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Sustainable Governance: ESG Practices in the Modern Corporation

A special issue of Sustainability (ISSN 2071-1050). This special issue belongs to the section "Economic and Business Aspects of Sustainability".

Deadline for manuscript submissions: 1 June 2025 | Viewed by 2932

Special Issue Editors


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Guest Editor
1. Department of Business Administration & Tourism, Hellenic Mediterranean University, Heraklion, Greece
2. Department of Accounting & Finance, Neapolis University of Paphos, Paphos, Cyprus
Interests: accounting; auditing; ESG; financial accounting

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Guest Editor
Department of Accounting and Finance, Hellenic Mediterranean University, Heraklion, Crete, Greece
Interests: financial economics; financial econometrics; risk management; banking
Special Issues, Collections and Topics in MDPI journals

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Guest Editor
Department of Accounting and Finance, Hellenic Mediterranean University, Heraklion, Greece
Interests: applied finance; financial economics; accounting

Special Issue Information

Dear Colleagues,

This Special Issue seeks to attract scholarly contributions that explore the evolving landscape of environmental, social, and governance (ESG) practices in modern corporations. With sustainability taking center stage, the goal is to examine how corporations integrate ESG principles into their governance frameworks to promote long-term value and ethical stewardship. This Special Issue aims to advance the understanding of how contemporary corporations can seamlessly incorporate ESG principles into their governance structures, and to provide valuable insights that can enhance theoretical knowledge and real-world application, guiding corporations toward more sustainable and ethical business approaches. We welcome research papers addressing these and other areas:

  • Exploration of ESG Strategies: Research on how companies implement and operationalize ESG strategies, with a focus on the role of leadership, stakeholder engagement, and aligning ESG goals with corporate strategy;
  • Impact Evaluation and Reporting: Analysis of ESG impact measurement, reporting standards, and the effectiveness of frameworks like GRI, SASB, and TCFD in enhancing transparency and accountability;
  • Regulatory and Policy Implications: Research on the impact of regulatory environments and public policies on corporate ESG practices, including comparative studies across different jurisdictions;
  • ESG and Financial Performance: Investigations into the relationship between strong ESG practices and financial performance, risk management, and investor behavior;
  • Innovation and Technology: Exploration of the technological innovations driving ESG advancements, such as green technologies, data analytics, and blockchain for sustainability tracking;
  • Social Responsibility and Corporate Culture: Examination of how social responsibility initiatives and corporate culture transformations contribute to sustainable development goals and stakeholder welfare.

Submissions should provide theoretical insights, empirical evidence, and practical implications, contributing to the academic discourse on sustainable governance and ESG practices. Interdisciplinary approaches and case studies are encouraged to offer a holistic view of this dynamic field.

Dr. Ioannis Passas
Prof. Dr. Christos Floros
Dr. Dimitrios Vortelinos
Guest Editors

Manuscript Submission Information

Manuscripts should be submitted online at www.mdpi.com by registering and logging in to this website. Once you are registered, click here to go to the submission form. Manuscripts can be submitted until the deadline. All submissions that pass pre-check are peer-reviewed. Accepted papers will be published continuously in the journal (as soon as accepted) and will be listed together on the special issue website. Research articles, review articles as well as short communications are invited. For planned papers, a title and short abstract (about 100 words) can be sent to the Editorial Office for announcement on this website.

Submitted manuscripts should not have been published previously, nor be under consideration for publication elsewhere (except conference proceedings papers). All manuscripts are thoroughly refereed through a single-blind peer-review process. A guide for authors and other relevant information for submission of manuscripts is available on the Instructions for Authors page. Sustainability is an international peer-reviewed open access semimonthly journal published by MDPI.

Please visit the Instructions for Authors page before submitting a manuscript. The Article Processing Charge (APC) for publication in this open access journal is 2400 CHF (Swiss Francs). Submitted papers should be well formatted and use good English. Authors may use MDPI's English editing service prior to publication or during author revisions.

