2023. "Do shareholders punish or reward excessive CSR engagement? Moderating effect of cash flow and firm growth," International Review of Financial Analysis, Elsevier, vol. 88(C).
    13. Hanen Khemakhem & Paulina Arroyo & Julio Montecinos, 2023. "Gender diversity on board committees and ESG disclosure: evidence from Canada," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 27(4), pages 1397-1422, December.
    14. Ying Shu & Xiaobin Zhuang & Rui Ying & Guanghua Xu, 2024. "Formal Institutional Pressure and the Integration of Corporate Environmental and Financial Performance: Empirical Evidence from Listed Companies in Heavily Polluting Industries in China," Sustainability, MDPI, vol. 16(6), pages 1-20, March.
    15. Khalil Nimer & Muath Abdelqader & Cemil Kuzey & Ali Uyar, 2024. "Emission targeting and carbon emissions: The moderating effect of female directors," Business Strategy and the Environment, Wiley Blackwell, vol. 33(4), pages 3480-3504, May.
    16. Soana, Maria Gaia, 2024. "Environmental strategies, environmental performance and board sustainability committees: Are financial and non-financial companies different?," Research in International Business and Finance, Elsevier, vol. 69(C).
    17. David Bendig & Andreas Wagner & Kevin Lau, 2023. "Does it pay to be science‐based green? The impact of science‐based emission‐reduction targets on corporate financial performance," Journal of Industrial Ecology, Yale University, vol. 27(1), pages 125-140, February.
    18. Nhat Minh Tran & Thu Thuy Nguyen & Thi Phuong Linh Nguyen & Anh Trong Vu & Thi Thanh Hoa Phan & Thi Hong Tham Nguyen & Ngoc Diep Do & Anh Tuan Phan, 2022. "Female Managers and Corruption in SMEs: A Comparison Between Family and Nonfamily SMEs in Vietnam," SAGE Open, , vol. 12(1), pages 21582440221, March.
    19. Md. Abdul Kaium Masud & Mohammad Nurunnabi & Seong Mi Bae, 2018. "The effects of corporate governance on environmental sustainability reporting: empirical evidence from South Asian countries," Asian Journal of Sustainability and Social Responsibility, Springer, vol. 3(1), pages 1-26, December.
    20. Wang, Tianbo & Zou, Tong & Zhao, Liang, 2024. "Party organizations’ participation in board governance and corporate supply chain stability," Finance Research Letters, Elsevier, vol. 67(PA).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:finlet:v:63:y:2024:i:c:s1544612324004069. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/frl .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.