Aspects Of Governance Research Articles

Environmental, Social and Governance Performance on Brand Value in the Context of “Dual Carbon”: The Mediating Effect of R&D Innovation

As an important asset of an enterprise, brand value reflects its competitive position in the market. With the proposed goal of “carbon peak” and “carbon neutrality”, the development of enterprises is paying more and more attention to ESG performance (that is, the performance of enterprises in environmental, social and governance aspects), and the attention of brand management is slowly shifting away from traditional products and markets into being green and sustainable. In order to verify the relationship between ESG performance and brand value, this study takes Chinese A-share listed enterprises from 2012 to 2021 as research samples to reveal the mechanism of ESG performance’s impact on brand value. The results show that ESG performance can significantly improve brand value, indicating that the investment in ESG will ultimately affect brand value. The mediation mechanism analysis shows that R&D innovation plays a mediating role in the relationship between the two. A heterogeneity analysis shows that the ESG performance of state-owned enterprises and large enterprises has a stronger promoting effect on brand value, while small enterprises do not show heterogeneity. The research results provide new evidence to reveal the impact of ESG performance on brand management, and have reference significance for ESG construction, brand marketing innovation, and corporate green innovation.

Does the green finance policy affect the efficiency of corporate investment? Evidence from China's green finance reform and innovation pilot zones.

In the context of promoting the orderly expansion of capital investment and rational allocation of resources to achieve green and circular economic development. Green finance, as a new engine to promote the sustainability of enterprises, holds significant importance in exploring the positive effect of green finance policies on optimizing the investment decisions of enterprises and guiding them to efficiently utilize their resources to maximize value creation. Using A-share listed companies in Shanghai and Shenzhen from 2012 to 2022 as the research sample, we apply the Difference-in-Differences (DID) method to test the impact of the green finance reform and innovation pilot zones (2017) on the investment efficiency of enterprises in the pilot regions. We also adopt a two-step method to test the mechanisms of financial resource misallocation and agency costs. The study reveals that the green finance policy significantly enhances the investment efficiency of enterprises in the pilot areas. Financial resource misallocation and agency costs are important influence mechanisms. Drawing on resource allocation theory and agency theory, the study concludes that the green finance policy alleviates financial resource misallocation by directing financial resources toward high-efficiency enterprises. Moreover, the policy effectively reduces agency conflicts caused by power separation and information asymmetry, ensuring that enterprises can maximize the benefits of their investments. Heterogeneity analysis shows that non-state-owned enterprises and low-tech innovative enterprises in the pilot areas have disadvantages in terms of capital stock and loan credit, so the policy can improve their investment efficiency effectively. Based on these findings, we recommend that to leverage the positive effects of the green finance policy, it is essential to enhance the guiding role of the government, strengthen market mechanisms, and bolster corporate initiatives. This study complements the research on the economic effects of location-orientated comprehensive green finance policies on enterprises, considering the dual aspects of resource allocation efficiency and corporate governance, and makes up for the shortcomings of the existing literature. The study's conclusions offer valuable insights for enhancing green finance to support enterprises in achieving efficient production.

Unpacking Public Satisfaction: An Analysis of the 2024 Lok Sabha Elections

Voters’ perception of how satisfied they are with the work of the incumbent government is decisive for their voting decision, with satisfaction in most cases leading to support for the incumbent government and dissatisfaction leading to votes against it. This article is not about exploring the relationship between satisfaction with the incumbent party’s performance and voting for it. The main objective is to identify the factors that contribute to voter satisfaction. What aspects of the incumbent government’s performance or policy influence their positive assessment? Considering the election campaigns and prominent issues leading up to the elections and drawing insights from existing literature, this analysis examines the potential determinants of voter satisfaction. It aims to identify how these factors explain voter satisfaction or dissatisfaction. The findings reveal that voter satisfaction with the incumbent government during the 2024 Lok Sabha election was mainly influenced by recent and visible accomplishments rather than long-term factors. The construction of the Ram Mandir and positive evaluations of the government’s performance on economic issues played a significant role in increasing satisfaction.