Keywords

  • sustainable governance
  • ESG practices
  • corporate sustainability
  • ethical stewardship
  • ESG reporting
  • stakeholder engagement
  • corporate social responsibility (CSR)
  • regulatory compliance
  • financial performance
  • technological innovation in ESG

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Published Papers (2 papers)

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Research

20 pages, 1122 KiB  
Article
Environmental Justice Specialization and Corporate ESG Performance: Evidence from China Environmental Protection Court
by Yue Meng and Xiaolei Yang
Sustainability 2024, 16(21), 9531; https://doi.org/10.3390/su16219531 - 1 Nov 2024
Viewed by 769
Abstract
In order to implement the dual-carbon strategy and achieve sustainable economic development, it is essential to guarantee environmental protection through the establishment of an effective environmental rule of law. This study employs a quasi-natural experiment, namely the establishment of environmental protection courts in [...] Read more.
In order to implement the dual-carbon strategy and achieve sustainable economic development, it is essential to guarantee environmental protection through the establishment of an effective environmental rule of law. This study employs a quasi-natural experiment, namely the establishment of environmental protection courts in China’s intermediate people’s courts, to investigate the impact on the ESG performance of A-share listed companies from 2010 to 2022. A double-difference model is utilized for this purpose. This study reveals that the specialization of environmental justice is an effective means of promoting the ESG performance of enterprises. The results of mechanism tests indicate that the specialization of environmental justice has a positive impact on the ESG performance of enterprises, primarily by enhancing external supervision and garnering greater media attention and analyst interest. Furthermore, heterogeneity analysis reveals that the influence of environmental justice specialization on corporate ESG performance is particularly pronounced in eastern regions, contexts characterized by high environmental uncertainty and heavily polluting enterprises. These findings offer invaluable insights into the development of environmental justice and the advancement of sustainable economic growth. Full article
(This article belongs to the Special Issue Sustainable Governance: ESG Practices in the Modern Corporation)
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20 pages, 1350 KiB  
Article
Textual Attributes of Corporate Sustainability Reports and ESG Ratings
by Jie Huang, Derek D. Wang and Yiying Wang
Sustainability 2024, 16(21), 9270; https://doi.org/10.3390/su16219270 - 25 Oct 2024
Viewed by 1395
Abstract
While the textual attributes of corporate financial documents, such as annual reports, have been extensively analyzed in the academic literature, those of corporate sustainability reports, which serve as a critical channel for nonfinancial disclosure, are relatively under-explored. Given the increasing importance of Environmental, [...] Read more.
While the textual attributes of corporate financial documents, such as annual reports, have been extensively analyzed in the academic literature, those of corporate sustainability reports, which serve as a critical channel for nonfinancial disclosure, are relatively under-explored. Given the increasing importance of Environmental, Social, and Governance (ESG) factors in corporate strategy and stakeholder evaluation, understanding the role of textual attributes in sustainability reporting is crucial. This study examines 10,021 hand-collected sustainability reports from Chinese firms between 2009 and 2021, focusing on six key textual attributes: length, readability, tone, boilerplate language, redundancy, and completeness. Using computational linguistics, we analyze how these attributes evolve over time and their impact on ESG ratings provided by both international (MSCI, FTSE) and domestic (SNSI) agencies. Our findings reveal that the length and completeness of sustainability reports significantly influence ESG scores across agencies, demonstrating a shared appreciation for detailed and transparent disclosures. However, international and domestic rating agencies exhibit differing responses to attributes like tone, boilerplate language, and redundancy. These differences highlight variations in evaluation standards, methodologies, and value orientations between global and local stakeholders. The results emphasize the need for firms to tailor their sustainability disclosures to meet diverse stakeholder expectations. This study contributes to the growing body of literature on nonfinancial reporting by providing empirical evidence on how specific textual characteristics of sustainability reports can shape ESG evaluations, offering insights for both corporate communicators and policymakers. Full article
(This article belongs to the Special Issue Sustainable Governance: ESG Practices in the Modern Corporation)
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