Firm Digitalisation Empowers ESG Performance‐Evidence From China
基于2011-2023年中国A股上市公司数据，研究发现企业数字化能显著提升ESG绩效，且管理能力和机构投资者能强化这一效果，机制包括内部控制质量、全要素生产率和信息透明度的改善。
ABSTRACT With the deepening of the concept of green development, it is important to explore how firm digitalisation improves the environmental, social responsibility, and corporate governance (ESG) performance of firms to achieve sustainable development. This study examines the impact of firm digitalisation on ESG performance and its mechanisms using sample data of Chinese A‐share listed firms from 2011 to 2023. The results show that firm digitalisation can significantly improve ESG performance, and both management ability as an internal governance mechanism and institutional investors as an external governance mechanism can reinforce this improvement. A mechanism test reveals that improvements in the quality of internal control, total factor productivity, and information transparency are potential channels. Moreover, the effect of digitalisation on ESG performance is more significant for firms with a low supplier concentration and high government subsidies. The effect of digitalisation on ESG performance improvement is more significant for firms located in regions with a high environmental regulation intensity and a good level of digital economy development. In addition, compared to the corporate governance (G) dimension, digitalisation is more effective in improving environmental (E) and social responsibility (S) performance. This study, based on stakeholder theory and upper echelons theory, reveals the mechanisms and boundaries through which firm digitalisation enhances ESG performance, providing a reference for leveraging digital technologies to empower ESG governance and promote high‐quality corporate development.