Analyzing the impact of environmental strategies on corporate governance and long-term performance

Year 2024, Volume: 10 Issue: 1, 32 - 38, 31.03.2024

Bhaskar Sailesh , Kiran Reddy

https://doi.org/10.24288/jttr.1446263

Cited By: 1

Abstract

This study delves into the complex relationships between corporate governance, environmental strategies, and the enduring success of publicly traded companies. Through empirical analysis, the study explores how adopting diverse sustainability measures influences stakeholder involvement, board structure, and shareholder value creation. This study combines an extensive dataset of financial information from listed companies with a quantitative examination of corporate governance practices. It also incorporates detailed case studies of leading firms implementing noteworthy environmental strategies. The study uses correlation analysis to assess environmental strategies' influence on corporate governance dynamics and long-term performance within this sector. The study highlights a positive correlation between robust environmental strategies and enhanced corporate governance practices. These include heightened board diversity, increased stakeholder engagement, and strengthened risk management frameworks. Notably, the study establishes a strong link between proactive sustainability efforts and outstanding long-term financial performance, as evidenced by key performance indicators such as return on equity and total shareholder return.

Keywords

Corporate governance, Environmental strategies, Board composition, Stakeholder engagement, Shareholder value, Sustainability

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