Search Results (1,008)

Under intensified downward economic pressures on the economy, technological innovation is playing a pivotal role in the development of Chinese enterprises. Employees’ psychological safety significantly influences their innovative behaviors, as a climate of psychological safety fosters greater willingness among staff to engage in voice behaviors. Guanxi with a team leader may decrease this effect. This study analyzed survey data from 263 employees of China’s private manufacturing enterprises to explore the moderating role of guanxi with a team leader in the relationship between psychological safety climate and voice behavior. Results showed that psychological safety climate was positively correlated with promotive and prohibitive voices, and employees with a higher psychological safety climate were more likely to develop voice behavior. Guanxi with team leaders negatively moderated the relationship between psychological safety climate and promotive and prohibitive voices, and the association between psychological safety climate and promotive and prohibitive voices was strong when guanxi with a team leader was weak. This study expands the scope of the application of guanxi, with team leaders as a moderating variable. It helps leaders focus on the psychological safety climate of employees, maintain harmonious and friendly interpersonal relationships with employees, enable employees to spontaneously contribute to the development of the organization, and enhance cohesion in the organization. Full article

High-dimensional prediction problems with complex non-linear feature interactions present significant algorithmic challenges in machine learning, particularly when dealing with imbalanced datasets and multicollinearity issues. This study proposes an innovative Shapley Additive Explanations (SHAP)-enhanced machine learning framework that integrates SHAP with advanced ensemble methods for interpretable financialization prediction. The methodology simultaneously addresses high-dimensional feature selection using 40 independent variables (19 CSR-related and 21 financialization-related), multicollinearity issues, and model interpretability requirements. Using a comprehensive dataset of 25,642 observations from 3776 Chinese A-share companies (2011–2022), we implement nine optimized machine learning algorithms with hyperparameter tuning via the Hippopotamus Optimization algorithm and five-fold cross-validation. XGBoost demonstrates superior performance with 99.34% explained variance, achieving an RMSE of 0.082 and R² of 0.299. SHAP analysis reveals non-linear U-shaped relationships between key predictors and financialization outcomes, with critical thresholds at approximately 10 for CSR_SocR, 1.5 for CSR_S, and 5 for CSR_CV. SOE status, EPU, ownership concentration, firm size, and housing prices emerge as the most influential predictors. Notable shifts in factor importance occur during the COVID-19 pandemic period (2020–2022). This work contributes a scalable, interpretable machine learning architecture for high-dimensional financial prediction problems, with applications in risk assessment, portfolio optimization, and regulatory monitoring systems. Full article

This study uses financial data from 872 Chinese listed companies (2018–2022). It tests the triple dividend effect and threshold effect of China’s environmental protection tax (EPT) using high-dimensional fixed effects models and panel threshold models. We document that (1) EPT creates an environmental dividend for Chinese listed companies. It significantly reduces pollution emissions. A 1-unit tax increase reduces LnTPPE by 2.5%. (2) EPT creates a significant innovation dividend. It forces enterprises to improve the quality of authorized patents. A 1-unit tax increase raises patent technological complexity by 0.79%. (3) EPT creates an economic dividend. It significantly improves firm performance. A 1-unit tax increase raises relative corporate revenue by 38.1%. (4) EPT exerts significant threshold effects on micro-level triple dividend outcomes among Chinese listed companies. A heterogeneity analysis shows significant differences in threshold effects between non-heavily polluting and heavily polluting industries. This study confirms that China’s EPT generates a micro-level triple dividend effect alongside coexisting threshold effects for listed companies. This provides literature references for China to design and implement differentiated policies and offers a quantitative empirical case for implementing globally sustainable EPT strategies. Full article

Recent theoretical and empirical studies highlight that information asymmetry and owner–manager conflict of interest can distort corporate investment decisions. Building on this premise, we hypothesize that superior environmental, social, and governance (ESG) performance mitigates these frictions by (H1) alleviating financing constraints and (H2) intensifying external analyst scrutiny. To test these hypotheses, we examine all Shanghai and Shenzhen A-share non-financial firms from 2009 to 2023. Using panel fixed-effects and two-stage least squares with an industry–province–year instrument, we find that higher ESG performance significantly reduces investment inefficiency; the effect operates through both lower financing constraints and greater analyst coverage. Heterogeneity analyses reveal that the improvement is pronounced in small non-state-owned, non-high-carbon firms but absent in large state-owned high-carbon emitters. These findings enrich the literature on ESG and corporate performance and offer actionable insights for regulators and investors seeking high-quality development. Full article

