Sustainability disclosure and its impact on telecommunication and information technology sectors' performance: worldwide evidence

Buallay, Amina; Marri, Meera Al

doi:10.1108/ijes-08-2021-0054

Cited by 7 publications

(5 citation statements)

References 75 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Thus, the hypothesis H1 is confirmed. On the one hand, this conclusion agrees with those of (Servaes & Tamayo, 2012) but on the other hand, this outcome contradicts the finding of (Buallay & Marri, 2022;Velte, 2017) who found a negative relationship between Tobin Q and sustainability disclosure. We explain this by the differences in explored markets, sample size and timespan.…”

Section: Resultssupporting

confidence: 56%

The Impact of Sustainability Disclosures on Value of Companies Following Digital Transformation Strategies

Grishunin¹,

Naumova²,

Burova³

et al. 2022

IJTech

View full text Add to dashboard Cite

Sustainable growth is the key global priority, and environmental, social and governance (ESG) objectives have become the main point of attention in companies' digital transformation strategies. ESG and digital transformation reinforce each other as they aim to improve efficiency and meet stakeholders inside and outside the company. This is true for telecommunication companies, where disruptive technologies such as artificial intelligence, big data or cloud computing are reshaping the industry. Assessment of the impact of sustainability disclosures on companies' value is a task of high interest for academics and practitioners from telecommunication companies. ESG disclosure serves as a key channel to inform investors about the efficiency of ESG risk management and control practices of the firm and thus can impact the firm's financial performance and market value. However, there are numerous controversies in the academic literature on this topic and a lack of research specifically for the telecommunication industry. We closed the research gaps and investigated the impact of ESG disclosure on Tobin-Q of 93 US-listed telecommunication service companies between 2011-2021. We found that aggregated ESG disclosure score positively impacted telecoms' Tobin-Q. Among individual ESG disclosure pillars, only corporate governance positively influenced Tobin-Q, while the impact of environmental and social pillars was statistically insignificant. We also found that CEO duality significantly and negatively impacted Tobin-Q. The presence of the corporate social responsibility (CSR) committee, greater gender diversity and a higher percentage of independent directors on the board positively affected the value of the telecoms. The result of the study can be applied in developing ESG rating methodologies for telecommunication companies. They can also assist telecom companies' managers and stakeholders to identify key value drivers of the ESG agenda.

show abstract

Section: Resultssupporting

confidence: 56%

The Impact of Sustainability Disclosures on Value of Companies Following Digital Transformation Strategies

Grishunin¹,

Naumova²,

Burova³

et al. 2022

IJTech

View full text Add to dashboard Cite

show abstract

“…These results demonstrate a positive impact on FP. Buallay and Al Marri ( 2022 ) examine the influence of ESG disclosure on telecommunications and information technology sector performance in 41 countries using a sample of 1844 observations from 2008 to 2017. The results show that there is a negative influence on market performance, but no significant influence on operational and FP.…”

Section: Literature Review and Hypothesis Formulationmentioning

confidence: 99%

The Influence of Environmental, Social, and Governance (ESG) Practices on US Firms’ Performance: Evidence from the Coronavirus Crisis

Habib¹,

Mourad

2023

J Knowl Econ

View full text Add to dashboard Cite

This study explores the influence of total and individual ESG practices and the coronavirus crisis on US firm performance (FP). A large and recent sample of 406 US firms that adopted ESG issues during 2016–2020 was used. This study uses the generalized least-squares (GLS) regression estimator, the dynamic analysis technique, and robustness tests. The results indicate that firms with heightened ESG practices have better performance measures. In most cases, the results suggest that firms with heightened environmental, social, and governance performances have better performance measures. The results suggest that the coronavirus crisis negatively affected FP measures. In addition, the analyses of the differences suggest significant distinctions in FP due to the coronavirus crisis. This study’s findings have important implications for stakeholders. Managers could benefit from the results of this examination by recognizing the status of ESG practices and FP before and during the coronavirus crisis and identifying the linkage between the fulfillment of ESG responsibilities and FP. This study provides noteworthy practical implications that could enable managers to develop strategies and policies for adopting and enhancing ESG practices to achieve the best performance. Furthermore, the results could influence trading processes as investors and financiers pursue attractive financial returns from investments in businesses concerned with ESG issues.

show abstract

“…Researchers often have three options when determining how well a company is performing: use accounting-based measurements, market-based measures, or a combination of both (A. Buallay, 2019bBuallay, , 2019aBuallay, , 2022bBuallay, , 2022aA. Buallay & Al Marri, 2022;Naeem et al, 2022).…”

Section: Esg and Firm Performancementioning

confidence: 99%

“…The return on assets (ROA) and return on equity (ROE) of a company are two accounting performance-based indicators that are frequently used by researchers (A. Buallay & Al Marri, 2022; A. M. Buallay, 2020) Other researchers, however, have chosen market-based measures (i.e. Tobin's Q) (Dyck et al, 2019).…”

Section: Esg and Firm Performancementioning

confidence: 99%

ESG Score and Firm Performance: Study of Environmentally Sensitive Companies in Emerging Market Countries

Iqbal

2023

Ekspektra J. Bisnis dan Manaj.

View full text Add to dashboard Cite

This study investigated the effect of ESG Score on firm performance (operational, financial, and market) in environmentally sensitive industries. This study analyzed the effect of ESG score to firm performance before and during the Covid-19 pandemic crisis in emerging market countries to see from different perspectives to complement the gaps in existing research. To test the hypotheses, researcher used regression with panel data using the Thomson Reuters Refinitiv Eikon™ database to analyzed data from 704 environmentally sensitive listed companies selected from 16 emerging market countries between 2016 and 2021. The findings obtained from the empirical results showed that there was no significant relationship between ESG Score and operational performance (ROA), financial performance (ROE) and market performance (TQ) of companies before the Covid-19 pandemic crisis. Another finding was that there was no significant relationship between ESG Score and ROA, ROE and TQ during the pandemic crisis. This study highlights whether the Covid-19 pandemic contributes to the relationship between ESG Score and firm performance, especially for environmentally sensitive industries in emerging market countries.

show abstract

Sustainability disclosure and its impact on telecommunication and information technology sectors' performance: worldwide evidence

Cited by 7 publications

References 75 publications

The Impact of Sustainability Disclosures on Value of Companies Following Digital Transformation Strategies

The Impact of Sustainability Disclosures on Value of Companies Following Digital Transformation Strategies

The Influence of Environmental, Social, and Governance (ESG) Practices on US Firms’ Performance: Evidence from the Coronavirus Crisis

ESG Score and Firm Performance: Study of Environmentally Sensitive Companies in Emerging Market Countries

Contact Info

Product

Resources

About