Corporate Governance and Sustainability Review - Virtus InterPress

Sustainability-driven determinants of SMEs' effectiveness: Evidence from the green transition in the Western Balkans

Gazmend Deda,Ismail Mehmeti,Fisnik Bislimi,Agron Bajraktari,Arben Tërstena — 2026-04-03T09:42:39Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Small and medium-sized enterprises (SMEs) play a central role in the Western Balkans as the region advances its green transition and alignment with European Union (EU) sustainability frameworks. Under increasing environmental and regulatory pressures, SMEs must strengthen managerial capabilities, strategic planning, and technological investment to remain competitive. This study examines the sustainability-driven determinants of SME effectiveness by analyzing managerial education, prior experience, business planning, research and development (R&D) investment, and innovation activities. Using cross-sectional survey data from 336 SMEs in Kosovo, the study applies binary logistic regression to estimate the likelihood of sustainability-oriented effectiveness under 2025 green transition conditions. The results show that managerial education, experience, structured planning, and R&D investment significantly increase the probability of improved performance, while product and service innovation remain statistically insignificant. These findings suggest that in transition economies, innovation alone may not generate sustainability outcomes without adequate institutional and financial support. Unlike prior studies focusing primarily on financial performance, this research reframes SME effectiveness through a sustainability-readiness perspective. The study contributes empirical evidence to the limited literature on SME sustainability in the Western Balkans and highlights the importance of strengthening green finance instruments and governance mechanisms to support a successful green transition.

Keywords: Sustainability, SME Effectiveness, Green Transition, Western Balkans, Eco-Innovation, R&D Investment, Logistic Regression

Authors' individual contribution: Conceptualization — A.T. and G.D.; Methodology — A.T.; Formal Analysis — A.T.; Investigation — A.T., F.B., and I.M.; Data Curation — A.T. and F.B.; Writing — Original Draft — A.T.; Writing — Review & Editing — A.T., G.D., and A.B.; Visualization — A.T.; Supervision — A.T. and G.D.; Project Administration — A.T.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C01, L25, O32, Q56

Received: 18.12.2025
Revised: 17.02.2026; 02.03.2026
Accepted: 01.04.2026
Published online: 03.04.2026

How to cite this paper: Tërstena, A., Deda, G., Bislimi, F., Mehmeti, I., & Bajraktari, A. (2026). Sustainability-driven determinants of SMEs' effectiveness: Evidence from the green transition in the Western Balkans. Corporate Governance and Sustainability Review, 10(2), 181–189. https://doi.org/10.22495/cgsrv10i2p16

Determinants of sustainable tax management in information technology enterprises: A hybrid SEM-ANN approach

Ngoc Tu Bui,Thi Bach Tuyet Vuong,Quang Hung Do — 2026-04-02T11:43:03Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study investigates the determinants of tax management effectiveness in Vietnam's information technology (IT) enterprises. Drawing on a multi-theoretical framework, a research model was developed incorporating seven factors: cost of tax compliance, firm size and transparency, legal risk awareness, clarity of tax laws, professional competence of tax officers, digitalization of tax administration, and audit transparency and fairness. Data collected from 402 finance and tax professionals in Hanoi-based IT firms were analyzed using a hybrid structural equation modeling (SEM) and artificial neural network (ANN) approach. The SEM results confirmed that all seven factors have a significant positive impact on tax management effectiveness, with clarity of tax laws and audit transparency and fairness exhibiting the strongest path coefficients. The ANN analysis further validated these findings and provided a robust ranking of predictor importance, identifying audit transparency and fairness as the most critical determinants, followed by the cost of tax compliance and clarity of tax laws. This study underscores the paramount importance of a transparent, fair, and clear regulatory environment, complemented by digital transformation and firm-level capabilities, for enhancing tax governance. This research fills a gap in the literature by being among the first to apply a hybrid SEM-ANN methodology to this context, offering a more nuanced understanding of non-linear interactions among determinants. The findings contrast with prior studies that emphasized firm-level factors by highlighting the primacy of institutional and regulatory factors — particularly audit transparency and legal clarity — in driving sustainable tax management practices. The hybrid SEM-ANN methodology demonstrates superior capability in capturing the complex, non-linear relationships influencing tax management, offering valuable theoretical and practical implications for policymakers, tax authorities, and business leaders in Vietnam's digital economy.

Keywords: Tax Management Effectiveness, Information Technology Enterprises, SEM, ANN, Tax Digitalization, Audit Transparency

Authors' individual contribution: Conceptualization — N.T.B.; Methodology — N.T.B. and T.B.T.V.; Formal Analysis — T.B.T.V.; Investigation — Q.H.D.; Data Curation — Q.H.D.; Writing — Original Draft — N.T.B.; Writing — Review & Editing — Q.H.D.; Visualization — Q.H.D.; Supervision — T.B.T.V.; Project Administration — N.T.B.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G32, H26, M41

Received: 08.11.2025
Revised: 08.01.2026; 24.01.2026; 03.03.2026
Accepted: 31.03.2026
Published online: 02.04.2026

How to cite this paper: Bui, N. T., Vuong, T. B. V., & Do, Q. H. (2026). Determinants of sustainable tax management in information technology enterprises: A hybrid SEM-ANN approach. Corporate Governance and Sustainability Review, 10(2), 169–180. https://doi.org/10.22495/cgsrv10i2p15

Evaluating the effects of corporate governance and CSR on firm value in an emerging market: Insights into information quality

Salmah Pattisahusiwa,Annisa A. Lahjie,Agus I. Kesuma,Mega Norsita — 2026-03-31T12:38:21Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This research examines how corporate governance (CG) and corporate social responsibility (CSR) affect firm value in Indonesia, emphasizing the importance of information quality. Ordinary least squares (OLS) and two-stage least squares (2SLS) estimations of a Cobb-Douglas model were applied to 83 firms listed on the Indonesia Stock Exchange (IDX) (2007–2022). The findings show that the stronger CG and CSR initiatives improved information quality, which in turn enhances firm value. Firms excluded by CSR criteria limit the sample. Strengthening CG oversight and tightening governance and CSR disclosure regulations would improve information quality. One of the few studies linking CG and CSR through a firm's financial information quality, providing empirical evidence from a developing-country context. The research shows information quality mediates the CG-CSR-firm value relationship and offers policy-relevant recommendations to strengthen governance and disclosure.

Keywords: CG, CSR, Information Quality, Firm Value, OLS, 2SLS

Authors' individual contribution: Conceptualization — S.P. and A.A.L.; Methodology — S.P. and A.A.L.; Investigation — S.P., A.A.L., A.I.K., and M.N.; Resources — S.P., A.A.L., and M.N.; Writing — S.P., A.A.L., A.I.K., and M.N.; Supervision — A.A.L. and A.I.K; Funding Acquisition — S.P. and A.A.L.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C3, M1, M4

Received: 09.10.2025
Revised: 13.11.2025; 05.03.2026
Accepted: 30.03.2026
Published online: 31.03.2026

How to cite this paper: Pattisahusiwa, S., Lahjie, A. A., Kesuma, A. I., & Norsita, M. (2026). Evaluating the effects of corporate governance and CSR on firm value in an emerging market: Insights into information quality. Corporate Governance and Sustainability Review, 10(2), 157–168. https://doi.org/10.22495/cgsrv10i2p14

Corporate social responsibility for business sustainability

Uthairat Muangsan,Chanatnan Muangwichian — 2026-03-30T09:26:37Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Corporate social responsibility (CSR) has emerged as a critical component of organizational success and sustainability in today's business landscape (Muslim & Pelu, 2023). This study examines the role of CSR in promoting business sustainability across economic, social, and environmental dimensions. Using a qualitative research design that combines documentary analysis with interviews from Thai enterprises, this study provides a multidimensional assessment of CSR practices across economic, social, and environmental dimensions. The findings demonstrate that well-structured and strategically aligned CSR initiatives improve financial stability, strengthen governance accountability, build stakeholder trust, and support environmental innovation, particularly through circular economy practices. Importantly, the study contributes to CSR scholarship by linking classical frameworks — such as Carroll's CSR pyramid, the triple bottom line (TBL), and creating shared value (CSV) — with contemporary sustainability and environmental, social, and governance (ESG) imperatives, showing how these models can be effectively integrated and contextualized within a developing economy. Practically, the research highlights the conditions under which both large firms and small and medium-sized enterprises (SMEs) can embed CSR into core operations to enhance long-term competitiveness and resilience. This study advances academic understanding of CSR as a strategic driver of business sustainability and provides actionable guidance for organizations seeking to align CSR with global sustainability goals.

Keywords: Corporate Social Responsibility (CSR), Business Sustainability, Environmental, Social, and Governance (ESG), Developing Economy, Small and Medium-Sized Enterprises (SMEs)

Authors' individual contribution: Conceptualization — U.M. and C.M.; Methodology — U.M.; Validation — U.M. and C.M.; Formal Analysis — U.M.; Investigation — U.M.; Resources — U.M. and C.M.; Data Curation — U.M.; Writing — Original Draft — U.M.; Writing — Review & Editing — U.M. and C.M.; Visualization — U.M. and C.M.; Supervision — U.M.; Project Administration — U.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: L26, M14, Q01

Received: 18.09.2025
Revised: 04.12.2025; 27.02.2026
Accepted: 27.03.2026
Published online: 30.03.2026

How to cite this paper: Muangsan, U., & Muangwichian, C. (2026). Corporate social responsibility for business sustainability. Corporate Governance and Sustainability Review, 10(2), 150–156. https://doi.org/10.22495/cgsrv10i2p13

The effect of sustainability reporting on bank risk-taking and sustainable growth rate

Eze Agha,Festus Olatunbode Ashogbon — 2026-03-26T12:46:21Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines the effects of sustainability reporting, using environmental, social, and governance (ESG) disclosure practices, on banks' risk-taking and sustainable growth rates (SGR). The study was motivated by the need to provide empirical evidence on the relevance of sustainability reporting in a developing country with a weak institutional framework and limited enforcement. Using ESG disclosure scores data from Bloomberg for banks listed on the Nigerian Stock Exchange (NGX) from 2014 to 2023, we model ESG aggregate and disaggregate dimensions as explanatory variables, with the non-performing loans (NPL) ratio and SGR as dependent variables, based on stakeholder theory. The panel corrected standard error (PCSE) and two-stage least squares (2SLS) models addressed endogeneity issues. Our findings reveal that ESG disclosures have a negative and significant impact on bank risk-taking, with the environmental disclosure dimension having the most substantial effect on improving banks' asset quality. Also, ESG had a negative and insignificant relationship with the SGR and net interest margin, financial leverage, and net income per employee are positive and significant determinants of sustainable growth. The research contributes to the existing literature on sustainability reporting, providing both theoretical and practical implications amid the growing trend of ESG rollbacks worldwide.

Keywords: Sustainability Reporting, Environmental, Social, Governance, Disclosures, Banks Risk-Taking, Sustainable Growth Rate, Non-Performing Loans, Banking Sector

Authors' individual contribution: Conceptualization — E.A.; Methodolgy — E.A. and F.O.A.; Formal Analysis — E.A. and F.O.A.; Investigation — E.A. and F.O.A.; Resources — E.A. and F.O.A.; Writing — Original Draft — E.A.; Writing — Review & Editing — E.A. and F.O.A.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C3, M1, M4

Received: 01.09.2025
Revised: 21.10.2025; 19.11.2025; 20.02.2026
Accepted: 23.03.2026
Published online: 26.03.2026

How to cite this paper: Agha, E., & Ashogbon, F. O. (2026). The effect of sustainability reporting on bank risk-taking and sustainable growth rate. Corporate Governance and Sustainability Review, 10(2), 134–149. https://doi.org/10.22495/cgsrv10i2p12

A quantitative analysis of the impact of sustainability ratings on earnings management in UK-listed companies

Xiaoxi Сhen,Saira Kharuddin,Jalila Johari — 2026-03-24T12:45:48Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines the relationship between environmental, social and governance (ESG) risk ratings and earnings management (EM) in 450 United Kingdom (UK) listed companies in 2024, taking firm size as a moderator. Based on the cross-sectional regression analysis and discretionary estimated accruals via the modified Jones model, the results show a statistically weak relationship between ESG ratings and EM. Contrary to a significant part of the previous literature that records an inverse relationship between ESG performance and earnings manipulation, the findings indicate that ESG ratings in the UK do not translate into earnings quality. Moreover, firm size does not have a direct influence on the EM; neither does it moderate the relationship between ESG and EM. The findings are relevant to the sustainability literature as they indicate the complexity of ESG performance and earnings quality, suggesting that ESG ratings are limited in terms of predicting financial reporting integrity in developed regulatory contexts.

