The Impact of ESG Disclosure on the Business Performance of Non-Financial Firms in Vietnam (2020–2024)

This study evaluates the impact of ESG disclosure on the business performance of non-financial listed companies in Vietnam during 2020–2024. Based on Legitimacy, Stakeholder, and RBV theories, the research uses panel data from 250 companies across five ESG high-risk sectors (Real Estate, Industry, Energy, Materials, Consumer) and applies quantitative regression to test the separate effects of the three ESG pillars (Environmental, Social, Governance) on ROA and ROE. Findings indicate sectoral variation in ESG’s influence: ESG significantly enhances competitive advantage in Real Estate and Non-essential Consumer sectors; plays a risk mitigation role in Energy and Materials sectors; while the Industrial and Essential Consumer sectors show no clear impact. Accordingly, the study provides tailored recommendations by industry to improve ESG disclosure quality and support sustainable development strategies, aligning with Vietnam’s national Net Zero commitment by 2050..