Catalyst or constraint? Academic independent directors and corporate consciousness of climate change under ESG practice

This study investigates the role of academically experienced independent directors (AIDs) in shaping firms’ climate risk consciousness in Chinese listed companies. Using a panel dataset from 2008 to 2023 and fixed effects regression models, we find that a higher proportion of AIDs significantly enhances firms’ climate risk consciousness. The effect operates through two mechanisms: improving the quality of corporate information disclosure and shaping executives’ environmental cognition. The influence of AIDs is stronger in firms with low managerial ownership, weaker internal ESG performance, higher analyst coverage, and in regions with stricter environmental regulations. The study contributes to the literature by examining the previously underexplored impact of AIDs on corporate environmental awareness, identifying key moderating factors, and highlighting the role of China’s Confucian cultural context in shaping board effectiveness. These findings provide practical implications for policymakers and corporate practitioners regarding board composition and the integration of academic expertise to promote corporate sustainability.