Keywords: ESG Risk Ratings, Earnings Management, Firm Size, Moderating Role

Authors' individual contribution: Conceptualization — X.C.; Methodology — S.K.; Formal Analysis — S.K.; Investigation — X.C.; Resources — X.C. and J.J.; Data Curation — S.K.; Writing — X.C. and J.J.; Supervision — J.J.; Funding Acquisition — J.J.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M14, G34, M41

Received: 11.07.2025
Revised: 14.02.2026; 27.02.2026
Accepted: 20.03.2026
Published online: 24.03.2026

How to cite this paper: Chen, X., Kharuddin, S., & Johari, J. (2026). A quantitative analysis of the impact of sustainability ratings on earnings management in UK-listed companies. Corporate Governance and Sustainability Review, 10(2), 123–133. https://doi.org/10.22495/cgsrv10i2p11

Sustainable strategic management and innovation in accounting education: Applying the technology acceptance model

Essia Ries Ahmed,Osman Kurter,Djafar Henni Mohamed — 2026-03-20T13:44:02Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Despite extensive research on the technology acceptance model (TAM), limited attention has been given to how students' perceptions of technology translate into innovative educational outcomes that support sustainable strategic management (SSM). The research aims to examine the effect of perceived ease of use (PEOU) and perceived usefulness (PU) on innovation in accounting education and to further investigate the mediating role of innovation in accounting education in the relation between PEOU, PU, and SSM among accounting students across Bachelor's, Master's, and PhD programs at Tikrit University in Iraq. This research adopts a quantitative research methodology, collecting data in 2025 from a purposive sample of 96 accounting students through a structured survey instrument. The results indicate that PEOU has a positive and statistically significant effect on innovation in accounting education. The analysis revealed that PU has a statistically insignificant effect on innovation in accounting education. The mediation analysis revealed that the relationship between PEOU and SSM is significantly moderated by innovation in accounting education. This study makes an original contribution by empirically integrating the TAM with SSM through the mediating mechanism of innovation in accounting education, an underexplored linkage in prior studies. Practically, the findings suggest that universities should prioritize user-friendly digital tools and innovation-driven pedagogies, such as simulations and sustainability-based accounting projects, to enhance students' engagement and strategic sustainability awareness. By demonstrating how accessible digital technologies foster both educational innovation and sustainability competencies, this research contributes to advancing scholarship at the intersection of technology adoption, accounting education, and sustainable strategy while offering actionable insights for curriculum development.

Keywords: Sustainability, Strategic Management, Innovation, Accounting Management

Authors' individual contribution: Conceptualization — E.R.A., O.K., and D.H.M.; Methodology — E.R.A., O.K., and D.H.M.; Formal Analysis — E.R.A., O.K., and D.H.M.; Investigation — E.R.A., O.K., and D.H.M.; Data Curation — E.R.A., O.K., and D.H.M.; Writing — E.R.A., O.K., and D.H.M.; Supervision — E.R.A., O.K., and D.H.M.; Project Administration — E.R.A., O.K., and D.H.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M11, M12, M14, M19

Received: 30.12.2025
Revised: 21.02.2026; 12.03.2026
Accepted: 18.03.2026
Published online: 20.03.2026

How to cite this paper: Ahmed, E. R., Kurter, O., & Mohamed, D. H. (2026). Sustainable strategic management and innovation in accounting education: Applying the technology acceptance model. Corporate Governance and Sustainability Review, 10(2), 114–122. https://doi.org/10.22495/cgsrv10i2p10

From governance to performance: How sustainability strategy mediates corporate sustainability success

2026-03-18T11:12:34Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines how sustainability governance influences sustainability strategies and how these strategies subsequently affect sustainability performance in Southeast Asian public companies. Sustainability governance is operationalized using two Refinitiv Eikon proxies: the presence of a sustainability committee and the use of sustainability assurance. Sustainability strategy is measured using the corporate social responsibility (CSR) strategy score, while sustainability performance is captured through Refinitiv's environmental, social, and governance (ESG) score, a disclosure-based indicator widely used in prior research (Ma, 2024; Ghinizzini et al., 2025). The sample included 255 listed firms from Indonesia, Malaysia, Singapore, and Thailand. Descriptive statistics and analysis of variance (ANOVA) identify cross-country and industry differences, and structural equation modelling (SEM) with path analysis tests the hypothesized relationships. The results showed that governance mechanisms support the development of sustainability strategies, which subsequently enhance sustainability performance. These findings are consistent with agency and legitimacy theories and highlight the need for more standardized and substantive sustainability governance practices across the region.

Keywords: Sustainability, Strategy, Performance, Governance, Southeast Asia

Authors' individual contribution: Conceptualization — A.P.; Methodology — A.P.; Software — A.P.; Validation — A.P. and R.F.I.; Formal Analysis — A.P.; Investigation — A.P.; Resources — A.P., N.D.T., and P.S.K.; Data Curation — A.P. and R.F.I.; Writing — Original Draft — A.P.; Writing — Review & Editing — A.P. and R.F.I.; Visualization — A.P.; Supervision — N.D.T. and P.S.K.; Project Administration — A.P. and L.R.M.; Funding Acquisition — A.P., N.D.T., and P.S.K.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: E16, G34, M41, Q56

Received: 21.06.2025
Revised: 21.11.2025; 23.02.2026
Accepted: 13.03.2026
Published online: 18.03.2026

How to cite this paper: Pratama, A., Ismail, R. F., Tanzil, N. D., Koeswayo, P. S., & Megawati, L. R. (2026). From governance to performance: How sustainability strategy mediates corporate sustainability success. Corporate Governance and Sustainability Review, 10(2), 102–113. https://doi.org/10.22495/cgsrv10i2p9

Board attributes, ESG practices, and firm performance and sustainability: A mediation approach

2026-03-16T13:14:02Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The study examines the moderating role of selected NIFTY 50 index companies' board characteristics, which comprises board strength, board meetings, number of independent directors, and the board's gender diversity, in relation to the inclusion of female directors on the board, to analyze the relationship between firm financial performance and environmental, social, governance (ESG) performance rating. A total of 50 companies listed in the NIFTY 50 index covering eight years from 2015 to 2022 constitute the panel data sample. The board's characteristics, along with its composition plays an integral role in ESG leadership to ensure sustainable business practices. The present study may produce contributing factors that can fill the gap in the lack of literature available in terms of factors that can moderate the relationship between ESG and the financial performance of firms. The study has been applied to analyse the data and perform a robustness check. Return on equity (ROE) is used as a proxy variable for the firm's financial performance and is considered a dependent variable. ESG is denoted as an independent variable, while the number of directors, the number of meetings, the number of independent directors, and gender diversity in terms of including female directors on the board are proxies as moderators. As a result, an unfavourable and marginally significant relationship was found between ESG and ROE in the base model (Model 1). In Model 2 marginally significant interaction between board size and ESG was found; neither board independence (Model 4) nor board meetings (Model 3) shows any moderating effects. Lastly, in Model 5, gender diversity as a moderator shows positive but marginally significant results and indicates, as a major moderator among all, that the result of the study may contribute to the existing literature and value addition, suggesting the scope of the selected firms of the NIFTY 50 index companies of India to improve their financial payoff of ESG.

Keywords: ESG Performance, Financial Performance, NIFTY 50, Independency, Board Diversity, Board Independency

Authors' individual contribution: Conceptualization — M.A.I. and E.H.; Methodology — M.A.I. and N.C.; Software — M.A.I.; Validation — M.A.I.; Formal Analysis — M.A.I. and E.A.; Data Curation — V.S.; Writing — Review & Editing — N.K. and A.K.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G34, L25, Q56

Received: 14.10.2025
Revised: 23.11.2025; 04.12.2025; 03.03.2026
Accepted: 11.03.2026
Published online: 16.03.2026

How to cite this paper: Intezar, M. A., Haque, E., Ahmad, E., Sagir, V., Chaudhary, N., Khatoon, A., & Khan, N. (2026). Board attributes, ESG practices, and firm performance and sustainability: A mediation approach. Corporate Governance and Sustainability Review, 10(2), 91–101. https://doi.org/10.22495/cgsrv10i2p8

Valuation challenges and investor influence in sustainable health ventures

2026-03-12T11:53:55Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines valuation challenges and investor influence in sustainable health startups, a sector characterised by regulatory complexity, high capital requirements, and increasing integration of environmental, social, and governance (ESG) factors. The research addresses the limitations of traditional valuation models in capturing early-stage success indicators and proposes a more nuanced approach. A mixed-methods design was employed, combining a systematic literature review with empirical cluster analysis using a dataset of 923 U.S.-based startups across 35 sectors. The analysis identified five distinct startup archetypes based on investor structure, funding levels, and exit outcomes. Startups with the most diverse investor base — engaging both angel and venture capital (VC) across multiple funding stages — exhibited the highest acquisition success rates (91.8 per cent). Sector-specific analysis revealed that health startups received above-average funding and achieved a 100 per cent acquisition rate, whereas medical startups displayed greater outcome variability. These findings highlight the need for multidimensional, sector-sensitive valuation frameworks that incorporate investor signalling, ESG orientation, and market timing. The findings of this study both support and build upon prior research on startup valuation and success factors. In line with Davila et al. (2003) and Lerner et al. (2018), the clustering analysis demonstrates that investor diversity — especially the combined involvement of angel and VC investors — substantially enhances the likelihood of acquisition. The results are also consistent with Somaya and You (2024) and Adner et al. (2016), underscoring scalability as a central determinant of valuation, particularly in technology-intensive sectors such as software, mobile, and biotechnology, which secured the highest levels of funding. The study offers new insights into the entrepreneurial finance literature and provides practical guidance for investors, founders, and policymakers aiming to scale sustainable innovation in the health sector.

Keywords: Cluster Analysis, ESG Integration, Investor Structure, Startup Valuation, Sustainable Health Ventures

Authors' individual contribution: Conceptualization — D.V., I.M., P.T., and W.M.; Methodology — D.V., I.M., and A.K.O.; Software — D.V. and I.M.; Investigation — D.V., I.M., and P.T.; Resources — D.V., I.M., and W.M.; Writing — D.V., I.M., P.T., W.M., and A.K.O.; Visualization — D.V., I.M., P.T., and W.M.; Supervision — D.V.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G24, L26, O35

Received: 01.08.2025
Revised: 15.12.2025; 04.03.2026
Accepted: 10.03.2026
Published online: 12.03.2026

How to cite this paper: Vasiliauskaitė, D., Mažylytė, I., Teresiūtė, P., Meng, W., & Kaab Omeir, A. (2026). Valuation challenges and investor influence in sustainable health ventures. Corporate Governance and Sustainability Review, 10(2), 78–90. https://doi.org/10.22495/cgsrv10i2p7

Strategic green accounting management promoting sustainable performance under institutional pressures

Tang My Sang,Tang My Ha — 2026-03-10T09:49:49Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Despite the growing emphasis on sustainability in manufacturing enterprises by Ferrazzi et al. (2025), the mechanisms through which strategic environmental capabilities translate into sustainable performance remain insufficiently understood. This study investigates how managers' perceptions of integrated environmental policy, ecosystem adaptability and strategic environment (EASE), and green intellectual capital (GIC) influence perceived sustainable performance. It further examines the mediating role of green accounting management and the moderating role of institutional pressure. Survey data from 333 managers indicate that all examined perceptions significantly enhance sustainable performance. Integrated environmental policy emerges as the strongest driver and operates through both direct effects and indirect effects via green accounting management, demonstrating the centrality of governance mechanisms in converting environmental strategy into tangible outcomes. EASE also contributes positively, reflecting the importance of organizational flexibility in sustainability enhancement. The findings related to GIC reinforce the resource-based view (RBV) by identifying green knowledge as a key intangible asset whose impact becomes stronger when coordinated through governance mechanisms, consistent with resource orchestration theory (ROT). Institutional pressure amplifies the effect of green accounting management on sustainable performance, underscoring the role of external governance conditions. The study extends theoretical insights into sustainability-oriented governance and offers practical implications for enterprises seeking to strengthen sustainable performance.

