The impact and mechanism of green finance on the ESG performance of China’s manufacturing enterprises from biomechanics perspectives
Abstract
Biomechanics boost human health and performance. Sports not only promote the improvement of national physical fitness, but also promote the development of fitness equipment manufacturing industry. Sports injuries, such as fractures, require the consultation of orthopedic doctors, and fitness requires the guidance of coaches, which to a certain extent promotes the employment of biomechanics researchers. Therefore, the potential of biomechanics is for improving human health and Environmental, Social and Governance (ESG) performance is well established. Green finance can provide financial support for the sustainable development of the manufacturing industry. Whether green finance, as a financial tool that combines healthy, environmental and economic benefits, has a significant impact on the ESG performance of enterprises that are highly concerned by government departments and investors at present still requires in-depth research. This paper, from bio-mechanics perspectives, based on data from listed manufacturing companies in China from 2013 to 2022, examines the impact of green finance on the ESG performance of manufacturing enterprises (especially, sports facilities manufacturing enterprises) by constructing a fixed-effects model. The research findings are as follows: First, green finance prompts citizens choose low-carbon transport, such as cycling, running, or new energy vehicles. It is not only conducive to improving citizens’ physical fitness and the environment, but also conducive to the development of sports facility manufacturing companies and auto-mobile manufacturing companies. Second, green finance significantly enhances the ESG performance of manufacturing enterprises, and this conclusion has been robustly tested through methods such as replacing the explained variable, incorporating dummy variables, and employing instrumental variable techniques. Third, green finance improves the ESG performance of enterprises by alleviating financing constraints and promoting green technological innovation in the manufacturing sector. Finally, green finance has a more significant impact on enhancing the ESG performance of non-state-owned manufacturing enterprises and technology-intensive manufacturing enterprises. This study provides an in-depth exploration of the extent and mechanisms through which green finance influences the ESG performance of Chinese manufacturing enterprises, offering policy references for accelerating the green transformation and up-grading of China’s manufacturing sector.
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