The Impact of Corporate ESG Performance on Resilience Enhancement Capability - Evidence Based on Chinese A-share Listed Companies

In a global environment full of uncertainty, resilience has emerged as a crucial topic within corporate organizational governance and strategic formulation. Using a sample of Chinese A-share listed companies from 2009 to 2023, this paper constructs a bidirectional fixed-effects empirical model to consider the impact of corporate ESG performance on resilience enhancement capability. The empirical results show that: the positive effect of corporate ESG performance on the resilience enhancement ability is significant, the better the corporate ESG performance, the stronger the corporate resilience, and it is more significant in non-state-owned enterprises as well as those located in the central and western areas. Mechanism analysis finds that ESG performance helps firms build organizational resilience mainly through three channels: improving innovation capability, alleviating financing constraints and improving corporate risk-taking capability. In view of this, enterprises should take the initiative to form a long-term mechanism to enhance ESG and resilience linkage, the government should formulate differentiated policies and enhance the oversight of corporate ESG reporting, and investors should take ESG performance as an important consideration to support the sustainable development of enterprises.