Keywords: Environmental Policy, Green Accounting Management, Green Intellectual Capital, Institutional Pressure, Sustainable Performance

Authors' individual contribution: Conceptualization — T.M.H.; Methodology — T.M.S.; Software — T.M.S.; Formal Analysis — T.M.S.; Investigation — T.M.H.; Resources — T.M.H.; Data Curation — T.M.S.; Writing — Original Draft — T.M.S.; Writing — Review & Editing — T.M.H.; Visualization — T.M.S.; Supervision — T.M.H.; Project Administration — T.M.H.; Funding Acquisition — T.M.S.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C83, M14, M41

Received: 21.08.2025
Revised: 08.12.2025; 18.02.2026
Accepted: 06.03.2026
Published online: 10.03.2026

How to cite this paper: Sang, T. M., & Ha, T. M. (2026). Strategic green accounting management promoting sustainable performance under institutional pressures. Corporate Governance and Sustainability Review, 10(2), 66–77. https://doi.org/10.22495/cgsrv10i2p6

CEO duality, digital governance, and environmental, social, governance: Innovation-driven firm value in the digital era

2026-03-05T14:42:59Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

In the era of digital transformation and increasing sustainability demands, corporate governance has become a critical factor in creating company value (Uddin et al., 2021). This phenomenon is not only occurring at the global level but also in Indonesia, where companies are beginning to adopt digital corporate governance (DCG) practices and focus on environmental, social, and governance (ESG) performance as part of their business strategy (Uzliawati et al., 2023). This study investigates the impact of corporate governance structures, technological innovation, and sustainability performance on firm value among publicly listed companies in Indonesia. The analysis, employing structural equation modelling-partial least squares (SEM-PLS), is based on a sample of 120 firms spanning the period from 2020 to 2024. The findings reveal that robust governance mechanisms and digital innovation significantly enhance sustainability outcomes, which in turn positively influence firm value. These results underscore the strategic importance of aligning governance practices with innovation and ESG initiatives to drive long-term value creation. The study contributes to the literature on emerging markets by highlighting the role of integrated governance and innovation frameworks in enhancing corporate performance. Practical implications are presented for policymakers and corporate leaders seeking to enhance governance and foster sustainable digital transformation.

Keywords: CEO Duality, Digital Corporate Governance, ESG Performance, Emerging Markets, Firm Value, SEM-PLS, Sustainability, Technological Innovation

Authors' individual contribution: Conceptualization — H.G.F., L.H., and A.P.; Methodology — M., A.I.F., and A.K.; Validation — M., A.I.F., and A.K.; Writing — Original Draft — H.G.F., A.I.F., and A.P.; Writing — Review & Editing — H.G.F., A.I.F., and L.H.; Supervision — L.H. and A.P.; Funding Acquisition — H.G.F. and A.I.F.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C38, G34, M14, O32, Q56

Received: 11.09.2025
Revised: 10.10.2025; 17.02.2026
Accepted: 03.03.2026
Published online: 05.03.2026

How to cite this paper: Febrianto, H. G., Mikrad, Fitriana, A. I., Karim, A., Hakim, L., & Priharta, H. (2026). CEO duality, digital governance, and environmental, social, governance: Innovation-driven firm value in the digital era. Corporate Governance and Sustainability Review, 10(2), 56–65. https://doi.org/10.22495/cgsrv10i2p5

Exploring sustainable tax policy in Türkiye: A qualitative analysis of corporate and public discourse in the energy sector

Gülçin Kazan,Tuğçe Uzun Kocamış — 2026-03-03T09:08:06Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This article examines the effect of sustainable taxation policies on public policy and institutional strategies for energy in Türkiye. The methodology of the study was to analyze the activity, sustainability, and integrated reports of a select number (10) of energy companies listed in the Borsa Istanbul (BIST) Sustainability Index over the period of 2021–2023 and to include relevant documents from public institutions in the qualitative content analysis. To complete the code creation process, the literature review and policy document analysis were categorized thematically. These categories included border carbon adjustment mechanism [BCAM] (sinirda karbon düzenleme mekanizmasi [SKDM]), carbon taxes, green finance tools, and tax incentives, which were the main themes identified through the thematic analysis. Through the analysis, it was evident that while businesses have not yet implemented the carbon tax model as an intentional strategy, they have made investments in renewable energy, energy-efficient practices, and received government incentives. Therefore, due to the ambiguity of carbon pricing instruments, there is considerable uncertainty regarding their implementation and significant institutional disparities in reporting such instruments, which create obstacles to the sector's transformation. This article contributes to showing how removing uncertainties about carbon pricing, clearly defining incentives, and enhancing the capacity of sustainable finance contribute to the green transformation process in the case of Türkiye. These findings are also supported by the literature (Aydın, 2018; Bakış et al., 2022).

Keywords: Energy Sector, Carbon Tax, Sustainability, Green Finance, Emissions Trading System, Renewable Energy

Authors' individual contribution: Conceptualization — G.K. and T.U.K.; Methodology — G.K.; Software — G.K.; Formal Analysis — G.K.; Resources — T.U.K.; Data Curation — G.K.; Writing — Original Draft — G.K. and T.U.K.; Writing — Review & Editing — G.K. and T.U.K.; Visualization — G.K.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: K39, M19, M48

Received: 20.08.2025
Revised: 06.12.2025; 19.02.2026
Accepted: 27.02.2026
Published online: 03.03.2026

How to cite this paper: Kazan, G., & Kocamış, T. U. (2026). Exploring sustainable tax policy in Türkiye: A qualitative analysis of corporate and public discourse in the energy sector. Corporate Governance and Sustainability Review, 10(2), 44–55. https://doi.org/10.22495/cgsrv10i2p4

Seeking credibility in environmental, social, and governance reporting

Megan F. Hess,Andrew M. Hess — 2026-02-27T12:31:38Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Prior studies warn that environmental, social, and governance (ESG) reporting can mask poor sustainability performance and artificially inflate company reputations, but the extant literature offers few solutions to this problem that do not involve regulatory reform (Cooper & Owen, 2007; Hess & Dunfee, 2007; Patekar & Mahajan, 2025). This study contributes to this research gap by exploring ways that managers can improve the credibility of their ESG reporting in a voluntary disclosure environment. Our mixed methods research design leverages data on disclosure, goal setting, goal performance, and assurance collected through a content analysis of the sustainability reports for a sample of publicly traded U.S. companies following the Global Reporting Initiative (GRI) reporting framework from 2013–2019. Our quantitative analyses suggest that ESG ratings (Sustainalytics) are positively associated with the number of sustainability topics disclosed (disclosure breadth), a decrease in economic disclosures, and an increase in environmental disclosures (disclosure depth), setting environmental goals, and successfully reaching sustainability targets. However, we see no association between ESG ratings and goal failure rates or the use of higher-quality auditors. These findings may be especially relevant for managers making decisions about sustainability strategy, disclosure, and assurance, and for ESG investors seeking to identify credible firms for sustainability-focused investment.

Keywords: Sustainability, Non-Financial Disclosure, ESG, Corporate Social Responsibility, Goal Setting, Audit Quality

Authors' individual contribution: Conceptualization — M.F.H. and A.M.H.; Methodology — A.M.H.; Formal Analysis — M.F.H. and A.M.H.; Data Curation — M.F.H.; Writing — Original Draft — M.F.H. and A.M.H.; Writing — Review & Editing — M.F.H.; Supervision — M.F.H.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M40, M14, M48

Received: 31.07.2025
Revised: 21.11.2025; 05.02.2026
Accepted: 25.02.2026
Published online: 27.02.2026

How to cite this paper: Hess, M. F., & Hess, A. M. (2026). Seeking credibility in environmental, social, and governance reporting. Corporate Governance and Sustainability Review, 10(2), 30–43. https://doi.org/10.22495/cgsrv10i2p3

Exploring the nexus between digital inclusive finance and sustainable economic growth in China: A systematic literature review (2014-2024)

Xiaowan Liu,Khim-Sen Liew,Chin-Hong Puah — 2026-02-25T12:50:44Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study addresses the growing challenge of aligning financial innovation with sustainability in China (Dong et al., 2024) by examining the relationship between digital inclusive finance (DIF) and sustainable economic growth (SEG). The purpose is to identify how DIF contributes to green technology adoption, financial inclusion, and environmental performance. Using the PRISMA 2020 framework (Page et al., 2021), 110 peer-reviewed studies (2014–2024) from Scopus and Web of Science (WoS) were systematically reviewed and analyzed through bibliometric mapping in VOSviewer. Findings reveal that SEG is highly sensitive to DIF, with financial inclusion increasing by 10 percent, energy efficiency by 8 percent, and carbon emissions decreasing by 15 percent. Yet, issues such as endogeneity, regional disparity, digital illiteracy, and weak policy implementation constrain DIF's potential. This study concludes that strengthening digital infrastructure, promoting financial literacy, and leveraging blockchain-based DIF tools can enhance sustainable outcomes. These findings provide actionable insights for advancing China's sustainability agenda and global inclusive green growth strategies.

Keywords: Sustainable Economic Growth, Green Innovation, Digital Inclusive Finance, Digital Literacy

Authors' individual contribution: Conceptualization — X.L.; Methodology —K.-S.L.; Data curation — X.L. and K.-S.L.; Writing — Original draft — X.L.; Writing — Review & Editing — K.-S.L.; Supervision — C.-H.P.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G21, G28, O16, Q01, O32, Q56

Received: 30.07.2025
Revised: 12.11.2025; 06.01.2026; 04.02.2026
Accepted: 23.02.2026
Published online: 25.02.2026

How to cite this paper: Liu, X., Liew, K.-S., & Puah, C.-H. (2026). Exploring the nexus between digital inclusive finance and sustainable economic growth in China: A systematic literature review (2014-2024). Corporate Governance and Sustainability Review, 10(2), 18–29. https://doi.org/10.22495/cgsrv10i2p2

Sustainability corporate governance: The role of audit committees on the board, gender diversity, and risk management

2026-02-24T12:38:54Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Enterprise risk management (ERM) plays a vital role for companies (Ghazieh & Chebana, 2021). This study examines the impact of the board of commissioners' composition and the presence of gender diversity on ERM. Additionally, this study employed the audit committee as an intervening variable. This study uses financial companies listed on the Indonesia Stock Exchange (IDX) from 2018 to 2022. The total number of analysis units is 115. This study applies descriptive statistics and path analysis utilising WarpPLS 7.0. The findings reveal that the board of commissioners, gender diversity, and the presence of an audit committee all exert a positive influence on ERM. Furthermore, the audit committee plays a mediating role in the relationship between board size and ERM. However, neither the board of commissioners nor gender diversity appears to significantly impact the audit committee itself. The board of commissioners affects the audit committee. However, gender diversity does not affect the audit committee. To the best of the researcher's knowledge, this is the first study that adopts a unique approach by analyzing the audit committee's role as an intermediary in the relationship between board composition, gender diversity, and ERM — a topic that remains underexplored. This research supports firms in strengthening the audit committee's role in overseeing the implementation of ERM disclosure.

