ENVIRONMENTAL, SOCIAL, AND GOVERNANCE (ESG) RISK AND FIRM VALUE: A BIBLIOMETRIC ANALYSIS OF RESEARCH PATTERNS
DOI:
10.54443/morfai.v5i2.2800Published:
2025-06-07Downloads
Abstract
This study aims to map trends and research patterns regarding the relationship between Environmental, Social, and Governance (ESG) risk and firm value through a bibliometric approach. Although the concept of ESG is increasingly widely adopted in global business and investment practices, the results of academic research related to its impact on corporate value still show inconsistencies. Some studies have found that ESG is able to improve reputation, reduce risk, and strengthen company value, while others show negative impacts due to increased costs or misalignment of strategies. To answer this uncertainty, this study uses a data-based bibliometric analysis method from Scopus, with a total of 153 articles selected based on certain exclusion criteria in the period 2016–2025. Visualization and analysis were carried out using VOSviewer and RStudio software, and supported by a systematic literature review. The results of the analysis show a significant increase in the number of ESG publications since 2020, with contributions dominating from countries such as India, the United States, and China. In addition, there are five main thematic clusters in ESG research: governance and risk, corporate social responsibility (CSR), corporate value and performance, strategy and competitiveness, and theoretical perspectives. This study makes an important contribution in explaining the scientific landscape of ESG and firm value, as well as identifying research gaps that can be the basis for further research. These findings are relevant not only to academics, but also to investors, corporate managers, and policymakers who want to understand the strategic implications of ESG on corporate value.
Keywords:
ESG firm value Risk bibliometrics financial performance sustainability corporate governanceReferences
Abdi, A. M., Hashi, M. B., & Latif, K. F. (2024). Ethical leadership and public sector performance: Mediating role of corporate social responsibility and organizational politics and moderator of social capital. Cogent Business & Management, 11(1), 2386722. https://doi.org/10.1080/23311975.2024.2386722
Abdi, Y., Li, X., & Càmara-Turull, X. (2022). Exploring the impact of sustainability (ESG) disclosure on firm value and financial performance (FP) in airline industry: The moderating role of size and age. Environment, Development and Sustainability, 24(4), 5052–5079. https://doi.org/10.1007/s10668-021-01649-w
Aboud, A., & Diab, A. (2018). The impact of social, environmental and corporate governance disclosures on firm value: Evidence from Egypt. Journal of Accounting in Emerging Economies, 8(4), 442–458. Scopus. https://doi.org/10.1108/JAEE-08-2017-0079
Allaire, J. J. (2011). R Studio: Integrated development environment for R. The Journal of Wildlife Management, 75(8).
Aouadi, A., & Marsat, S. (2018). Do ESG Controversies Matter for Firm Value? Evidence from International Data. Journal of Business Ethics, 151(4), 1027–1047. Scopus. https://doi.org/10.1007/s10551-016-3213-8
Arayssi, M., Dah, M., & Jizi, M. (2016). Women on boards, sustainability reporting and firm performance. Sustainability Accounting, Management and Policy Journal, 7(3), 376–401. Scopus. https://doi.org/10.1108/SAMPJ-07-2015-0055
Asante-Appiah, B., & Lambert, T. A. (2023). The role of the external auditor in managing environmental, social, and governance (ESG) reputation risk. Review of Accounting Studies, 28(4), 2589–2641. Scopus. https://doi.org/10.1007/s11142-022-09706-z
Au, S.-Y., Tremblay, A., & You, L. (2023). Does board gender diversity reduce workplace sexual harassment? Corporate Governance: An International Review, 31(5), 718–736. Scopus. https://doi.org/10.1111/corg.12496