An important element in the Constitution of the People’s Republic of China is the guarantee of gender equality in all fields. The principle is not reflected in terms of corporate governance and senior management, however. A study of the largest 400 companies listed on Chinese stock exchanges shows far fewer female board members and senior managers than male counterparts and only a small improvement over the course of a decade. A comparison of gender balances in terms of a range of variables, including stock exchange listing, industry type, and ownership type, reveals better balances in wholly privately owned firms than in those with controlling state interests. Subject to intervening government policies to promote state-owned enterprises over private sector counterparts, the pattern over the decade studied suggests there is a possibility privately owned enterprises may gradually displace state-owned companies in the largest 400 group and gender balances in senior roles in the largest 400 group will consequently improve. Full article

Environmental, social, and governance (ESG) evaluation has become increasingly critical for company sustainability assessments, especially for enterprises in the construction industry with a high environmental burden. However, existing methods face limitations in subjective evaluation, inconsistent ratings across agencies, and a lack of industry-specificity. To address these limitations, this study proposes a large language model (LLM)-based intelligent ESG evaluation model specifically designed for the construction enterprises in China. The model integrates three modules: (1) an ESG report information extraction module utilizing natural language processing and Chinese pre-trained language models to identify and classify ESG-relevant statements; (2) an ESG rating prediction module employing XGBoost regression with SHAP analysis to predict company ratings and quantify individual statement contributions; and (3) an ESG intelligent evaluation module combining knowledge graph construction with fine-tuned Qwen2.5 language models using Chain-of-Thought (CoT). Empirical validation demonstrates that the model achieves 93.33% accuracy in the ESG rating classification and an R² score of 0.5312. SHAP analysis reveals that environmental factors contribute most significantly to rating predictions (38.7%), followed by governance (32.0%) and social dimensions (29.3%). The fine-tuned LLM integrated with knowledge graph shows improved evaluation consistency, achieving 65% accuracy compared to 53.33% for standalone LLM approaches, constituting a relative improvement of 21.88%. This study contributes to the ESG evaluation methodology by providing an objective, industry-specific, and interpretable framework that enhances rating consistency and provides actionable insights for enterprise sustainability improvement. This research provides guidance for automated and intelligent ESG evaluations for construction enterprises while addressing critical gaps in current ESG practices. Full article

Globalization and market saturation have led Portuguese textile companies to seek international markets not only for growth but also to contribute to their country’s international image. This study aims to explore how the internationalization of the Portuguese textile sector into the Chinese market contributes to Portugal’s destination image and identify the critical success factors in this process. The research follows an inductive, qualitative methodology based on semi-structured interviews with two groups of companies: those already operating in China (n = 5) and those preparing to enter the market (n = 5). The interviews were thematically analyzed to extract key patterns and insights. The findings reveal that successful companies operate in the luxury segment, rely on prior international experience, and often use local intermediaries. Firms planning to internationalize highlight quality differentiation, brand authenticity, and innovation as strategic advantages. These insights support the role of niche positioning and cultural adaptation in building both commercial success and a refined international image of Portugal. This study contributes to the literature by linking internationalization and destination branding through industry-specific case evidence and offers practical implications for managers targeting emerging markets like China. Full article

Drawing on a panel dataset of 27,972 firm-year observations from Chinese A-share listed companies spanning 2009 to 2022, this study employs fixed-effects models to examine the nonlinear relationship between firm-level climate policy uncertainty (FCPU) and corporate green governance expenditure (GGE). The results reveal a robust inverted U-shaped pattern: moderate levels of FCPU encourage firms to increase GGE, while excessive uncertainty discourages it. Financing constraints mediate this relationship; specifically, FCPU exhibits a U-shaped impact on financing constraints, initially easing and then tightening them. Older top management teams accelerate the GGE downturn, while government environmental expenditure delays it, acting as a buffer. Heterogeneity analyses reveal the inverted U-shaped effect is more pronounced for non-polluting firms and state-owned enterprises (SOEs). This study highlights the complex dynamics of FCPU on corporate green behavior, underscoring the importance of climate policy stability and transparency for advancing corporate environmental engagement in China. Full article