Keywords: Board of Commissioners, Gender Diversity, Enterprise Risk Management, Audit Committee

Authors' individual contribution: Conceptualization — R.H. and D.S.; Methodology — Y.N.F. and I.F.S.W.; Software — A.F.; Validation — D.S. and R.R.; Formal Analysis — T.S. and A.F.; Investigation — R.H. and T.S.; Resources — R.R. and I.N.K.; Writing — Original Draft — R.H. and D.S.; Writing — Review & Editing — D.S. and I.F.S.W.; Supervision — R.H.; Project Administration — I.N.K. and Y.N.F.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G32, G34, M19, M41

Received: 04.06.2025
Revised: 05.12.2025; 26.01.2026
Accepted: 20.02.2026
Published online: 24.02.2026

How to cite this paper: Hidayah, R., Suryandari, D., Suryarini, T., Rahayu, R., Kayati, I. N., Fadhila, Y. N., Wahyuningrum, I. F. S., & Fernando, A. (2026). Sustainability corporate governance: The role of audit committees on the board, gender diversity, and risk management. Corporate Governance and Sustainability Review, 10(2), 8–17. https://doi.org/10.22495/cgsrv10i2p1

2026-02-20T13:50:33Z

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Editorial: Conditions of sustainable value — Governance and incentives in changing institutional and economic contexts

Gonca Atici — 2026-02-20T13:49:01Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

This issue of the journal "Corporate Governance and Sustainability Review" was published on February 20, 2026.

By clicking the button "Download This Article" you will gain direct access to the Editorial of the issue.

How to cite: Atici, G. (2026). Editorial: Conditions of sustainable value — Governance and incentives in changing institutional and economic contexts. Corporate Governance and Sustainability Review, 10(1), 4–5. https://doi.org/10.22495/cgsrv10i1editorial

Financial knowledge, climate, and demographic resilience as key factors to financial inclusion and sustainable development

2026-02-10T12:25:08Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The main objective of the research study was to assess the important factors that influence the sustainable development of agriculture, the financial inclusion of farmers, as well as their perceptions regarding financial resources in Albania. Financial inclusion is key to obtaining sustainability (Arner et al., 2020). In the context of factors such as climate and demographic changes that make sustainable agricultural production difficult, it is important to assess the factors that positively and negatively affect the performance of Albanian farmers as well as their readiness to develop sustainable and environmentally friendly agricultural products. A questionnaire was created for the study purpose and shared with 207 farmers in Albania. The results of the study indicate the existence of barriers that prevent Albanian farmers from accessing financial resources and markets, relatively low financial inclusion, and low awareness of the benefits of developing sustainable agriculture. In conclusion, it is very important to increase the financial inclusion of farmers in Albania and to improve their attitude towards sustainable development to achieve sustainable agricultural products and sustainable financial performance.

Keywords: Financial Knowledge, Climate Change, Demographic Change, Financial Inclusion, Sustainable Agriculture

Authors' individual contribution: Conceptualization — A.G. and E.F.; Methodology — A.G., E.M., S.F., and S.U.; Data Curation — A.G., S.N., X.M., and S.U.; Writing — A.G., E.F., X.M., and E.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: D14, Q01, Q14, Q54

Received: 05.08.2025
Revised: 02.11.2025; 29.11.2025; 26.01.2026
Accepted: 05.02.2026
Published online: 10.02.2026

How to cite this paper: Gjoni, A., Fejzaj, E., Muça, E., Uku, S., Mullaymeri, X., Nakuçi, S., & Fortuzi, S. (2026). Financial knowledge, climate, and demographic resilience as key factors to financial inclusion and sustainable development. Corporate Governance and Sustainability Review, 10(1), 178–191. https://doi.org/10.22495/cgsrv10i1p16

Integrating environmental, social, and governance principles into Saudi corporate governance: Legal pathways to economic sustainability

Ali Salem Ali Al-Marri — 2026-02-04T11:20:01Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines how Saudi Arabia's evolving corporate governance framework integrates environmental, social, and governance (ESG) principles under Vision 2030. It investigates whether recent legal and regulatory reforms — particularly the Environmental Law (2021), Companies Law (2022), and Tadawul ESG Disclosure Guidelines — represent a substantive transformation toward sustainable corporate governance or merely formal compliance. Adopting a doctrinal-comparative methodology complemented by empirical evidence from recent peer-reviewed studies (Basali, 2025), the research analyses how law, policy, and market behavior interact to embed sustainability within Saudi corporate practice. The findings reveal that while regulatory initiatives have advanced ESG disclosure and board accountability (Sanad, 2025), enforcement remains uneven, and institutional coordination is fragmented. Nevertheless, empirical results show that firms aligning environmental responsibility with strategic governance exhibit higher profitability, resilience, and investor confidence. The analysis concludes that Saudi Arabia's gradual adaptive approach constitutes a hybrid model of legal transplantation that reconciles global sustainability norms with domestic institutional realities. Policy implications emphasize the transition from voluntary to semi-mandatory ESG reporting and the need for unified regulatory oversight. The study contributes to understanding how emerging economies can internalize sustainability principles through law, governance, and ethical reform consistent with Vision 2030's transformative agenda.

Keywords: ESG Disclosure, Corporate Governance, Saudi Arabia, Vision 2030, Sustainability Law, Environmental Responsibility, Adaptive Legal Transplantation

Authors' individual contribution: The Author is responsible for all the contributions to the paper according to CRediT (Contributor Roles Taxonomy) standards.

Declaration of conflicting interests: The Author declares that there is no conflict of interest.

JEL Classification: G3, G38, K2

Received: 17.07.2025
Revised: 10.10.2025; 23.01.2026
Accepted: 02.02.2026
Published online: 04.02.2026

How to cite this paper: Al-Marri, A. S. A. (2026). Integrating environmental, social, and governance principles into Saudi corporate governance: Legal pathways to economic sustainability. Corporate Governance and Sustainability Review, 10(1), 169–177. https://doi.org/10.22495/cgsrv10i1p15

Management of determinants of sustainable tourism development in the function of creating added value: The case of EU member states

Fejzulla Beha,Kimeta Gashi Brajshori,Ejup Fejza — 2026-01-27T10:41:31Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The study examines how economic, environmental, and social sustainability indicators influence sustainable value added in the tourism sector across the 27 European Union (EU) member states. The research addresses the limited evidence on how sustainability inputs shape value creation in tourism, highlighted in prior work such as Trinajstić et al. (2022). The purpose is to identify which sustainability dimensions support stronger long-term performance. A dynamic panel model estimated with the two-step system generalized method of moments (GMM) method is used to control for endogeneity and country-specific effects, following the approach of Arellano and Bover (1995). The results show that fixed capital formation and tourism-related turnover increase sustainable value added. Greenhouse gas (GHG) emissions show a positive association, which reflects current transitional practices. Renewable energy use contributes to stronger sustainability outcomes. Environmental taxes and social indicators show no significant link. The study concludes that economic investment and clean-energy adoption support sustainable value creation in EU tourism. The findings are relevant for policy efforts focused on green transition and long-term sector competitiveness.

Keywords: Sustainable Tourism, Sustainable Value Added, System GMM, EU Member States, Environmental Indicators, Tourism Economics

Authors' individual contribution: Conceptualization — F.B., K.G.B., and E.F.; Methodology — F.B., K.G.B., and E.F.; Investigation — F.B., K.G.B., and E.F.; Resources — F.B., K.G.B., and E.F.; Writing — F.B., K.G.B., and E.F.; Supervision — F.B., K.G.B., and E.F.; Funding Acquisition — F.B., K.G.B., and E.F.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: C33, L83, Q56

Received: 27.07.2025
Revised: 17.11.2025; 12.01.2026
Accepted: 23.01.2026
Published online: 27.01.2026

How to cite this paper: Beha, F., Brajshori, K. G., & Fejza, E. (2026). Management of determinants of sustainable tourism development in the function of creating added value: The case of EU member states. Corporate Governance and Sustainability Review, 10(1), 160–168. https://doi.org/10.22495/cgsrv10i1p14

The impact of CEO succession and corporate governance on climate change disclosure

Budi Chandra,Mardianto ,Robin ,Tan Hardi — 2026-01-23T11:21:36Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines how chief executive officer (CEO) succession and corporate governance shape climate change disclosure (CCD). The relevance of this research arises from the increasing regulatory and stakeholder demand for credible climate-related reporting and the limited evidence on how internal governance dynamics determine disclosure behavior. Using 1,097 firm-year observations from manufacturing firms listed on the Indonesia Stock Exchange (IDX) between 2020 and 2023, this study employs panel regression, complemented by coarsened exact matching (CEM) and generalized least squares (GLS) to ensure robustness. The results reveal contrasting effects between the two variables as CEO succession demonstrates a significantly negative impact on CCD, indicating that leadership transitions may disrupt disclosure practices and reduce a firm's attention to climate-related reporting. The corporate governance index (CGI) exhibits a significant positive effect on CCD, suggesting that firms with stronger governance structures are more committed to transparent climate disclosure. These findings highlight the differing roles of leadership stability and governance quality. Moreover, CCD is significantly and positively associated with firm performance, indicating that transparent climate reporting enhances profitability and stakeholder confidence.

Keywords: CEO Succession, Climate Change Disclosure, Corporate Governance, Firm Performance

Authors' individual contribution: Conceptualization — B.C.; Methodology — B.C. and M.; Formal Analysis — M. and R.; Investigation — B.C. and T.H.; Resources — B.C., M., and T.H.; Writing — Original Draft — B.C.; Writing — Review & Editing — B.C., M., R., and T.H.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G34, M14, Q56

Received: 20.10.2025
Revised: 27.11.2025; 04.12.2025; 09.01.2026
Accepted: 20.01.2026
Published online: 23.01.2026

How to cite this paper: Chandra, B., Mardianto, Robin, & Hardi, T. (2026). The impact of CEO succession and corporate governance on climate change disclosure. Corporate Governance and Sustainability Review, 10(1), 145–159. https://doi.org/10.22495/cgsrv10i1p13

Exploring the multi-dimensional impacts of corporate social responsibility: The role of market competition as a moderator

Efthimios Dragotis,Despina A. Karayanni,Androniki Kavoura — 2026-01-21T11:33:17Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The current study investigates the broader impacts of corporate social responsibility (CSR) adoption, moving beyond its economic and financial outcomes to explore its influence on brand image, customers, employees, and how this implementation is affected by market competition. The study deploys a pioneer, holistic approach to examine CSR engagement across various dimensions, including workforce, environment, suppliers, community, market, stakeholders, charities, business values, and leadership (Ashridge, 2005; Zlatanovic, 2015). For the application of this model, we chose Greece in order to address a relevant gap in the research within the country and because of the recent recession period and its impact on social initiatives. A quantitative methodology was utilized, using a convenient sample of 568 business small and medium-sized enterprises (SMEs) executives operating in Greece, gathered through LinkedIn. The study's significance relies on the use of a holistic model to evaluate CSR adoption, its application in the Greek market, and its simultaneous benefits. This research emphasizes the multifaceted advantages of CSR and the critical role of market dynamics, providing actionable insights for marketers to strategically incorporate CSR. CSR adoption positively affects brand image, customer relations, and employee performance. However, market competition was found to moderate these relationships negatively, diminishing the positive impacts of CSR.

Keywords: Corporate Social Responsibility Adoption, Market Competition, Brand Image, Employee Performance, Customer Relations

Authors' individual contribution: Conceptualization — E.D. and D.A.K.; Methodology — E.D.; Formal Analysis — E.D.; Writing — Original Draft — E.D.; Writing — Review & Editing — D.A.K. and A.K.; Funding Acquisition — A.K.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M14, M31

Received: 09.07.2025
Revised: 20.10.2025; 18.12.2025
Accepted: 19.01.2026
Published online: 21.01.2026

How to cite this paper: Dragotis, E., Karayanni, D. A., & Kavoura, A. (2026). Exploring the multi-dimensional impacts of corporate social responsibility: The role of market competition as a moderator. Corporate Governance and Sustainability Review, 10(1), 132–144. https://doi.org/10.22495/cgsrv10i1p12

Advancing corporate social responsibility by delaying high-carbon projects

Carolin Schellhorn — 2026-01-20T11:04:35Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Existential threats from climate change require rapid decarbonization. Corporate capital allocation decisions have an outsized impact on its progress. When cash flow estimates are highly uncertain and early climate action is preferred, the economic value to society of delaying carbon emissions by postponing high-carbon projects may be substantial and should be considered in capital allocation decisions. Results derived for the time value of carbon storage by Parisa et al. (2022) can be used, with estimates of the social cost of carbon (SCC) and project carbon emissions, to calculate the economic value created when a project is postponed. Delaying a high-carbon project may ultimately lead to deployment with lower emissions or abandonment of the project altogether. This study provides estimates for two hypothetical examples that are part of many corporate capital budgeting projects. The results are relevant for researchers and policymakers who are called upon to provide up-to-date public information regarding the net social discount rate and the SCC. Firms should be required to report their carbon emissions. Business leaders, who aim to advance corporate social responsibility (CSR) and progress with sustainability-related solutions, need to have the ethical and interdisciplinary skills to recognize when a decision to delay is appropriate.