Effective Internal Control Towards Business Sustainability of a Selected Company in Shenzhen, China

In the vibrant and innovative landscape of Shenzhen, China, a certain company has achieved long-term sustainable business development through a series of efficient and rigorous internal control mechanisms, thereby setting a benchmark within the industry. As a pioneer of China's reform and opening-up, Shenzhen's business environment is marked by intense competition and rapid change, which imposes high demands on a company's adaptability and flexibility. The internal controls of this company not only address financial and operational risk management but also delve into the shaping of corporate culture and the fulfillment of social responsibilities. By constructing a comprehensive risk management system, optimizing internal processes, and enhancing information communication, the company has not only weathered market uncertainties but also progressively established a solid brand trust and market competitiveness. The effective implementation of internal controls has enabled the company to pursue economic benefits while achieving harmonious development in environmental, social, and governance (ESG) aspects, forming a unique sustainable business model. This model not only helps the company maintain a leading position in the rapidly changing market but also provides valuable experience and reference for other enterprises.

Research on the Effectiveness of China's Rural Land Ownership Policy

The confirmation of rural land rights and the "separation of three rights" have opened the prelude to the deepening reform of China's agricultural land system, and are of great significance to the implementation of rural revitalization and agricultural security strategy in the new era. Based on existing literature studies, this paper summarizes and analyzes the effect of land ownership confirmation on farmers' income, land circulation, scale management, urbanization, rural governance and other aspects of China's rural land ownership confirmation. The research shows that land ownership confirmation can improve farmers' income, promote land circulation and scale management to a certain extent, but the effect is limited. The impact on urbanization and rural governance is still unclear.

How does digital transformation affect corporate governance paradigms? A synthesis of the literature

At present, digital transformation has become a vital way for companies to achieve sustainable growth. This paper reviews the literature on the correlation between digital transformation and corporate governance paradigm, analyzes the specific impact mechanism of AI technology and big data technology in the field of corporate governance, and explores the influence effect of the most popular ChatGPT technology on corporate governance from the perspective of business practice. It is found that digital transformation has an important impact on stakeholder management, information disclosure, green governance and other aspects of corporate governance. The purpose of the study is to provide a new reference for the construction of corporate governance paradigm and help companies achieve long-term development in the digital wave.

Determinants of Public Participation in Watershed Management in Southeast China: An Application of the Institutional Analysis and Development Framework

Increasingly, adaptive processes and decentralization are vital aspects of watershed governance. Equitable and sustainable water governance requires an understanding that different societal members have unique relationships with the environment and varying levels of interaction with policymakers. However, the factors facilitating public involvement under centralized governance remain less understood. This study combined the Institutional Analysis and Development framework with ordered probit regression to empirically investigate the determinants of willingness to participate (WTP) and actual participation of the public in integrated watershed management (IWM). Data from 933 valid questionnaires collected across 36 counties in Fujian, China, were used to define stakeholders’ perceptions of IWM. Results show that stakeholders are predominantly willing to participate in watershed conservation, management, or planning (85.9%), while only 32.8% frequently attend related events. Pro-environmental intentions were mainly shaped by interactional capacity—information exposure, interpersonal exchanges, and cross-reach support recognition—while actual participation was influenced by perceived biophysical conditions, rules-in-use, socioeconomic factors, and interactional capacity. Frequent observations of poor forest management practices were correlated with higher behavioral intentions, and socioeconomic dynamics significantly affected self-reported actual participation. Information sharing had the most substantial positive impact on both WTP and actual participation. These findings reinforce the necessity for an integrated and holistic approach to regional watershed resource management that fosters inclusivity and sustainability. This study provides workable insights into the social and institutional factors that shape public participation in watershed governance as it evolves toward decentralization.

