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Impact of sentiment tendency of media coverage on corporate green total factor productivity: The moderating role of environmental uncertainty

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  • Chen, Qian

Abstract

In the context of China's carbon neutrality goal and increasing environmental responsibilities, this study examines the impact of media sentiment on Corporate Green Total Factor Productivity (GTFP), especially considering environmental uncertainty. Utilizing data from the CNRDS financial news database and employing the non-radial SBM-ML index to assess GTFP, the research explores how positive, neutral, and negative media coverage influences corporate sustainability behaviors. Results indicate that positive media coverage significantly enhances GTFP during corporate growth and maturation phases by improving public perception and investor confidence. In contrast, negative media coverage tends to reduce GTFP, particularly under conditions of high environmental uncertainty, highlighting the challenges during vulnerable periods. This study contributes to understanding the nuanced effects of media sentiment on corporate sustainability practices and underscores the importance of managing media relations strategically according to corporate lifecycle stages and environmental contexts to optimize sustainability outcomes. The findings offer valuable insights for businesses to align their media strategies with sustainability goals and for policymakers to develop regulations that harness media influence to support corporate environmental accountability. By strategically managing media narratives and fostering a supportive policy environment, corporations can leverage the power of media to drive their sustainability agendas and contribute to the achievement of national and global environmental targets.

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  • Chen, Qian, 2024. "Impact of sentiment tendency of media coverage on corporate green total factor productivity: The moderating role of environmental uncertainty," Finance Research Letters, Elsevier, vol. 65(C).
    • Handle: RePEc:eee:finlet:v:65:y:2024:i:c:s1544612324006676
    DOI: 10.1016/j.frl.2024.105637
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    References listed on IDEAS

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