Keywords: Artificial Intelligence, Capital Budgeting, Carbon Emissions, Climate Change, Corporate Social Responsibility, Sustainability

Authors' individual contribution: The Author is responsible for all the contributions to the paper according to CRediT (Contributor Roles Taxonomy) standards.

Declaration of conflicting interests: The Author declares that there is no conflict of interest.

JEL Classification: G3, Q5

Received: 14.07.2025
Revised: 08.09.2025; 13.09.2025; 02.01.2026
Accepted: 16.01.2026
Published online: 20.01.2026

How to cite this paper: Schellhorn, C. (2026). Advancing corporate social responsibility by delaying high-carbon projects. Corporate Governance and Sustainability Review, 10(1), 123–131. https://doi.org/10.22495/cgsrv10i1p11

Governing sustainable tourism: The mediating role of stakeholders' responsibility in tourism regulation and development

Mirjam Dibra,Enida Pulaj Brakaj ,Nevila Cinaj,Ermira Qosja,Ani Mbrica — 2026-01-14T12:56:38Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Tourism expansion presents development opportunities but also challenges requiring long-term planning and stakeholders' collaboration. Many destinations face difficulties in translating sustainability principles into tourist satisfaction improvements (Yen et al., 2024) due to limited stakeholder engagement, inadequate long-term planning, and weak integration of local economic development into tourism policies (Coccossis & Koutsopoulou, 2020). Although responsible tourism is important, its mediating role between sustainability practices and tourist experiences remains underexplored, particularly from local stakeholders' perspectives (Spadaro et al., 2023; Cheer et al., 2021). This study examines how stakeholder-driven sustainability initiatives enhance tourist satisfaction and how responsible tourism impacts sustainable development strategies with positive tourism outcomes along Albania's Adriatic coast. Data from 185 stakeholders were used to assess the impact of sustainability factors on tourist satisfaction and the mediating role of responsible tourism in destination development. Findings reveal that long-term planning has the most substantial direct effect on tourist satisfaction, followed by local economic development and stakeholder participation. Furthermore, mediation analysis shows that responsible tourism initiatives in terms of local employment, cultural heritage preservation, and community-based service provision mediate the relationship between sustainability and tourist satisfaction. These results highlight the importance of integrating responsible tourism into sustainable destination management to enhance tourist experiences.

Keywords: Sustainable Tourism, Responsible Tourism, Stakeholders, Tourist Satisfaction, Coastal Area, Adriatic

Authors' individual contribution: Conceptualization — M.D. and E.P.B.; Methodology — M.D. and E.P.B.; Investigation — M.D. and E.P.B.; Resources — M.D., E.P.B., N.C., E.Q., and A.M.; Writing — M.D. and E.P.B.; Supervision — N.C., E.Q., and A.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: Q56, R11, Z32

Received: 29.06.2025
Revised: 25.10.2025; 30.12.2025
Accepted: 12.01.2026
Published online: 14.01.2026

How to cite this paper: Dibra, M., Pulaj Brakaj, E., Cinaj, N., Qosja, E., & Mbrica, A. (2026). Governing sustainable tourism: The mediating role of stakeholders' responsibility in tourism regulation and development. Corporate Governance and Sustainability Review, 10(1), 112–122. https://doi.org/10.22495/cgsrv10i1p10

Leader-member exchange, job satisfaction, organizational commitment and sustainability, and innovation behavior

2026-01-13T14:31:03Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This research investigates the direct impact and mediation roles of leader-member exchange (LMX), organizational commitment, and innovative employee behavior. Employee innovation plays a crucial role in enhancing a company's performance and competitive edge. While the strong link between LMX and employee innovation has been well-documented, some studies have yielded inconsistent findings (Evers et al., 2024). To address this discrepancy, this study introduces organizational commitment and job satisfaction as mediating factors. The data, gathered from a survey of 245 employees in West Surabaya, Indonesia, were analyzed using partial least square structural equation modelling (PLS-SEM). The findings reveal that LMX positively influences job satisfaction, organizational commitment, and innovative behavior. Organizational commitment emerged as a key mediator between LMX and innovative behavior, whereas job satisfaction did not serve as a mediator. This study confirms that strong relationships between leaders and team members boost job satisfaction and organizational commitment, which in turn, foster innovative behavior among employees. However, job satisfaction alone is insufficient to mediate the effect of LMX on innovative behavior. The practical implications underscore the need to reinforce organizational commitment to fully harness employee innovation through strong LMX relationships.

Keywords: LMX, Job Satisfaction, Organizational Commitment, Innovative Behavior, Sustainability

Authors' individual contribution: Conceptualization — M.L. and W.E.D.R.; Methodology — W.E.D.R. and A.K.; Software — M.L. and D.D.; Formal Analysis — M.L., W.E.D.R., and A.K.; Investigation — A.K. and D.D.; Resources — W.E.D.R., A.K., and D.D.; Data Curation — A.K.; Writing — Original Draft — M.L.; Writing — Review & Editing — W.E.D.R. and D.D.; Visualization — M.L., W.E.D.R., D.D., and M.E.S.R.; Supervision — M.L. and A.K.; Project Administration — D.D. and M.E.S.R.; Funding Acquisition — M.L., W.E.D.R., A.K., and D.D.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: O31, J28, M12

Received: 22.06.2025
Revised: 10.11.2025; 23.12.2025
Accepted: 09.01.2026
Published online: 13.01.2026

How to cite this paper: Lestariningsih, M., Radianto, W. E. D., Kuntardina, A., Damayanti, D., & Rejeki, M. E. S. (2026). Leader-member exchange, job satisfaction, organizational commitment and sustainability, and innovation behavior. Corporate Governance and Sustainability Review, 10(1), 99–111. https://doi.org/10.22495/cgsrv10i1p9

Do sustainability-driven improvements in ESG performance reduce financing costs? Evidence from Chinese A-share listed companies

Zhongbin Tong,Norkhairul Hafiz Bajuri — 2026-01-09T14:04:09Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The consideration of environmental, social, and governance (ESG) has become an integral part of the financing of companies. The ESG scores indicate sustainability, which is integral for maintaining the goodwill of the company and also showing long-term resilience in the financial markets. Hence, this ESG score allows for the alteration of the cost of financing for firms. This particular research analyses whether the improvements in ESG factors lead to a reduction in the financing cost of Chinese A-listed firms. The timeline of the study is between 2009 and 2023, and it is conducted across 4704 firms. A firm fixed effects model (FEM) with standard errors clustered by firm is considered for the analysis. The results show that ESG impacts total financing cost (TFC) negatively by -0.21 percent. Moreover, the cost of debt (COD) is also negatively impacted by -0.06 percent, and the cost of equity (COE) is impacted by -0.04 percent. Impact on TFC and COD is statistically significant. However, the same on COE is not significant. The debt-market result is consistent with signalling and information-asymmetry channels. This is because ESG reduces perceived default risk and improves creditor terms (Huang, 2022). Based on these findings, policy recommendations on ESG disclosure have been suggested to the Chinese government.

Keywords: Chinese A-Listed Firms, ESG, Panel Data Analysis, Financing Cost, FEM, REM

Authors' individual contribution: Conceptualization — Z.T.; Methodology — Z.T. and N.H.B.; Validation — Z.T.; Formal Analysis — Z.T. and N.H.B.; Writing — Original Draft — Z.T.; Writing — Review & Editing — Z.T. and N.H.B.; Supervision — N.H.B.; Project Administration — N.H.B.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G12, G32, M14

Received: 06.07.2025
Revised: 21.10.2025; 16.12.2025
Accepted: 08.01.2026
Published online: 09.01.2026

How to cite this paper: Tong, Z., & Bajuri, N. H. (2026). Do sustainability-driven improvements in ESG performance reduce financing costs? Evidence from Chinese A-share listed companies. Corporate Governance and Sustainability Review, 10(1), 87–98. https://doi.org/10.22495/cgsrv10i1p8

The impact of carbon markets and climate policy uncertainty on financial and economic sustainability: Evidence from G7 countries

2026-01-08T14:47:01Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Carbon markets are increasingly recognized as a pivotal mechanism for mitigating greenhouse gas emissions and fostering sustainable growth, yet their implications for financial and economic stability remain contested. Recent research demonstrates that carbon trading enhances long-term development and facilitates sustainable finance, while short-term volatility links carbon futures to fluctuations in green financial instruments such as bonds. In parallel, climate policy uncertainty (CPU) has been shown to amplify systemic risks and erode investor confidence in financial markets. This study provides empirical evidence on the joint effects of carbon markets and CPU on financial and economic stability in G7 countries over the period 2013–2023, marked by major global shocks including the COVID-19 pandemic and international conflicts. Employing panel econometric techniques (ordinary least squares (OLS), fixed effects model (FEM), random effects model (REM), generalized least squares (GLS)) with robustness tests (White, Fisher, Lagrangian multiplier (LM), and Hausman), the findings underscore that carbon markets contribute to long-term economic stability, whereas CPU induces short-term financial instability.

Keywords: Carbon Markets, Climate Policy Uncertainty, Financial and Economic Stability

Authors' individual contribution: Conceptualization — M.T.P. and D.T.N.; Methodology — D.T.N. and H.T.T.H.; Formal Analysis — M.T.P. and D.T.T.V.; Investigation — D.T.T.V. and T.T.N.; Writing — Original Draft — M.T.P., D.T.N., and H.T.T.H.; Writing — Review & Editing — M.T.P., D.T.N., and H.T.T.H.; Visualization — D.T.T.V. and T.T.N.; Supervision — M.T.P.; Project Administration — M.T.P. and D.T.N.; Funding Acquisition — M.T.P.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G3, M2, O3

Received: 29.06.2025
Revised: 21.09.2025; 12.10.2025; 05.12.2025
Accepted: 07.01.2026
Published online: 08.01.2026

How to cite this paper: Pham, M. T., Nguyen, D. T., Ho, H. T. T., Vu, D. T. T., & Nguyen, T. T. (2026). The impact of carbon markets and climate policy uncertainty on financial and economic sustainability: Evidence from G7 countries. Corporate Governance and Sustainability Review, 10(1), 72–86. https://doi.org/10.22495/cgsrv10i1p7

Developing a framework for sustainable regional development in the Western Balkans

Besim Kamberaj — 2026-01-07T14:14:20Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The Western Balkans continue to face persistent challenges, including fragmented economies, institutional fragility, and environmental vulnerability, despite decades of integration efforts. However, existing research often addresses regional cooperation, economic integration, or sustainability in isolation, creating a gap in understanding how these dimensions interact to shape long-term development (Sanfey & Milatović, 2019; Zeneli, 2014). This study addresses this problem by developing a multidimensional framework for sustainable regional development that systematically integrates these three interdependent pillars. Using qualitative document analysis of 39 policy reports, academic studies, and civil society contributions (Bowen, 2009), the research identifies key barriers including fluctuating political will, uneven governance, and policy fragmentation alongside opportunities in civil society engagement, innovative financing, and European Union (EU) aligned collaboration (Draçi et al., 2022; Bartlett et al., 2022). The findings demonstrate that economic integration cannot succeed without parallel governance reforms, and that sustainability must be embedded as a foundational principle rather than an add-on. By bridging this gap, the study contributes both a theoretical synthesis and a practical roadmap for policymakers and stakeholders to harmonize economic, institutional, and environmental reforms in the Western Balkans.