Aydoğmuş, M., Gülay, G., & Ergun, K. (2022). Impact of ESG performance on firm value and profitability. Borsa Istanbul Review, 22, S119–S127. https://doi.org/10.1016/j.bir.2022.11.006
Barnea, A., & Rubin, A. (2010). Corporate Social Responsibility as a Conflict Between Shareholders. Journal of Business Ethics, 97(1), 71–86. https://doi.org/10.1007/s10551-010-0496-z
Barney, J. (1991). Firm Resources and Sustained Competitive Advantage. Journal of Management, 17(1), 99–120. https://doi.org/10.1177/014920639101700108
Behl, A., Kumari, P. S. R., Makhija, H., & Sharma, D. (2022). Exploring the relationship of ESG score and firm value using cross-lagged panel analyses: Case of the Indian energy sector. Annals of Operations Research, 313(1), 231–256. https://doi.org/10.1007/s10479-021-04189-8
Bektur, Ç., & Arzova, S. B. (2020). The effect of women managers in the board of directors of companies on the integrated reporting: Example of Istanbul Stock Exchange (ISE) Sustainability Index. Journal of Sustainable Finance and Investment, 1–17. Scopus. https://doi.org/10.1080/20430795.2020.1796417
Brammer, S. J., Brooks, C., & Pavelin, S. (2005). Corporate Social Performance and Stock Returns: UK Evidence from Disaggregate Measures. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.739587
Buchanan, B., Cao, C. X., & Chen, C. (2018). Corporate social responsibility, firm value, and influential institutional ownership. Journal of Corporate Finance, 52, 73–95. Scopus. https://doi.org/10.1016/j.jcorpfin.2018.07.004
Budihardjo, M. A., Priyambada, I. B., Chegenizadeh, A., Al Qadar, S., & Puspita, A. S. (2023). Environmental impact technology for life cycle assessment in municipal solid waste management. Global Journal of Environmental Science and Management, 9(Special Issue (Eco-Friendly Sustainable Management)). https://doi.org/10.22034/GJESM.2023.09.SI.10
Capelle-Blancard, G., & Petit, A. (2019). Every Little Helps? ESG News and Stock Market Reaction. Journal of Business Ethics, 157(2), 543–565. Scopus. https://doi.org/10.1007/s10551-017-3667-3
Cho, Y. (2022). ESG and Firm Performance: Focusing on the Environmental Strategy. Sustainability, 14(13), 7857. https://doi.org/10.3390/su14137857
Chouaibi, S., Chouaibi, J., & Rossi, M. (2022). ESG and corporate financial performance: The mediating role of green innovation: UK common law versus Germany civil law. EuroMed Journal of Business, 17(1), 46–71. Scopus. https://doi.org/10.1108/EMJB-09-2020-0101
Daugaard, D. (2020). Emerging new themes in environmental, social and governance investing: A systematic literature review. Accounting & Finance, 60(2), 1501–1530. https://doi.org/10.1111/acfi.12479
Dias, M. P., Martin, R., Pearmain, E. J., Burfield, I. J., Small, C., Phillips, R. A., Yates, O., Lascelles, B., Borboroglu, P. G., & Croxall, J. P. (2019). Threats to seabirds: A global assessment. Biological Conservation, 237, 525–537. https://doi.org/10.1016/j.biocon.2019.06.033
Duque-Grisales, E., & Aguilera-Caracuel, J. (2021). Environmental, Social and Governance (ESG) Scores and Financial Performance of Multilatinas: Moderating Effects of Geographic International Diversification and Financial Slack. Journal of Business Ethics, 168(2), 315–334. https://doi.org/10.1007/s10551-019-04177-w
Eccles, R. G., Ioannou, I., & Serafeim, G. (2014). The Impact of Corporate Sustainability on Organizational Processes and Performance. Management Science, 60(11), 2835–2857. https://doi.org/10.1287/mnsc.2014.1984
Egurla, K., Tadoori, G., & Usha Kiran, V. (2022). Volatility in Sustainability Indices: Evidence From BSE as a Sustainable Stock Exchange. Finance India, 36(3), 983–994. Scopus.