Identifying gaps in health system governance to eliminate informal patient payments

Abstract Background Informal patient payments continue to exist in many European countries. These payments might take various forms but can be broadly defined as any payments in addition to formal fees determined by the terms of entitlement. Poor health system governance is considered one of the main factors contributing to their presence, although different aspects of governance might be relevant in each country. The aim of this study was to develop an assessment instrument to help identify gaps in health system governance that contribute to informal patient payments. Methods The study has been performed in 2022-2023 in three stages. In the first step, relying on the TAPIC framework and available literature on informal patient payments, we developed a list of questions for each domain of governance: Transparency, Accountability, Participation, Integrity, Capacity. In the second step, the questionnaire was assessed by external experts to ensure it covers the full range of relevant aspects. We then applied the instrument to three European countries, i.e. Denmark, Greece, and Poland, where informal payments differ in scale. Results The developed instrument includes 22 questions in the five TAPIC domains. They particularly refer to the role of governance in eliminating underlying reasons for informal patient payments (poor quality of health care) and effective penalization of these payments. The application of the instrument showed that in two countries where informal payments are more common, i.e. Greece and Poland, quality and waiting time guarantees are poorly defined, monitored, and incentivized, while existing mechanisms only penalize payments proven to be bribes. Conclusions There is a broad range of health system governance aspects that can be directly or indirectly linked to informal patient payments. The proposed instrument can facilitate the development of long- and short-term policies to eliminate informal payments in European countries. Key messages • Policy makers need to take greater account of the role of governance in ensuring health care quality to eliminate informal patient payments. • The lack of mechanisms to penalize all types of informal payments may contribute to the commonness of these payments in Europe.

Corporate moral hazard and ESG performance: Unveiling the influence of gross enforcement actions and ownership dynamics in US multinational corporations

AbstractExisting research often highlights the impact of several categories of corporate enforcement action on corporate performance, thus overlooking the impossibility of isolating the impacts of other concurrent enforcement actions. The current study employed the gross value and volume of corporate enforcement actions to examine the influence of corporate moral hazard (CMH) on environmental, social, and governance performance (ESGP) along with ownership dynamics. The S&P data from 2018 to 2022 were analyzed, covering 1925 observations of US multinational corporations (MNCs) based on various aspects of corporate governance (CG). Institutional, insider, and family ownership were applied as proxies for ownership structure. CSRHub ratings represented ESGP, while Sustainalytics ratings were used for robustness. The analysis involved various econometric models, including the feasible generalized least squares model (FGLSM). Resultantly, CMH negatively affected ESGP, whereas CG mechanisms revealed a positive influence. Contrary to existing literature, the size of corporate law cases is a stronger proxy for CMH than the amount of enforcement actions. Although institutional owners decrease the number of enforcement actions, they encounter substantial penalties. Above‐average insiders reduce lawsuits and exert significant control over penalties, while below‐average insiders result in heavier penalties and lawsuits to an extent. Families are the most positively influential owners; having more family owners increases penalties and ESGP but reduces lawsuit size, particularly when ownership exceeds the mean percentage.

A vulnerable soil environment study in karst areas: a bibliometric analysis

Karst landforms are widely distributed around the world, and karst rocky desertification has occurred on a large scale in many countries and regions, causing significant adverse impacts on local natural environments and societies. The improvement and rational use of karst soil is a key aspect of rocky desertification governance. Karst soil science studies are of great value in karst regions and are essential for controlling karst rocky desertification and ecological restoration. In order to understand the research hotspots and the development directions in the field of vulnerable karst soil environment, we undertook bibliometrics citation analysis on 1913 contributions to the literature written in the range from 2001 to 2019 based on the “Web of Science” core collection citation index database. Hopefully, this work will help to set up a scientific foundation for further studies. Using CiteSpace visualization software, we analyzed the distribution of disciplinary categories, reference co-citation clusters, and keyword clusters in the literature. The results show the basic characteristics and evolution of the literature related to karst pedology. We then recognized the main intellectual bases in the domain of karst soil science. This study also revealed the research hotspots and trends in this field. Through a bibliometrics citation analysis of research on karst vulnerable soil environment, the present study provides a quantitative and objective understanding of development directions that have emerged in this field over the past 19 years, offering a reference for future research.