Keywords: Western Balkans, Regional Development, Regional Cooperation, Economic Integration, Sustainability

Authors' individual contribution: The Author is responsible for all the contributions to the paper according to CRediT (Contributor Roles Taxonomy) standards.

Declaration of conflicting interests: The Author declares that there is no conflict of interest.

JEL Classification: F15, O18, R11, Q01, Z32

Received: 12.02.2025
Revised: 30.04.2025; 19.09.2025; 23.12.2025
Accepted: 06.01.2026
Published online: 07.01.2026

How to cite this paper: Kamberaj, B. (2026). Developing a framework for sustainable regional development in the Western Balkans. Corporate Governance and Sustainability Review, 10(1), 62–71. https://doi.org/10.22495/cgsrv10i1p6

The dual role of audit committees: Mitigating tax aggressiveness and enhancing corporate sustainability

Nora Hilmia Primasari,Siti Mutmainah — 2026-01-06T11:36:26Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines the unique role of audit committees as moderators of the relationship between tax aggressiveness and corporate sustainability, an aspect that remains underexplored in prior literature. A quantitative analysis was conducted on firms listed on the Indonesia Stock Exchange (IDX) during the 2017–2022 period. The findings show that tax aggressiveness negatively affects corporate sustainability. This result is consistent with stakeholder theory and previous studies emphasizing that aggressive tax practices can undermine legitimacy and stakeholder relationships. However, the main contribution of this study lies in the evidence that audit committees are not only able to mitigate but even reverse the negative effect of tax aggressiveness into a positive one. This finding supports agency theory by reaffirming the monitoring role of audit committees in ensuring that tax strategies remain aligned with good governance and social responsibility (Hsu et al., 2018; Velte, 2023). Practically, the results emphasize the importance of strengthening audit committee capacity and independence to safeguard sustainability, while also providing regulators with a basis for tightening qualification requirements. Limitations relate to the sample coverage and the measurement of tax aggressiveness, suggesting that future studies should develop more context-specific indicators tailored to emerging markets such as Indonesia.

Keywords: Tax Aggressiveness, Corporate Sustainability, Audit Committee, Corporate Governance

Authors' individual contribution: Conceptualization — N.H.P. and S.M.; Methodology — N.H.P. and S.M.; Software — N.H.P.; Validation — N.H.P. and S.M.; Formal Analysis — N.H.P. and S.M.; Investigation — N.H.P.; Resources — N.H.P. and S.M.; Data Curation — N.H.P. and S.M.; Writing — Original Draft — N.H.P.; Writing — Review & Editing — N.H.P. and S.M.; Visualization — N.H.P.; Supervision — S.M.; Project Administration — N.H.P. and S.M.; Funding Acquisition — N.H.P. and S.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G34, H26, Q56

Received: 13.06.2025
Revised: 17.08.2025; 29.12.2025
Accepted: 05.01.2026
Published online: 06.01.2026

How to cite this paper: Primasari, N. H., & Mutmainah, S. (2026). The dual role of audit committees: Mitigating tax aggressiveness and enhancing corporate sustainability. Corporate Governance and Sustainability Review, 10(1), 52–61. https://doi.org/10.22495/cgsrv10i1p5

Analyzing the origins and impact of greenhushing through a sustainable development lens

Asad Ahmad,Swati Garg,Jaya Bhasin,Obaidur Rahman,Shahid Mushtaq — 2026-01-05T15:05:48Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

In an era where the world is highly concerned about the environment, what happens if producers hide their sustainable activities? This study answers this very important question and explores an under-researched topic: greenhushing. The findings of the study are expected to be an eye-opener for all stakeholders of the environment. Many manufacturers/marketers are following the concept of greenhushing, but consumers hardly know whether producers are engaging in green practices or whether they are avoiding them. The researchers employed the semi-structured interview method on 40 young Indian consumers to determine their knowledge about greenhushing and what impact, if any, it has on consumer product selection. For the analysis, NVivo was used to generate word clouds and interpret the responses and suggestions given by the respondents. The analysis revealed various factors (hedonic value, utilitarian value, environmental concern, green labelling, and green trust) that need to be communicated mandatorily. Further, significant recommendations were made by thoroughly examining the existing literature and aligning it with the interview responses. The findings of the study highlight the relevance of proper and clear communication of product-related information, which may be a help for producers and policymakers, along with society in general.

Keywords: Greenhushing, Greenblushing, Greenwashing, Environmental Concern, Green Labelling, Signaling Theory, Legitimacy Theory

Authors' individual contribution: Conceptualization — A.A. and S.G.; Methodology — A.A. and S.G.; Validation — S.M. and O.R.; Resources — J.B., S.M., and O.R.; Writing — Original Draft — S.G.; Writing — Review & Editing — A.A. and O.R.; Supervision — A.A.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M14, M31, Q01

Received: 11.06.2025
Revised: 15.07.2025; 14.08.2025; 29.12.2025
Accepted: 02.01.2026
Published online: 05.01.2026

How to cite this paper: Ahmad, A., Garg, S., Bhasin, J., Mushtaq, S., & Rahman, O. (2026). Analyzing the origins and impact of greenhushing through a sustainable development lens. Corporate Governance and Sustainability Review, 10(1), 39–51. https://doi.org/10.22495/cgsrv10i1p4

Impact of digital solutions on food waste diversion: Promoting sustainable practices and moderating role of attitudes among consumers

Ammar Alawadh — 2026-01-02T12:29:12Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examined the influence of digital solutions on food waste diversion behavior, while considering the moderating role of consumer attitudes towards food waste in Saudi Arabia. A quantitative research design was employed, and data were collected from 256 respondents using a structured questionnaire through a convenience sampling approach. The findings revealed that digital solutions, such as mobile applications, smart tracking tools, and awareness platforms, significantly and positively impacted food waste diversion behavior. Furthermore, consumer attitudes were found to moderate this relationship, indicating that individuals with stronger pro-sustainability views experienced greater benefits from digital interventions. These results suggested that technology-driven initiatives became more effective when combined with favorable consumer attitudes, supporting previous arguments that consumer awareness is a key factor in waste management (Abu-Bakar & Almutairi, 2024). By providing empirical evidence from Saudi Arabia, this study addressed a notable research gap in food waste management and digital innovation literature (Moufakkir & Auzun, 2024). The findings offered practical implications for policymakers and businesses aiming to integrate digital technologies with consumer-focused campaigns to promote sustainable food consumption practices.

Keywords: Digital Solutions, Food Waste Diversion Behavior, Attitudes Towards Food Waste, Saudi Arabia

Authors' individual contribution: The Author is responsible for all the contributions to the paper according to CRediT (Contributor Roles Taxonomy) standards.

Declaration of conflicting interests: The Author declares that there is no conflict of interest.

JEL Classification: M31, O33, Q18

Received: 13.05.2025
Revised: 08.09.2025; 05.12.2025
Accepted: 29.12.2025
Published online: 02.01.2026

How to cite this paper: Alawadh, A. (2026). Impact of digital solutions on food waste diversion: Promoting sustainable practices and moderating role of attitudes among consumers. Corporate Governance and Sustainability Review, 10(1), 30–38. https://doi.org/10.22495/cgsrv10i1p3

The applicability of IFRS S1 and S2 in sustainability reporting in the energy sector: The case of Türkiye

Tuğçe Uzun Kocamış,Gülçin Kazan,Ayşegül Güngör — 2025-12-24T10:05:29Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines the voluntary adoption and usability of the International Financial Reporting Standards (IFRS) S1 and IFRS S2 by energy companies in Türkiye, before their mandatory implementation in January 2024. A qualitative content analysis was conducted on the sustainability, integrated, and annual reports of 10 energy firms listed on Borsa Istanbul (BIST) for the period 2021–2023. Key disclosure themes, such as transparency, accountability, carbon emissions, climate-related risks, and net-zero strategies, were systematically analyzed using a 0–3 scoring system to assess the degree of compliance with IFRS principles. The findings demonstrate a marked improvement in both the frequency and quality of sustainability disclosures over three years. In 2021, most companies exhibited only symbolic or limited reporting, while by 2023, significant or full compliance was observed, particularly among larger firms. However, persistent shortcomings remain in areas such as independent assurance and strategic alignment with long-term net-zero targets. By placing focus on both developments and enduring shortcomings, the research presents current information regarding Turkish firms' preparedness for global sustainability practices and identifies the need for targeted capacity-building and assurance instruments towards complete compliance.

Keywords: IFRS S1, IFRS S2, Sustainability Reporting, Energy Sector, Türkiye, ESG

Authors' individual contribution: Conceptualization — T.U.K.; Methodology — T.U.K.; Validation — G.K.; Formal Analysis — T.U.K.; Investigation — G.K.; Data Curation — G.K.; Writing — Original Draft — T.U.K.; Writing — Review & Editing — G.K. and A.G.; Visualization — A.G.; Supervision — T.U.K.; Project Administration — A.G.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G34, M14, Q56

Received: 12.05.2025
Revised: 15.07.2025; 10.11.2025; 03.12.2025
Accepted: 22.12.2025
Published online: 24.12.2025

How to cite this paper: Uzun Kocamış, T., Kazan, G., & Güngör, A. (2026). The applicability of IFRS S1 and S2 in sustainability reporting in the energy sector: The case of Türkiye. Corporate Governance and Sustainability Review, 10(1), 18–29. https://doi.org/10.22495/cgsrv10i1p2

Does innovation strengthen the impact of sustainability on firm value?

Ria Karina,Teddy Jurnali ,Gandi ,Mardianto — 2025-12-19T13:02:54Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study explores the effect of sustainability on firm value, with innovation as a moderating variable. Despite various sustainability initiatives, the inconsistent impact of sustainability practices on firm value raises questions about what factors truly enhance the effectiveness of these practices in delivering business value. Prior studies suggest a mixed relationship between sustainability and firm value (Agustia et al., 2019; Ammer et al., 2020). Using data from companies listed on the Indonesia Stock Exchange (IDX) from 2018 to 2022, sustainability is measured by the Global Reporting Initiative (GRI) index, firm value by return on assets (ROA), and innovation by research and development (R&D) expenditures. Panel data regression analysis was conducted using the STATA application. The results show that sustainability alone does not significantly influence firm value. When interacting with innovation, the relationship becomes significantly positive, indicating that innovation strengthens the impact of sustainability on firm value. These findings emphasize the importance of embedding innovation within sustainability strategies. Practically, it highlights the need for companies and policymakers to invest in R&D as part of broader sustainability initiatives. The originality of this research lies in its focus on a developing country context, offering practical and academic insights into the integration of innovation and sustainability.

Keywords: Corporate Innovation, R&D, Sustainability, GRI Index, Firm Value, Indonesia Stock Exchange

Authors' individual contribution: Conceptualization — R.K.; Methodology — R.K. and T.J.; Formal Analysis — T.J. and M.; Investigation — R.K. and G.; Resources — R.K., T.J., and G.; Writing — Original Draft — R.K.; Writing — Review & Editing — R.K., T.J., G., and M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G300, M140, O310, O320, Q560

Received: 25.05.2025
Revised: 15.07.2025; 20.08.2025; 02.12.2025
Accepted: 17.12.2025
Published online: 19.12.2025

How to cite this paper: Karina, R., Jurnali, T., Gandi, & Mardianto. (2026). Does innovation strengthen the impact of sustainability on firm value? Corporate Governance and Sustainability Review, 10(1), 8–17. https://doi.org/10.22495/cgsrv10i1p1

2025-12-18T13:23:08Z

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Editorial: Governance, sustainability, and performance under scrutiny — Evidence, contingencies, and institutional credibility

Luis Eugenio De Gárate Pérez — 2025-12-18T13:22:19Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

This issue of the journal "Corporate Governance and Sustainability Review" was published on December 18, 2025.

By clicking the button "Download This Article" you will gain direct access to the Editorial of the issue.