Fatemi, A., Glaum, M., & Kaiser, S. (2018). ESG performance and firm value: The moderating role of disclosure. Global Finance Journal, 38, 45–64. https://doi.org/10.1016/j.gfj.2017.03.001
Fink, H. A., MacDonald, R., Forte, M. L., Rosebush, C. E., Ensrud, K. E., Schousboe, J. T., Nelson, V. A., Ullman, K., Butler, M., Olson, C. M., Taylor, B. C., Brasure, M., & Wilt, T. J. (2019). Long-Term Drug Therapy and Drug Discontinuations and Holidays for Osteoporosis Fracture Prevention: A Systematic Review. Annals of Internal Medicine, 171(1), 37–50. https://doi.org/10.7326/M19-0533
Freeman, R. E. (2010). Strategic Management: A Stakeholder Approach (1st ed.). Cambridge University Press. https://doi.org/10.1017/CBO9781139192675
Frooman, J. (1997). Socially Irresponsible and Illegal Behavior and Shareholder Wealth: A Meta-Analysis of Event Studies. Business & Society, 36(3), 221–249. https://doi.org/10.1177/000765039703600302
Galbreath, J. (2013). ESG in Focus: The Australian Evidence. Journal of Business Ethics, 118(3), 529–541. https://doi.org/10.1007/s10551-012-1607-9
Gao, J.-G. (2021). Applying Humboldt’s holistic perspective in China’s sustainability. Geography and Sustainability, 2(2), 123–126. https://doi.org/10.1016/j.geosus.2021.06.001
Garcia, A. S., & Orsato, R. J. (2020). Testing the institutional difference hypothesis: A study about environmental, social, governance, and financial performance. Business Strategy and the Environment, 29(8), 3261–3272. https://doi.org/10.1002/bse.2570
Gurevitch, J., Koricheva, J., Nakagawa, S., & Stewart, G. (2018). Meta-analysis and the science of research synthesis. Nature, 555(7695), 175–182. https://doi.org/10.1038/nature25753
Jitmaneeroj, B. (2017). The impact of corporate social responsibility on firm value: An application of structural equation modelling. International Journal of Business Governance and Ethics, 12(4), 306–329. Scopus. https://doi.org/10.1504/IJBGE.2017.090214
Kiflee, A. K. R., Hasbullah, N. N., Idris, N. H., Harun, H., Bakar, M. H., & Anwar, S. (2024). A Bibliometric Analysis of Environmental, Social, Governance (ESG) and Firm Performance: A Pathway to Advancing SDG Movement. Journal of Lifestyle and SDGs Review, 4(2), e01977. https://doi.org/10.47172/2965-730X.SDGsReview.v4.n02.pe01977
Landi, G., & Sciarelli, M. (2019). Towards a more ethical market: The impact of ESG rating on corporate financial performance. Social Responsibility Journal, 15(1), 11–27. https://doi.org/10.1108/SRJ-11-2017-0254
Li, X., Saat, M. M., Khatib, S. F. A., & Liu, Y. (2024). Sustainable development and firm value: How ESG performance shapes corporate success—A systematic literature review. Business Strategy and Development, 7(4). Scopus. https://doi.org/10.1002/bsd2.70026
Li, Y., Gong, M., Zhang, X.-Y., & Koh, L. (2018). The impact of environmental, social, and governance disclosure on firm value: The role of CEO power. British Accounting Review, 50(1), 60–75. Scopus. https://doi.org/10.1016/j.bar.2017.09.007
Monteiro, A. P., Cepêda, C., Borges, A. P., & Vieira, E. (2024). Does CSR committee presence, stakeholder engagement, gender equality (SDG 5) and firm value influence ESG performance reporting? An EU pre and during Covid-19 analysis. Measuring Business Excellence. Scopus. https://doi.org/10.1108/MBE-03-2024-0034
Owen, A. L., & Videras, J. (2006). Reconsidering Social Capital: A Latent Class Approach. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.897955
Patara, S., & Dhalla, R. (2022). Sustainability reporting tools: Examining the merits of sustainability rankings. Journal of Cleaner Production, 366. Scopus. https://doi.org/10.1016/j.jclepro.2022.132960
Pathan, K., & Mohanty, M. (2024). Bibliometric analysis on ESG (environmental, social, and governance) practices and firm’s financial performance. International Journal of Management Science and Engineering Management, 1–18. https://doi.org/10.1080/17509653.2024.2426504
