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Sustainable profitability: A study of the relationship between ESG, CSR and profitability in American companies
University West, School of Business, Economics and IT.
2023 (English)Independent thesis Advanced level (degree of Master (One Year)), 10 credits / 15 HE creditsStudent thesis
Abstract [en]

Extensive studies have been carried out on the relationship between sustainability and profitability, which has resulted in varying results. However, majority of studies have positive relationships, indicating that by adopting a more sustainable strategy, companies can benefit in the long run. The study aims to increase understanding of the connection between profitability and sustainability and identify differences between the three dimensions of ESG: environment, social and governance.Another purpose is to attempt to find and if there are changes in sustainability efforts after the Paris Agreement. The study analyzed American public companies in different industries during 2010-2021. The data is retrieved from Refinitiv Eikon, and the observations are tested by running a multiple linear regression with fixed effect. The results from the regression did not show any positive relationship between sustainability and profitability. On the contrary, most of them are negative. However, none of the results are statistically significant, with low indications that the dependent variable could be explained by the independent variables. 

 

Place, publisher, year, edition, pages
2023. , p. 33
Keywords [en]
Sustainability, Profitability, Environmental, Social & Governance, Corporate Social Responsibility, Return on Asset
National Category
Economics
Identifiers
URN: urn:nbn:se:hv:diva-20187Local ID: EXF800OAI: oai:DiVA.org:hv-20187DiVA, id: diva2:1774886
Subject / course
Nationalekonomi
Educational program
Magister i finans
Supervisors
Examiners
Available from: 2023-06-28 Created: 2023-06-26 Last updated: 2023-06-28Bibliographically approved

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