How to cite: De Gárate Pérez, L. E. (2025). Editorial: Governance, sustainability, and performance under scrutiny — Evidence, contingencies, and institutional credibility. Corporate Governance and Sustainability Review, 9(4), 4–5. https://doi.org/10.22495/cgsrv9i4editorial

Work stress, time budget pressure, and audit sustainable process and quality

2025-12-17T09:18:54Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Auditor perceptions of time budget pressure and work stress have been widely discussed as factors contributing to declining audit quality. This study aims to examine the impact of time budget pressure on the decline in audit quality, with work stress as a mediating variable. This research employed a quantitative approach using a survey questionnaire distributed to auditors working at public accounting firms. Central Java, Indonesia. A total of 62 valid responses were analyzed. Convenience sampling was applied, and data were analyzed using the partial least squares (PLS) method. The results of the study indicate that time budget pressure and work stress both have a positive and significant effect on audit quality decline. Furthermore, work stress is proven to mediate the relationship between time budget pressure and audit quality decline. These findings imply that the pressure to complete audits does not directly decrease audit quality; rather, such pressure increases auditor stress, which subsequently leads to a decline in audit quality. Therefore, work stress acts as a bridge linking time budget pressure to reduced audit quality. This study contributes to the behavioral accounting literature by emphasizing the mediating role of work stress in understanding how time constraints influence audit quality and by providing insights for promoting sustainable audit practices.

Keywords: Auditor, Audit Quality, Public Accounting Office, Time Budget Pressure, Work Stress

Authors' individual contribution: Conceptualization — C.S. and P.H.; Methodology — C.S. and P.H.; Software — I.N. and A.B.; Validation — C.S. and T.P.; Formal Analysis — C.S. and P.H.; Investigation — I.N. and T.P.; Resources — P.H. and I.N.; Data Curation — C.S. and A.B.; Writing — Original Draft — C.S. and P.H.; Writing — Review & Editing — C.S. and P.H.; Visualization — I.N. and A.B.; Supervision — C.S.; Project Administration — T.P.; Funding Acquisition — P.H.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G40, M41, M42

Received: 01.09.2025
Revised: 06.11.2025; 24.11.2025; 10.12.2025
Accepted: 15.12.2025
Published online: 17.12.2025

How to cite this paper: Srimindarti, C., Hardiningsih, P., Nurhayati, I., Badjuri, A., & Poerwati, T. (2025). Work stress, time budget pressure, and audit sustainable process and quality. Corporate Governance and Sustainability Review, 9(4), 184–191. https://doi.org/10.22495/cgsrv9i4p16

Economic development with environmental protection and company sustainability

Thi Hien Dam,Thanh Hanh Hoang ,Thi Minh Phuong Le ,The Chi Ngo — 2025-12-16T08:39:59Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study addresses the critical issue of balancing economic growth with environmental protection in Vietnam, where rapid industrial development has led to increasing ecological challenges (World Bank, 2024a). The research aims to identify the key factors influencing the integration of environmental considerations into the economic activities of Vietnamese enterprises (Hoang et al., 2019). Using a mixed-methods approach, including both qualitative analysis and quantitative data collected from a survey of local businesses, the study examines how economic and environmental priorities are managed in practice. The findings reveal that while awareness of environmental issues is rising, many enterprises still face significant barriers, such as limited resources, lack of regulatory enforcement, and insufficient managerial commitment, to adopting sustainable practices. The study concludes that without stronger institutional support and targeted policy interventions, environmental sustainability will remain a secondary concern. Based on these insights, the paper proposes a set of practical recommendations to support enterprises in aligning their growth strategies with environmental goals. This research contributes valuable evidence to the discourse on sustainable development and offers actionable guidance for policymakers, business leaders, and researchers working to advance Vietnam's green transition by 2030 (Organisation for Economic Co-operation and Development [OECD], 2023a).

Keywords: Economic Development, Environmental Issues, Environmental Protection, Vietnamese Enterprises

Authors' individual contribution: Conceptualization — T.H.D., T.H.H., T.M.P.L., and T.C.N.; Methodology — T.H.D., T.H.H., and T.C.N.; Software — T.H.H.; Validation — T.H.D. and T.H.H.; Formal Analysis — T.C.N.; Investigation — T.H.D., T.H.H., T.M.P.L., and T.C.N.; Resources — T.H.H.; Data Curation — T.H.H.; Writing — Original Draft — T.H.H.; Writing — Review & Editing — T.H.D., T.H.H., T.M.P.L., and T.C.N.; Visualization — T.H.H.; Supervision — T.H.H.; Project Administration — T.H.H. and T.M.P.L.; Funding Acquisition — T.H.H.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: D2, D9, Q5

Received: 05.03.2025
Revised: 22.04.2025; 10.06.2025; 29.11.2025
Accepted: 12.12.2025
Published online: 16.12.2025

How to cite this paper: Dam, T. H., Hoang, T. H., Le, T. M. P., & Ngo, T. C. (2025). Economic development with environmental protection and company sustainability. Corporate Governance and Sustainability Review, 9(4), 172–183. https://doi.org/10.22495/cgsrv9i4p15

The role of fiscal sustainability and institutional credibility in public financial management as a factor of economic growth in Central and Eastern Europe

Kimeta Gashi Brajshori,Fejzulla Beha — 2025-12-10T10:40:13Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines the impact of public financial management (PFM) on economic growth in European Union (EU) member states by assessing whether fiscal discipline, effective investment, and institutional quality contribute to higher gross domestic product (GDP) per capita growth. The empirical analysis employs a dynamic panel model estimated through the system generalized method of moments (GMM) for 2015–2024, which addresses endogeneity and unobserved heterogeneity. The results show that a sound budget balance and higher gross capital formation significantly enhance growth, while government consumption exerts a negative effect. Corruption control also supports growth by improving the efficiency of public spending, consistent with earlier evidence on the role of institutions (Mauro, 1995). In line with Barro (1990), the findings confirm that the composition and quality of fiscal policy matter more than its size. The study concludes that strengthening fiscal sustainability and institutional credibility is essential for growth-oriented PFM reform in EU economies.

Keywords: Public Financial Management, Fiscal Sustainability, Institutional Credibility, Economic Growth, System GMM

Authors' individual contribution: Conceptualization — K.G.B. and F.B.; Methodology — K.G.B. and F.B.; Investigation — K.G.B. and F.B.; Resources — K.G.B. and F.B.; Writing — Original Draft — K.G.B. and F.B.; Writing — Review & Editing — K.G.B. and F.B.; Supervision — K.G.B. and F.B.; Funding Acquisition — K.G.B. and F.B.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G32, M4, M41, Q56

Received: 03.08.2025
Revised: 24.10.2025; 19.11.2025
Accepted: 08.12.2025
Published online: 10.12.2025

How to cite this paper: Brajshori, K. G., & Beha, F. (2025). The role of fiscal sustainability and institutional credibility in public financial management as a factor of economic growth in Central and Eastern Europe. Corporate Governance and Sustainability Review, 9(4), 161–171. https://doi.org/10.22495/cgsrv9i4p14

Impact of sustainability indicators disclosure based on GRI Standards in accounting sustainability reports on enhancing the company value

Ashraf Bataineh,Ziyad Mustafa Shwiyat,Omar Al-Bataineh — 2025-12-08T14:41:50Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study aims to measure the impact of sustainability indicators disclosure, based on Global Reporting Initiative (GRI) Standards in accounting sustainability reports, on enhancing company value at Jordanian extractive and mining industries companies listed on the Amman Stock Exchange (ASE) with data available in the financial market during 2020–2023. The researchers used a number of financial indicators in the statistical program (EViews), including return on equity (ROE), earnings per share (EPS), return on assets (ROA), leverage (LEV), and also gave weights to the disclosure items of sustainability accounting, and its economic, environmental, and social indicators. The study found a positive impact of sustainability indicators disclosure on enhancing the company value of Jordanian extractive and mining industries companies. The study recommended Jordanian companies to utilize all available means and capabilities for the purpose of expanding their services and differentiating investments, in order to increase the efficiency of these companies and achieve returns. The study also recommended encouragement of all companies to commit to the disclosure of waste and emissions reduction requirements, which include direct and indirect greenhouse gas emissions resulting from energy consumption, where optimizing resource consumption across operations not only contributes to cost savings but also improves company value.

Keywords: Sustainability Disclosure, Company Value, Global Reporting Initiative (GRI), Accounting Sustainability Reports

Authors' individual contribution: Conceptualization — A.B.; Formal Analysis — Z.M.S.; Resources — A.B.; Data Curation — Z.M.S.; Writing — Original Draft — A.B.; Writing — Review & Editing — A.B. and O.A.-B.; Visualization — A.B.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G32, M4, M41, Q56

Received: 22.07.2025
Revised: 10.10.2025; 14.11.2025
Accepted: 04.12.2025
Published online: 08.12.2025

How to cite this paper: Bataineh, A., Shwiyat, Z. M., & Al-Bataineh, O. (2025). Impact of sustainability indicators disclosure based on GRI Standards in accounting sustainability reports on enhancing the company value. Corporate Governance and Sustainability Review, 9(4), 148–160. https://doi.org/10.22495/cgsrv9i4p13

Integrated reporting quality, readability, and sustainable firm performance: The moderating role of board size in ASEAN

Vidhiya Andini,Linda Kusumaning Wedari — 2025-12-05T13:31:40Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

This study examines the effect of integrated reporting quality (IRQ) and integrated reporting readability (IRR) on firm performance, with corporate governance as a moderating variable. The research sample is from companies listed in the Association of Southeast Asian Nations (ASEAN) countries during the COVID-19 pandemic. Panel data regression analysis involves 104 non-financial companies listed on the Indonesia, Malaysia, Thailand, and Singapore stock exchanges from 2020–2022. Firm performance is measured using return on assets (ROA). IRQ is measured using content element analysis, and IRR is measured using the Flesch reading ease (FRE) score. The analysis results show that IRQ and IRR do not affect firm performance. These results contradict the findings of Anna (2024), Chouaibi et al. (2022), Islam (2020), and Vitolla et al. (2019). However, when moderating variables are added, the effect becomes significant. The board size (BS) as a moderating variable weakens the effect of IRQ and strengthens the effect of IRR on firm performance. These findings contribute to the role of corporate governance in moderating the relationship between the quality and readability of integrated reporting with firm performance and provide insight into the importance of transparent and accountable reporting policies in dealing with global crises such as the COVID-19 pandemic.

Keywords: Firm Performance, Integrated Reporting, Quality, Readability, Corporate Governance

Authors' individual contribution: Conceptualization — V.A. and L.K.W.; Methodology — V.A. and L.K.W.; Validation — V.A. and L.K.W.; Formal Analysis — V.A. and L.K.W.; Investigation — V.A.; Resources — V.A.; Data Curation — V.A.; Writing — Original Draft— V.A. and L.K.W.; Writing — Review & Editing — V.A. and L.K.W.; Visualization — V.A. and L.K.W.; Supervision — L.K.W.; Project Administration — V.A. and L.K.W.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: F43, F65, G18, O11, P24, P35

Received: 23.05.2025
Revised: 02.08.2025, 12.08.2025; 12.11.2025
Accepted: 02.12.2025
Published online: 05.12.2025

How to cite this paper: Andini, V., & Wedari, L. K. (2025). Integrated reporting quality, readability, and sustainable firm performance: The moderating role of board size in ASEAN. Corporate Governance and Sustainability Review, 9(4), 135–147. https://doi.org/10.22495/cgsrv9i4p12

Financial technology, sustainable dimensions, and economic growth of the developing countries: Evidence from the Middle East countries

2025-12-03T11:16:28Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

It is crucial to understand the financial technology (FinTech) dimensions' impact on financial system stability (AlBaker, 2024). Though FinTech can bring about positive changes, it also introduces new risks (Imeraj et al., 2025). Thus, investigating its influence allows for the development of measures to ensure the constancy and resilience of the financial systems (Jones & Maynard, 2023). As Middle Eastern countries continue to invest in digital infrastructure, education, and innovation, technology's role in driving economic growth may become increasingly significant in the future. Therefore, this study examines the effect of FinTech dimensions on the economic growth (through gross domestic product [GDP]) in the Middle East context. Utilizing yearly panel data from 2000 to 2021 for 12 Middle Eastern countries, the results revealed that the FinTech dimensions (such as information and communication technology [ICT] goods exports, fixed broadband subscriptions, and labor force participation rate) have a significant positive impact on economic growth in the Middle East. While there is a significant negative relationship between ICT goods imports and inflation with economic growth, individuals using the Internet, mobile cellular subscriptions, and population are found to have an insignificant effect on economic growth. This study provides valuable insights for policymakers, businesses, and researchers. FinTech has some challenges, but there are always potential Solutions. Various solutions and recommendations for the future have been included.

