We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
The impacts of business ethics and diversity on ESG disclosure: Evidence from Hong Kong.
- Authors
Cheung, Kwok Yip; Lai, Chung Yee
- Abstract
This paper investigates the effects of board cultural diversity, audit committee experience diversity as well as business ethics on the effectiveness of oversight quality on ESG performance. Using Generalized Moments of Methods (GMM), we examine the ESG performance of the firms listed in the Hong Kong Hang Seng Composite Index between 2010 and 2015. We find that board cultural diversity and business ethics have positive correlations with ESG performance while audit committee experience diversity has a negative correlation with ESG performance. In our additional analysis, we observe that board cultural diversity is critical for improving social performance and business ethics is essential for improving environmental and social performance. However, audit committee experience diversity limits firm performance in three areas (environmental, social, and governance) of ESG performance. This is the first study that provides insights to both policymakers and practitioners by highlighting the importance of optimizing the levels of diversity and mandating the improvement of business ethics.
- Subjects
HONG Kong (China); BUSINESS ethics; CULTURAL pluralism; HANG Seng Index; DIVERSITY in the workplace; GENERALIZED method of moments
- Publication
Journal of Corporate Accounting & Finance (Wiley), 2023, Vol 34, Issue 4, p208
- ISSN
1044-8136
- Publication type
Article
- DOI
10.1002/jcaf.22644