The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economies
The UN Sustainable Development Goals (SDGs) were developed in 2015 and serve as the main guide for achieving the 2030 Agenda. This paper analyses the impact of corporate governance (CG) and financial performance (FP) on SDG prioritisation, taking FP as a mediating variable and categorising the SDGs...
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| Format: | Article |
| Language: | English |
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Elsevier
2024-02-01
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| Series: | Heliyon |
| Subjects: | |
| Online Access: | http://www.sciencedirect.com/science/article/pii/S2405844024015111 |
| _version_ | 1797304442690732032 |
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| author | Diego Andrés Correa-Mejía Maria Antonia García-Benau Jaime Andrés Correa-García |
| author_facet | Diego Andrés Correa-Mejía Maria Antonia García-Benau Jaime Andrés Correa-García |
| author_sort | Diego Andrés Correa-Mejía |
| collection | DOAJ |
| description | The UN Sustainable Development Goals (SDGs) were developed in 2015 and serve as the main guide for achieving the 2030 Agenda. This paper analyses the impact of corporate governance (CG) and financial performance (FP) on SDG prioritisation, taking FP as a mediating variable and categorising the SDGs by the five pillars (5 Ps) commonly used for this purpose: People, Planet, Prosperity, Peace and Partnership. For this purpose, structural equations (PLS-SEM) were applied, using a sample of 312 Latin-American firms. The study results show there is a positive relationship between FP, CG and SDG prioritisation. Moreover, FP has a partial mediating role in the relationship between CG and SDG prioritisation. This study is innovative in the context of emerging Latin American economies and suggests paths for future research on this topic that would be of interest to academics, regulators and industry professionals. This paper highlights the important role of CG in helping achieve the objectives of the 2030 Agenda in Latin America. Furthermore, the study has implications for policymakers, showing that CG may enhance companies’ FP and their commitment to the SDGs. Accordingly, regulators should establish minimum requirements for all companies regarding the structure and practices of CG. The study findings also have implications for stakeholders and responsible investors, suggesting that companies' level of sustainable development can be assessed via their CG policies. |
| first_indexed | 2024-03-08T00:10:32Z |
| format | Article |
| id | doaj.art-d4a3e42f6efd4c49beab914237747b85 |
| institution | Directory Open Access Journal |
| issn | 2405-8440 |
| language | English |
| last_indexed | 2024-03-08T00:10:32Z |
| publishDate | 2024-02-01 |
| publisher | Elsevier |
| record_format | Article |
| series | Heliyon |
| spelling | doaj.art-d4a3e42f6efd4c49beab914237747b852024-02-17T06:41:14ZengElsevierHeliyon2405-84402024-02-01103e25480The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economiesDiego Andrés Correa-Mejía0Maria Antonia García-Benau1Jaime Andrés Correa-García2Accounting Deparment, University of Antioquia, Colombia; Corresponding author.Accounting Deparment, University of Valencia, SpainAccounting Deparment, University of Antioquia, ColombiaThe UN Sustainable Development Goals (SDGs) were developed in 2015 and serve as the main guide for achieving the 2030 Agenda. This paper analyses the impact of corporate governance (CG) and financial performance (FP) on SDG prioritisation, taking FP as a mediating variable and categorising the SDGs by the five pillars (5 Ps) commonly used for this purpose: People, Planet, Prosperity, Peace and Partnership. For this purpose, structural equations (PLS-SEM) were applied, using a sample of 312 Latin-American firms. The study results show there is a positive relationship between FP, CG and SDG prioritisation. Moreover, FP has a partial mediating role in the relationship between CG and SDG prioritisation. This study is innovative in the context of emerging Latin American economies and suggests paths for future research on this topic that would be of interest to academics, regulators and industry professionals. This paper highlights the important role of CG in helping achieve the objectives of the 2030 Agenda in Latin America. Furthermore, the study has implications for policymakers, showing that CG may enhance companies’ FP and their commitment to the SDGs. Accordingly, regulators should establish minimum requirements for all companies regarding the structure and practices of CG. The study findings also have implications for stakeholders and responsible investors, suggesting that companies' level of sustainable development can be assessed via their CG policies.http://www.sciencedirect.com/science/article/pii/S2405844024015111Sustainable development goals (SDGs)SDG prioritisationEmerging economies2030 agendaCorporate governance |
| spellingShingle | Diego Andrés Correa-Mejía Maria Antonia García-Benau Jaime Andrés Correa-García The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economies Heliyon Sustainable development goals (SDGs) SDG prioritisation Emerging economies 2030 agenda Corporate governance |
| title | The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economies |
| title_full | The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economies |
| title_fullStr | The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economies |
| title_full_unstemmed | The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economies |
| title_short | The critical role of corporate governance in sustainable development goals prioritisation: A 5 P s-based analysis for emerging economies |
| title_sort | critical role of corporate governance in sustainable development goals prioritisation a 5 p s based analysis for emerging economies |
| topic | Sustainable development goals (SDGs) SDG prioritisation Emerging economies 2030 agenda Corporate governance |
| url | http://www.sciencedirect.com/science/article/pii/S2405844024015111 |
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