In the context of pursuing the goal of strategic imperatives of sustainable development, the ESG performance of enterprises has become a key yardstick for measuring their comprehensive environmental contribution and economic efficiency. Enhancing ESG performance has far-reaching significance in promoting green and sustainable development of enterprises and society. Drawing on the upper echelons theory, this paper investigates the impact of the chief executive officer’s (CEO’s) green experience on corporate environmental, social, and governance (ESG) performance, utilizing a sample of publicly listed Chinese companies from 2011 to 2023. The study demonstrates that CEOs with green experience significantly enhance corporate ESG performance, a conclusion that remains consistent following a series of rigorous robustness checks. Mechanistic analysis reveals that CEOs’ green experience primarily facilitates corporate ESG performance enhancement through green innovation initiatives. Furthermore, CEO discretion amplifies the positive influence of green experience on ESG performance. Heterogeneity analysis demonstrates that the influence of the CEOs’ green experience on ESG performance is more pronounced in high-tech enterprises, in markets characterized by lower levels of competition, and in firms situated in regions exhibiting higher degrees of social trust. These findings impart both theoretical and practical implications for enhancing corporate ESG performance and offer novel strategic perspective to advance environmental stewardship, social responsibility, and corporate governance frameworks. Full article

From the perspective of credit ratings, this paper studies the impact of air pollution on corporate credit costs and the impact mechanism. Based on 2007–2022 data on A-share listed companies in the Chinese capital market, this paper uses a two-way fixed effects model to examine the impact of air pollution on corporate credit costs and the impact mechanism. The results show that air pollution increases the credit costs for enterprises because air pollution affects the sentiment of rating analysts, leading them to give more pessimistic credit ratings to enterprises located in areas with severe air pollution. The moderating effect analysis reveals that the effect of air pollution on the increase in corporate credit costs is more pronounced for high-polluting industries, manufacturing industries, and regions with weaker bank competition. Further analysis reveals that in the face of rising credit costs caused by air pollution, enterprises tend to adopt a combination strategy of increasing commercial credit financing and reducing the commercial credit supply to cope. Although this response behavior alleviates corporations’ own financial pressure, it may have a negative effect on supply chain stability. This paper provides new evidence that reveals that air pollution is an implicit cost in the capital market, enriching research in the fields of environmental governance and capital markets. Full article

Promoting social equity is a global issue, and common prosperity is an important goal for human society’s sustainable development. This study is the first to examine climate risks’ impacts on common prosperity from the perspective of corporate employees, providing micro-level evidence for the coordinated development of climate governance and social equity. Employing data from companies listed on the Shanghai and Shenzhen stock exchanges from 2016 to 2023, a fixed-effects model analysis was conducted, and the results showed the following: (1) Climate risks are positively associated with the common prosperity of corporate employees in a significant way, and this effect is mainly achieved through employee guarantees, rather than employee remuneration or employment. (2) Climate risk will increase corporate financing constraints, but it will also force companies to improve their ESG performance. (3) The mechanism tests show that climate risks indirectly promote improvements in employee rights and interests by forcing companies to improve the quality of internal controls and audits. (4) The results of the moderating effect analysis show that corporate size and performance have a positive moderating effect on the relationship between climate risk and the common prosperity of corporate employees. This finding may indicate the transmission path of “climate pressure—governance upgrade—social equity” and suggest that climate governance may be transformed into social value through institutional changes in enterprises. This study breaks through the limitations of traditional research on the financial perspective of the economic consequences of climate risks, incorporates employee welfare into the climate governance assessment framework for the first time, expands the micro research dimension of common prosperity, provides a new paradigm for cross-research on ESG and social equity, and offers recommendations and references for different stakeholders. Full article