Non-financial reporting—A key element in assessing sustainable corporation performance

In the modern economy, non-financial reporting has become an essential tool for evaluating the social performance of companies. This article explores the importance of non-financial reporting as a central element in assessing sustainable performance, focusing on analyzing sustainability reports published by 20 companies listed on the Bucharest Stock Exchange (BVB). The study examines how these companies approach environmental, social, and governance (ESG) aspects in their reports and what is the relationship between these aspects and financial reporting indicators. Through the statistical analysis of the non-financial reports published by companies participating in the study with the help of the Pearson coefficient and the regression equations, the correlation between the financial and non-financial indicators is determined in order to validate the research hypotheses. The results indicate increased attention to transparency and social responsibility, highlighting the correlation between sound reporting practices and cooperative performance by combining social and environmental aspects with financial information. The research also highlights the challenges encountered in the reporting process and the level of compliance with international sustainability standards.

Governance and health system reform: a case study of new health regions in Ireland, 2018-2023

Abstract Background While the significance of good governance is recognised within health systems research, its role in health system reform is underexplored. This research focuses on the establishment of new decentralised regional health structures in Ireland in the period 2018-2023, examining how aspects of governance impacted the decentralisation reform process, from policy design through to implementation. Methods The research applied a qualitative, multi-method approach involving analysis of official documents relevant to the regional decentralisation process, and 12 semi-structured interviews with key informants from across the health sector. The research applies the TAPIC framework for health governance as its analytic framework and the data is analysed using thematic analysis. Results Deficiencies in accountability arrangements, poor transparency within the system and vis-à-vis external stakeholders, and a lack of clarity of roles and responsibilities for various process and key decisions related to the reform were identified as undermining progress at various stages of Ireland’s decentralisation reform process. An underlying distrust between key institutional actors was identified. These findings are grounded in complex social, cultural, and political and institutional developments in Ireland’s history. Also of note is the interwovenness of the five TAPIC domains and the importance of engaging with the complexity and relationality intrinsic to health system reform processes to achieve the aim(s) of the reform in question. Conclusions Large scale health system reform is a complex process and its governance presents distinct challenges and opportunities for stakeholders. To understand and address these, critical analysis of the historical context surrounding the policy reform and the institutional relationships at its core are needed. Key messages • Governance plays a crucial if overlooked role in health systems reform. Effective governance arrangements are central to the successful design and implementation of reform initiatives. • Ensuring a strong link between policy design and implementation processes is crucial to the success of health systems reform.

The Impact of Digital Rural Construction on Rural Revitalization-Empirical Evidence from Chinese County Panel Data

High-quality economic growth across society is increasingly being driven by the quickly evolving digital economy, with digital villages integrated into various aspects of rural development, construction, and governance, providing essential digital support for achieving comprehensive rural revitalization. By employing county-level panel data from China spanning 2018 to 2020, the Rural Revitalization Index was constructed and applied at the county level, and empirical tests were performed in combination with the Digital Village Index. The results demonstrate that the establishment of digital villages greatly enhances the progress of rural revitalization, with the sub-dimensions of digitalized rural economies and rural lifestyles playing particularly positive roles. Based on this, the mechanisms through which digital village construction empowers rural revitalization were examined, with the process being summarized as “factor aggregation–entities cultivation–market integration.” Further analysis demonstrates that the empowerment effect of digital village construction on rural revitalization is more pronounced in counties that are not major grain producers, have longer road networks, and are located closer to Hangzhou. Thus, it is essential to continue advancing digital village initiatives, identify integration points based on rural functional roles and resource endowments, and explore pathways to fully realize their empowering effects on rural revitalization.

