Does ESG Consistently Promote the Corporate Financial Performance? A Study of the Global Cruise Industry

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Tác giả: Yuechen Wu

Ngôn ngữ: eng

Ký hiệu phân loại: 658.1 Organization and finance

Thông tin xuất bản: 2024

Mô tả vật lý:

Bộ sưu tập: Metadata

ID: 203931

The analysis of determinants of a company's financial performance has aroused significant attention, particularly, the environmental, social, and governance (ESG) has been the research focus in recent years. In addition to increasing revenue, the cruise industry has actively embraced the initiative of "green shipping". This study investigates the relationship between ESG and corporate financial performance (CFP) in the global cruise sector. This paper utilizes the sample data from the world's largest cruise companies over 2012-2023, to examine the ESG-CFP relationship by a regression model. The results indicate that ESG practices in cruise companies negatively influence CFP, which is further impacted by financial constraints. Furthermore, the heterogeneity analysis suggests that the high time interest earned (TIE) ratios and low total annual greenhouse gas (GHG) emissions worsen the adverse impacts of ESG on CFP. These findings contribute to the theoretical research on ESG and provide practical guidance for cruise industry operators and investors in their decision-making.
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