Paul, J., & Criado, A. R. (2020). The art of writing literature review: What do we know and what do we need to know? International Business Review, 29(4), 101717. https://doi.org/10.1016/j.ibusrev.2020.101717
Pizzi, S., Caputo, A., Corvino, A., & Venturelli, A. (2020). Management research and the UN sustainable development goals (SDGs): A bibliometric investigation and systematic review. Journal of Cleaner Production, 276, 124033. https://doi.org/10.1016/j.jclepro.2020.124033
Pizzi, S., Venturelli, A., Variale, M., & Macario, G. P. (2021). Assessing the impacts of digital transformation on internal auditing: A bibliometric analysis. Technology in Society, 67, 101738. https://doi.org/10.1016/j.techsoc.2021.101738
Qureshi, M. S., Qureshi, M. B., Fayaz, M., Zakarya, M., Aslam, S., & Shah, A. (2020). Time and Cost Efficient Cloud Resource Allocation for Real-Time Data-Intensive Smart Systems. Energies, 13(21), 5706. https://doi.org/10.3390/en13215706
Sassen, R., Hinze, A.-K., & Hardeck, I. (2016). Impact of ESG factors on firm risk in Europe. Journal of Business Economics, 86(8), 867–904. Scopus. https://doi.org/10.1007/s11573-016-0819-3
Seok, J., Kim, Y., & Oh, Y. K. (2024). How ESG shapes firm value: The mediating role of customer satisfaction. Technological Forecasting and Social Change, 208. Scopus. https://doi.org/10.1016/j.techfore.2024.123714
Snyder, H. (2019). Literature review as a research methodology: An overview and guidelines. Journal of Business Research, 104, 333–339. https://doi.org/10.1016/j.jbusres.2019.07.039
Suchman, M. C. (1995). Managing Legitimacy: Strategic and Institutional Approaches. The Academy of Management Review, 20(3), 571. https://doi.org/10.2307/258788
Van Eck, N. J., & Waltman, L. (2010). Software survey: VOSviewer, a computer program for bibliometric mapping. Scientometrics, 84(2), 523–538. https://doi.org/10.1007/s11192-009-0146-3
Velte, P. (2017). Does ESG performance have an impact on financial performance? Evidence from Germany. Journal of Global Responsibility, 8(2), 169–178. https://doi.org/10.1108/JGR-11-2016-0029
Waheed, A., Zhang, Q., Rashid, Y., Tahir, M. S., & Zafar, M. W. (2020). Impact of green manufacturing on consumer ecological behavior: Stakeholder engagement through green production and innovation. Sustainable Development, 28(5), 1395–1403. https://doi.org/10.1002/sd.2093
Wu, P., Singh, B. P., Wang, H., Jia, Z., Wang, Y., & Chen, W. (2023). Bibliometric analysis of biochar research in 2021: A critical review for development, hotspots and trend directions. Biochar, 5(1), 6. https://doi.org/10.1007/s42773-023-00204-2
Wu, R.-C. (2024). Developing a Deep Learning-Based Multimodal Intelligent Cloud Computing Resource Load Prediction System. EAI Endorsed Transactions on Internet of Things, 10. Scopus. https://doi.org/10.4108/eetiot.6296
Yen-Yen, Y. (2019). The value relevance of esg disclosure performance in influencing the role of structured warrants in firm value creation. Polish Journal of Management Studies, 20(1), 468–477. Scopus. https://doi.org/10.17512/pjms.2019.20.1.40
Yoo, J. S., Song, W. J., & Ku, J. E. (2024). CEO turnover, ESG-washing, and firm value. Managerial and Decision Economics, 45(5), 2801–2819. Scopus. https://doi.org/10.1002/mde.4123
Yu, J., Xiao, X., & Zhang, Y. (2016). From concept to implementation: The development of the emerging cloud computing industry in China. Telecommunications Policy, 40(2–3), 130–146. Scopus. https://doi.org/10.1016/j.telpol.2015.09.009
License
Copyright (c) 2025 Andayani Wuryan, Indrayani Indrayani, Iqbal Lhutfi, Maharani Wuryantoro, Haddy Mboob
This work is licensed under a Creative Commons Attribution 4.0 International License.
Downloads
How to Cite