Evaluating the Role of GCC Nations in Sustainable Energy Investment Using an Enhanced Low-Carbon Economy Index

In the past decade, environmental, social and country governance (ESG) aspects as well as economy have become key factors for decisions in the investment and future development of renewable energy industry. The abundancy of renewable resources and widely accessible technology are the key drivers for the renewable energy business in the GCC. However, lack of effective policies and regulations, along with subsidized fuel prices, are slowing down the implementation of renewable resource options. This study will illustrate the potential, the challenges, and the barriers of implementing renewable energy technologies in the GCC region. In addition, this research empirically examines the impact of renewable energy sources and other factors in the GCC countries. This study can be used as a screening tool, decision making tool, benchmarking tool and guidance of sustainable development.

Research on the Impact of the Digital Transformation of Commercial Banks

The development of the digital economy has presented both opportunities and challenges for the transformation of commercial banks. This article aims to conduct a literature review on the impact of digital transformation on commercial banks and to explore the multi-dimensional effects it brings. Through a review and analysis of relevant domestic and international literature, this paper first defines the connotation of digital transformation in commercial banks. It then conducts a literature analysis and research on the strategic governance, business performance, and risk management aspects of the digital transformation of commercial banks from multiple perspectives. Based on the analysis of the existing literature, the paper explores directions for future in-depth research and offers corresponding policy suggestions, providing a theoretical and practical foundation for the future digital development of commercial banks.

‘No es la democracia que míster superman quiere imponernos desde Washington’: An analysis of populist attitudes on democracy from Latin American legislators

AbstractIn studies on Populism, extensive discussion has mounted around whether the phenomenon represents a threat to democracy or a corrective force. In line with this concern, we examine whether the populist attitudes held by legislators are related to their opinions on the functioning of and satisfaction with three central aspects of governance: (I) democracy itself; (II) its institutions; and (III) the separation of powers. Using the ideational approach and survey information collected for the PELA‐USAL database, we first measure the populist attitudes of legislators in 12 Latin American countries. We then test through multivariate analysis two theoretical arguments: (1) that populism is relatively hostile to democracy and its institutions; and (2) that ideological extremism and the situation of the legislator in the government/opposition dynamic serve as moderators (enhancers) of that hostility. The results suggest that the populist attitudes of these legislators are indeed significantly connected to lower levels of trust and satisfaction with democracy and its institutions and that populism in combination with ideological extremism sharpens that critical perspective, while a legislator's affiliation with the ruling party or coalition in government tends to temper it.

Initial Public Offering (IPO) and Value Aggregation: a Systematic Literature Review

Objective: The objective of this study is to conduct a systematic literature review on Initial Public Offerings (IPO) and value aggregation, identifying the key articles and authors who investigate the topic. Theoretical Framework: The theoretical framework is based on life cycle, market timing, and pecking order theories, highlighting the benefits and risks of IPOs for companies, such as raising capital and increasing market value. Method: The method used was a systematic review, based on the Web of Science, focusing on articles about IPOs and value creation. Stages such as research operationalization, application of filters, and bibliometric analysis were followed. Results and Discussions: The results indicate a significant increase in the number of publications after 2007, with emphasis on the seminal work of Loughran and Ritter. The discussions reveal that most research focuses on pricing and governance aspects, with few investigations on financial value aggregation. Research Implications: The research implications suggest the need for future studies focusing on the financial impact of IPOs, especially in emerging markets. Originality/Value: The originality and value of this work lie in the systematization of a vast literature on IPOs and the identification of gaps for future research

Towards trustworthy medical AI ecosystems – a proposal for supporting responsible innovation practices in AI-based medical innovation

AbstractIn this article, we explore questions about the culture of trustworthy artificial intelligence (AI) through the lens of ecosystems. We draw on the European Commission’s Guidelines for Trustworthy AI and its philosophical underpinnings. Based on the latter, the trustworthiness of an AI ecosystem can be conceived of as being grounded by both the so-called rational-choice and motivation-attributing accounts—i.e., trusting is rational because solution providers deliver expected services reliably, while trust also involves resigning control by attributing one’s motivation, and hence, goals, onto another entity. Our research question is: What aspects contribute to a responsible AI ecosystem that can promote justifiable trustworthiness in a healthcare environment? We argue that especially within devising governance and support aspects of a medical AI ecosystem, considering the so-called motivation-attributing account of trust provides fruitful pointers. There can and should be specific ways and governance structures supporting and nurturing trustworthiness beyond mere reliability. After compiling a list of preliminary requirements for this, we describe the emergence of one particular medical AI ecosystem and assess its compliance with and future ways of improving its functioning as a responsible AI ecosystem that promotes trustworthiness.

