Consumption center construction and enterprise ESG performance: Evidence from China

• There is a positive relationship between consumption center city construction and enterprise ESG performance. • The consumption center city construction promote enterprise ESG performance by optimizing the urban environment. • The consumption center city construction promote enterprise ESG performance by easing financing constraints. Our study empirically analyzes the impact of consumption center city construction on enterprise Environmental, Social, and Governance (ESG) performance in China. The findings suggest that such construction positively influences enterprise ESG performance, a relationship that remains robust after addressing the potential endogeneity issues. We also find that consumption center city construction enhances enterprise ESG performance by optimizing the urban environment and easing financing constraints.