In the process of evaluating the quality of a company’s development, the issues related to production capacity and environmental pollution have emerged as significant concerns. Drawing on the methodologies employed in previous related research, this study utilizes the Data Envelopment Analysis with relaxation variables and the Global Malmquist–Luenberger index to measure the green total factor productivity of Chinese heavy-polluting enterprises. The main findings of this study are as follows: (1) It is clearly demonstrated that higher managerial effectiveness has a substantial positive impact on the improvement of a company’s green total factor productivity; (2) the digitalization progress within enterprises serves as a moderating factor in the relationship between managerial effectiveness and green total factor productivity; (3) the extent of financial constraints acts as a mediating variable, intervening in the relationship between managerial efficiency and green total factor productivity; and (4) a threshold effect is detected between managerial effectiveness and the debt repayment pressure faced by enterprises. When the threshold values of managerial effectiveness or the quick ratio are surpassed, the influence of managerial effectiveness on the green total factor productivity of enterprises will undergo a change. Full article

In an era where sustainable development is increasingly a core strategic issue for businesses, how top management, as the architects of corporate strategy, can achieve a synergy of economic, social, and environmental benefits through internal management mechanisms to promote corporate sustainability is a central focus for both academia and practice. This study aims to explore how Executive Cognitive Flexibility (CF) influences Firm Performance and to uncover the mediating effects of Non-market Strategy. We use panel data from Chinese A-share listed companies between 2016 and 2022 to examine and empirically analyze this mechanism. Our findings indicate that CF has a positive impact on Firm Performance. This relationship is realized through the pathway of Non-market Strategy, specifically manifesting as a reduction in Corporate Social Responsibility (CSR) and an increase in Corporate Political Activity (CPA). Further analysis reveals that the impact of executive cognitive flexibility on firm performance is differentially influenced by internal and external environmental contexts. The findings of this study provide important practical insights and policy recommendations for companies on cultivating executive cognitive flexibility, optimizing non-market strategies, and enhancing firm performance in various internal and external environments. Full article

Although carbon emissions trading systems are universally acknowledged as one of the most potent policy instruments for counteracting hazardous climate trends, and digitalization is seen as a favorable technological means to promote corporate green and low-carbon transformation, few studies have investigated the dark side of both. Using data on Chinese listed companies from 2011 to 2020 and adopting a multi-period DID methodology, this research reveals that, in response to the carbon emissions trading system, firms often adopt low-cost, strategic environmental governance behaviors—namely, carbon washing—to reduce compliance costs and maintain their reputation and image. Furthermore, the study reveals that the information advantages of digital transformation create conditions for the opportunistic manipulation of carbon disclosure. Digitalization amplifies the positive influence of the carbon trading system on corporate carbon washing behavior. Mechanism analysis confirms that the carbon emissions trading system increases the production costs of regulated firms, thereby increasing their carbon washing behavior. Economic consequence analysis confirms that firms engage in carbon washing to gain legitimacy and maintain their reputation and image, which may allow them to obtain opportunistic benefits in the capital market. Finally, this study suggests that the government should adopt supplementary policy tools, such as environmental subsidies, enhanced use of digital technologies to strengthen regulatory capacity, and increased media oversight, to mitigate the unintended consequences of the carbon trading system on corporate behavior. Full article

Amid the rapid development of the digital economy, data elements—emerging as a new type of production factor—are gradually becoming a key resource for enhancing corporate efficiency and promoting high-quality development. The marketization of data elements is also steadily progressing and playing an increasingly important role. Based on data from Chinese A-share listed companies spanning 2007 to 2023, this study systematically evaluates the impact of data element marketization on corporate investment efficiency using a Double Machine Learning approach. The findings reveal that data element marketization significantly improves investment efficiency. Mechanism analysis further demonstrates that such improvement is primarily driven by reduced information dispersion, enhanced risk-bearing capacity, and improved operational efficiency. Heterogeneity analysis indicates that these effects are more pronounced for firms in high-tech industries, high growth potential firms, enterprises located in regions with strong digital infrastructure, and firms experiencing overinvestment problems. This study provides empirical evidence on how the marketization of data elements in China enhances economic outcomes, improving corporate investment decisions, which could serve as a reference for other countries undergoing digital transformation. Full article