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Business sustainability and investment efficiency: A comparative analysis in shareholder and stakeholder-oriented markets
University of Gävle, Faculty of Education and Business Studies, Department of Business and Economic Studies, Business administration.ORCID iD: 0000-0002-2536-0446
University of Memphis.
Urmia University, Iran.
2025 (English)In: Indian Accounting Review, ISSN 0972-1754, Vol. 29, no 1, p. 1-27Article in journal (Refereed) Published
Abstract [en]

In the past decade, interest in firms committed to environmental, social, and governance (ESG) sustainability has surged. This study analyzes the comparative influence of ESG sustainability performance and economic sustainability performance (ESP) on investment efficiency. Using a sample of 49,924 firm-year observations from 2010 to 2017, we categorize firms into those in shareholder-oriented and stakeholder-oriented countries. Findings indicate that social and environmental dimensions of sustainability contribute more significantly to improving investment efficiency than the economic dimension. The study highlights the differing roles of shareholder primacy in the U.S. and stakeholder primacy in the E.U. in shaping ESG investment strategies, offering insights for policy, practice, and future research.

Place, publisher, year, edition, pages
Indian Accounting Association Research Foundation , 2025. Vol. 29, no 1, p. 1-27
Keywords [en]
ESG sustainability performance, Economic sustainability performance, investment efficiency, Stakeholder primacy, Shareholder Primacy.
National Category
Economics and Business
Research subject
Sustainable Urban Development
Identifiers
URN: urn:nbn:se:hig:diva-48644OAI: oai:DiVA.org:hig-48644DiVA, id: diva2:2005910
Available from: 2025-10-12 Created: 2025-10-12 Last updated: 2025-10-15Bibliographically approved

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Homayoun, Saeid

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  • nn-NB
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  • asciidoc
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