Research On The Impact Of ESG Performance On Corporate Value

ESG is an abbreviation for the English terms of environment,social responsibility and corporate governance,which is a set of evaluation indicators that are used to assess a company’s contribution to promoting sustainable economic development,green development and fulfilling social responsibility in a comprehensive manner when making investments from various aspects such as the environment,society and governance of the company.In recent years,along with the increasing awareness of corporate social responsibility,the ESG perspective has gradually become a new assessment method to examine the company’s risk response and sustainable development capability.Studies have found that the better the ESG performance,the better the financial performance of the company.This is because companies are able to manage and anticipate current and future economic situations,environmental issues,social opportunities and crises,and are able to focus their efforts on quality assurance and improving production efficiency;focus on environmental protection and energy conservation to reduce corporate operating costs,maintain their competitive advantage,increase long-term value,attract and motivate long-term employees to adapt to the rapidly changing global market environment.Therefore,this paper analyzes the current situation and achievements of Sungrow Co.in the three aspects of ESG by means of a case study,based on a review of the theories related to ESG.The focus is on the path of ESG performance on corporate value,which is discussed in depth.It is found that enterprises can enhance their corporate value in terms of financing,human resources and corporate efficiency by improving ESG performance,and the economic consequences are analyzed from the perspective of the enterprise as a whole and specific financial indicators,which complements the theoretical research on the impact of ESG on corporate value and aims to promote the establishment of ESG concepts and enhance ESG performance of listed enterprises in China for the purpose of sustainable development.