ESG활동이 영업이익 변동성 및 기업 가치에 미치는 영향: 중국기업을 중심으로

Purpose - The purpose of this study was to examine the effect of ESG activities on operating profit volatility and firm value on Chinese firms. Design/methodology/approach - This paper uses the uncertainty of economic policy as an instrumental variable to analyze the impact of ESG activities on operating profit volatility and firm value using the two-stage least squares method. Findings - The results of the analysis show that as firms increase their ESG activities, their operating profit volatility increases and their corporate value measured by Tobin’s Q decreases. When small companies are excluded from the sample, the impact of ESG activities on firm value decreases. Research implications or Originality - This study can increase understanding of the relationship between ESG activities and the stability of corporate management and corporate value, and help companies, governments, and regulatory agencies establish and adjust better policies based on empirical evidence. In particular, it highlights the need for support for ESG activities of small businesses.