Doctor Ao Li, a researcher of the base, has published a collaborative paper titled "Gone with chain: The ripple effect of ESG performance in China's industrial chain" in Environmental Impact Assessment Review.

EIAR is a leading international journal in environmental studies, emphasizing innovation in both theory and practice, and covering environmental impact assessment and management across policies, projects, and products.

Abstract:

This paper examines the industrial chain ripple effect of ESG in upstream and downstream companies from the perspective of the entire industrial chain, utilizing data from Chinese A-share listed companies. The study reveals that the ESG performance of upstream and downstream companies significantly enhances the ESG performance of midstream focal companies within the industrial chain. The ripple effects of industrial chain ESG are more pronounced when the focal firm demonstrates financial stability, maintains geographic proximity to the upstream and downstream chains, possesses a larger firm size, or operates under private ownership. Further, the paper finds that corporate ESG initiatives exert industrial chain ripple effects through two channels: optimizing the matching of supply and demand between upstream and downstream companies and focal firms; and stabilizing the supply-demand relationship through interactions between focal firms and upstream and downstream entities. This study aims to elucidate the phenomenon of focal firms adopting ESG practices, and how it is affected by upstream and downstream entities within the industrial chain. It offers a novel perspective for fortifying the resilience of industrial chains against market uncertainties and disruption risks, thereby advancing the sustainable development of these chains.

Keywords：ESG; Industrial chain ripple effect; Optimizing the matching of supply and demand; Stabilizing supply-demand relationship

Link：https://doi.org/10.1016/j.eiar.2024.107576

Teacher profile

Ao Li is a Lecturer at the School of Finance, Zhongnan University of Economics and Law. Li's research focuses on corporate finance, corporate governance, and enterprise innovation. Li earned a Bachelor's degree in Accounting (ACCA) from the School of Management at Huazhong University of Science and Technology, a Master's degree in Accounting and Finance from the University of Sheffield, UK, and a PhD in Finance from the School of Management at Xiamen University. Li's research papers have been published in academic journals including The World Economy, Journal of Management Science, International Review of Financial Analysis, Energy Economics, International Review of Economics and Finance, and Environmental Impact Assessment Review. Li is a Chartered Certified Accountant and an ACCA Member.