Does the Imbalance of ESG Activities Affect Company Performance? -- Evidence from Chinese A-share Listed Companies from 2018-2022

In recent years, the concept of sustainable development has progressively gained traction among the populace, with the performance of enterprises in environmental, social, and corporate governance (ESG) aspects attracting widespread attention from various sectors of society. The weighting of E, S, and G components varies across domestic and international ESG rating agencies, often resulting in significantly divergent weighted ESG scores. Leveraging the theory of organizational ambidexterity, this paper empirically investigates the impact of discrepancies between institutional ESG scores and equally weighted ESG scores on company performance, utilizing a sample of Chinese A-share listed companies spanning the years 2018 to 2022. Our findings reveal that equally weighted ESG scores exhibit a correlation with company performance, and a higher positive percentage difference between a company's rating agency ESG scores and its equally weighted ESG scores is associated with lower performance. This suggests that the rating agency weighting method may inadvertently encourage companies to engage in "greenwashing." This conclusion remains consistent after conducting robustness tests. Heterogeneity analysis further indicates that the negative impact of this difference on company performance is more pronounced among non-state-owned companies, manufacturing companies, and small companies. The mechanism of action test reveals that this difference negatively affects company performance by exacerbating financing constraints and reducing operating efficiency.

Historical and legal aspects of corporate governance in LLCs according to the legislation of Poland and Ukraine

The article provides a detailed examination of the evolution of corporate governance in Ukraine and Poland, focusing on the development of legislation in both countries. The author analyzes the historical development of corporate structures, tracing their evolution from antiquity and the Middle Ages to the present day, highlighting key stages and changes in legal norms regulating corporate governance in Poland and Ukraine. The article begins with a review of early forms of corporate structures in ancient civilizations and tracks their development through significant historical periods in Europe. The stages of corporate governance development in Poland and Ukraine during the 19th and 20th centuries are separately examined. In Ukraine, the formation of corporate governance was constrained by the legal norms of the Russian Empire, and only with the transition to a market economy in the 1990s a significant development of corporate forms was noticed, particularly it concerned limited liability companies (LLCs). In contrast, Poland’s development of corporate law was marked by intense changes, especially after the fall of the communist regime and accession to the European Union, which facilitated the eligibility of Polish corporate law according to European standards. The author provides a detailed analysis of the key stages of legal changes in both countries, including the codification of corporate law, adaptation to European norms, and the challenges encountered at each stage. The article also explores the impact of economic and political changes on the development of corporate governance in both countries, emphasizing that although the initial stages of corporate governance development in Ukraine and Poland were somehow similar due to geographical and historical closeness, their further development differed significantly. Poland went through stages of intensive reforming and EU integration, which substantially influenced the modernization of its corporate law. Meanwhile, significant changes in corporate governance in Ukraine began only in the 1990s and continue to modern days, facing certain challenges and obstacles on the way to full integration into European legal standards. The article reveals both common and different features of the evolution of corporate law in these countries. The findings provide a deeper understanding of the impact of historical and political factors on the formation of modern corporate practices and norms in both countries. The author concludes that despite the fact that both countries started moving into corporate governance from similar foundations, their subsequent development was significantly different because of the influence of both internal and external reasons. Poland has managed to successfully adapt its legislation according to European standards, while Ukraine is still in the process of transformation. This highlights the necessity for continued reforms in Ukraine, particularly for integration into the European legal space, which is critical for ensuring the stability and transparency of corporate governance in the country.