Impact of ESG Performance on Enterprise Innovation Investment Evidence from China Listed Enterprises

Abstract: Innovation is also playing an increasingly important role in the process of transitioning to high-quality economic development. Therefore, it is imperative that enterprises, as micro-entrepreneurs improving the quality of economic growth, pay attention to the enhancement of their R&D capabilities. So how can positive ESG performance by firms alleviate financing constraints and thus promote R&D investment? Therefore, this paper investigates the impact of ESG performance and financing constraints on R&D investment, which is of great significance in promoting enterprises to pay attention to ESG management, alleviating financing constraints, and promoting the enhancement of R&D capability. The results of this study show that corporate ESG performance has a positive effect on R&D investment; corporate ESG performance has a negative effect on financing constraints; financing constraints play a partly intermediary role in the process of corporate ESG performance affecting R&D investment.