Unlocking value: the moderating role of stakeholder engagement in the relationship between ESG performance and market value

Purpose This study aims to analyze the moderating effect of stakeholder engagement on the relationship between environmental, social and governance (ESG) performance and market value in companies located in MINT (Mexico, Indonesia, Nigeria and Turkey) countries. Design/methodology/approach To accomplish the research objective, data were obtained from the Refinitiv Eikon® database, and a mixed-methods approach was applied for analysis. The study utilized panel data regression with fixed effects, along with fuzzy set qualitative comparative analysis (fsQCA), combining both symmetric and asymmetric analyses to strengthen the reliability of the results. Findings The results indicate that ESG increases the market value of companies in emerging countries, as well as highlighting the importance of stakeholder engagement for greater market value. The research results have important implications for stakeholder theory, as well as for managers, investors and governments. Practical implications Managers must recognize that to enhance their companies' market value, investing in ESG practices is essential. While ESG reporting is not compulsory in the countries examined, governments have the opportunity to introduce incentives that encourage companies to place greater value on such disclosures. Originality/value While numerous studies have demonstrated a positive connection between ESG performance and market value, this research is unique in that it examines the moderating role of stakeholder engagement in this relationship. Furthermore, it offers new insights from emerging economies, particularly the MINT group, which have received limited attention in existing literature. The study employs a mixed-methods approach, incorporating both symmetric and asymmetric analysis.