Author(s)

Yan Chen, Wanqing Wang, Zongxin Liu, Yi-Chang Chen

Corresponding Author

Yi-Chang Chen

Abstract

Despite extensive research on ESG influencing factors, institutional and policy constraints limit studies on the new energy market. This paper fills this gap by examining 192 listed companies in the new energy industry from 2010 to 2020. Using balanced panel data regression, we assess the effect of ESG on firm value. Our findings reveal that ESG positively impacts transparency, enhancing information efficiency. However, it also shows a negative relationship with reputation, which could be attributed to investment or relative opportunity costs. Importantly, our study underscores that reputation is the primary driver of firm value. The results contribute to understanding the relationship between these factors in the new energy industry.

Keywords

ESG, Firm value, Reputation, Transparency