Keywords: FinTech, Economic Growth, GDP, ICT Goods Exports, ICT Goods Imports, Jordan, Middle East

Authors' individual contribution: Conceptualization — H.K.Q., J.I., and A.A.M.Q; Methodology — H.K.Q.; Investigation — H.K.Q. and B.N.Z.; Resources — H.K.Q. and J.I.; Writing — Original Draft — H.K.Q., J.I., A.A.M.Q., and B.N.Z.; Review & Editing — H.K.Q.; Supervision — H.K.Q., J.I., A.A.M.Q., and B.N.Z.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: F43, F65, G18, O11, P24, P35

Received: 28.04.2025
Revised: 31.07.2025; 14.08.2025; 10.11.2025
Accepted: 01.12.2025
Published online: 03.12.2025

How to cite this paper: Qawqzeh, H. K., Irshoud, J., Qadorah, A. A. M., & Zureigat, B. N. (2025). Financial technology, sustainable dimensions, and economic growth of the developing countries: Evidence from the Middle East countries. Corporate Governance and Sustainability Review, 9(4), 125–134. https://doi.org/10.22495/cgsrv9i4p11

Financial resilience in the event center industry: Strategies for revenue diversification and financial sustainability

Sergiris A. Ortega,Antonio D. Jose Celis,Walter B. Juera,Angelo R. Santos — 2025-12-02T10:27:26Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The event centre industry has faced significant financial challenges due to global disruptions, highlighting the need for adaptive financial strategies to ensure sustainability. This study investigates the financial resilience of event centres, focusing on revenue diversification and financial management practices. The research aims to identify effective strategies that support financial stability during crises. Using a descriptive research design, data were collected through questionnaires from eight event centres in Nueva Ecija, Philippines, with at least three years of operational experience, including during periods of major economic disruptions. Key findings indicate that maintaining disciplined financial management, such as managing receivables/payables and cash reserves, and setting financial objectives are critical to resilience. Diversification into new revenue streams and digital marketing also contributed to recovery and growth. The study recommends improving financial literacy, exploring innovative financing options like crowdfunding, and enhancing operational efficiency through budgeting and cost control. This study adds to existing research by focusing on how event centres manage their finances to stay strong during disruptions. The insights contribute to developing robust financial frameworks for event centres facing similar disruptions. This research is relevant for practitioners and policymakers seeking strategies to enhance the financial resilience and long-term sustainability of service-oriented businesses.

Keywords: Crisis Management, Financial Management, Financial Resilience, Revenue Diversification, Sustainability

Authors' individual contribution: Conceptualization — S.A.O. and A.D.J.C.; Methodology — S.A.O., A.D.J.C., W.B.J., and A.R.S.; Investigation — A.D.J.C. and A.R.S.; Data Curation — S.A.O. and W.B.J.; Resources — A.R.S.; Writing — Original Draft — S.A.O. and W.B.J.; Writing — Review & Editing — A.R.S.; Supervision — S.A.O. and A.D.J.C.; Funding Acquisition — A.R.S.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G32, L83, M10, M21, Q01

Received: 04.01.2025
Revised: 25.03.2025; 31.05.2025; 05.11.2025
Accepted: 26.11.2025
Published online: 02.12.2025

How to cite this paper: Ortega, S. A., Celis, A. D. J., Juera, W. B., & Santos, A. R. (2025). Financial resilience in the event center industry: Strategies for revenue diversification and financial sustainability. Corporate Governance and Sustainability Review, 9(4), 114–124. https://doi.org/10.22495/cgsrv9i4p10

Sustainability reporting: Unfolding environmental, social, and governance practices in the banking sector

E.S. Sina ,D. Vennila — 2025-11-26T11:22:24Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

A sustainability report showcases a complete perspective of a banking business, its strategy, and environmental, social, and governance (ESG) disclosure. For the banks, the reporting is based on climate risk, responsible investment, and transparency. This report is unique for each industry, depending on its ESG risks, shareholders' expectations, and sustainability framework. In India, the reporting framework is the business responsibility and sustainability report (BRSR) format, on the nine principles of National Guidelines on Responsible Business Conduct (NGRBC), as per the Securities and Exchange Board of India (SEBI) guidelines. This paper investigates the sustainability reporting practices adopted by Indian banks and explores how these institutions integrate the ESG framework into their reporting. A qualitative content analysis was performed on BRSRs published (fiscal years [FY] 2021–2022 and 2024–2025). Although disclosure volume has risen since the Reserve Bank of India (RBI) consultation, reporting quality remains uneven, only 28 percent of banks align fully with the Task Force on Climate-related Financial Disclosures (TCFD) pillars, and Scope 3 emissions. The pace of alignment with international standards needs acceleration. Integration of ESG reporting and carbon footprint reduction targets is more common in larger banks. The SEBI can make it compulsory for all listed banks to disclose their sustainability report, to disseminate exact awareness among the stakeholders. These findings will contribute to the banking sector and provide insights for policymakers, regulators, and industry stakeholders, with implications for enhancing corporate disclosure standards, fostering sustainable finance initiatives, and advancing the sustainability agenda in India's banking sector.

Keywords: Sustainability Reporting and Financial Integrity, ESG Disclosures, Global Reporting Initiative (GRI), Integrated Reporting, Responsible Banking, Indian Banking Sector

Authors' individual contribution: Conceptualization — E.S.S.; Methodology — E.S.S.; Resources — E.S.S.; Writing — Original Draft — E.S.S.; Supervision — D.V.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G14, G32, M41, M42, L60

Received: 06.05.2025
Revised: 30.06.2025; 13.09.2025; 17.11.2025
Accepted: 24.11.2025
Published online: 26.11.2025

How to cite this paper: Sina, E. S., & Vennila, D. (2025). Sustainability reporting: Unfolding environmental, social, and governance practices in the banking sector. Corporate Governance and Sustainability Review, 9(4), 102–113. https://doi.org/10.22495/cgsrv9i4p9

Earnings response coefficient and its association with firm size, leverage, and earnings persistence: Sustainability implications

Markonah Markonah ,Kusnadi Kusnadi — 2025-11-24T14:39:09Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The earnings response coefficient (ERC) reflects how the market reacts to a company's earnings announcements. Several factors, such as firm size, leverage, and earnings persistence, are often associated with ERC, as they are believed to influence investors' perceptions of earnings quality. However, the relationship between these variables and ERC remains debated. Wulandari and Herkulanus (2015) state that ERC can serve as an indicator of earnings quality, while Ahabba and Sebrina (2020) note that its relationship with financial indicators varies across industries. This study investigates the impact of firm size, leverage, and earnings persistence on ERC in manufacturing firms listed on the Indonesia Stock Exchange (IDX) from 2018 to 2021. A purposive sampling method is applied, producing a final sample of 47 firms. The data is analyzed using EViews 12, applying classical assumption testing, panel data regression, and hypothesis testing. The findings reveal that firm size, leverage, and earnings persistence do not significantly affect ERC. This supports the findings of Dewi and Putra (2022), who reported similar outcomes in the Indonesian context. These results suggest that investors may consider other variables when responding to earnings announcements. Future research should expand the sample, observation period, and scope of variables.

Keywords: Firm Size, Leverage, Profit Persistence, Earnings Response Coefficient

Authors' individual contribution: Conceptualization — K.K. and M.M.; Methodology — K.K.; Formal Analysis — K.K.; Investigation — M.M.; Resources — M.M.; Data Curation — K.K.; Writing — Original Draft — K.K.; Writing — Review & Editing — M.M.; Visualization — K.K.; Supervision — M.M.; Project Administration — K.K.; Funding Acquisition — M.M.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G14, G32, M41, M42, L60

Received: 04.03.2025
Revised: 22.06.2025; 29.09.2025; 14.11.2025
Accepted: 21.11.2025
Published online: 24.11.2025

How to cite this paper: Markonah, M., & Kusnadi, K. (2025). Earnings response coefficient and its association with firm size, leverage, and earnings persistence: Sustainability implications. Corporate Governance and Sustainability Review, 9(4), 89–101. https://doi.org/10.22495/cgsrv9i4p8

Insight into technologically vigilant leadership: Smart sustainable circular supply chain management in the economic context of Industry 6.0

Pham Quang Huy,Vu Kien Phuc — 2025-11-20T13:56:02Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The emergence of Industry 6.0 presents both opportunities and problems for environmental sustainability. Emerging technologies, like artificial intelligence (AI), the Internet of Things (IoT), and blockchain, can improve energy efficiency, maximize resource utilization, and decrease consumption. Conversely, the energy-intensive characteristics of these technologies may result in elevated electricity consumption and increased carbon dioxide emissions if not handled responsibly. In this context, the senior leadership of the relevant organizations plays a pivotal role in facilitating the removal of adoption barriers during the early phase of migration to new technologies. This study proposes a model grounded in resource-based theory and stakeholder theory that examines the relationship between technologically vigilant leadership (TVL) and smart sustainable circular supply chain management (SSCSCM) within the context of Industry 6.0, mediated by the effectiveness of the management accounting information system (EMAIS). This study further delves into the moderating influence of inclusive green growth policy (IGGP) on these relationships. This study assessed the suggested model by partial least squares structural equation modeling to examine the statistical data obtained from a convenience and snowball sample of accountants in small and medium enterprises. The empirical findings indicated a positive correlation between TVL and SSCSCM. This relationship was partially mediated by EMAIS. IGGP positively moderated the connections among TVL, SSCSCM, and EMAIS. These significant insights would assist policymakers in formulating enhanced TVL mechanisms to capitalize on the benefits of EMAIS and therefore fortify SSCSCM.

Keywords: Circular Economy, Environmental Management Accounting, Industry 6.0, Smart Supply Chain, Vigilant Leadership

Authors' individual contribution: Conceptualization — P.Q.H.; Methodology — P.Q.H., Software — P.Q.H. and V.K.P.; Validation — P.Q.H. and V.K.P.; Formal Analysis — P.Q.H. and V.K.P.; Investigation — P.Q.H. and V.K.P.; Writing — Original Draft — P.Q.H.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: O32, Q01, Q56

Received: 11.02.2025
Revised: 11.07.2025; 10.11.2025
Accepted: 18.11.2025
Published online: 20.11.2025

How to cite this paper: Huy, P. Q., & Phuc, V. K. (2025). Insight into technologically vigilant leadership: Smart sustainable circular supply chain management in the economic context of Industry 6.0. Corporate Governance and Sustainability Review, 9(4), 75–88. https://doi.org/10.22495/cgsrv9i4p7

Earnings management and corporate governance in Africa: Sustainable development, challenges, and policy recommendations

Aymane Chemmaa,Mohammed Ibrahimi,Mohammed Amine — 2025-11-17T13:39:34Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Despite growing research on corporate governance and financial misconduct in Africa, most studies remain fragmented, focusing on specific countries or isolated mechanisms. This underscores the need for a comprehensive synthesis to develop a holistic framework addressing earnings manipulation across the continent's diverse contexts to advance sustainable financial governance. To fill this gap, this study systematically reviews 45 articles using the Preferred Reporting Items for Systematic Reviews and Meta-Analyses (PRISMA) methodology (Moher et al., 2009) to identify factors that strengthen governance's role in mitigating earnings manipulation throughout Africa. The findings reveal notable regional variations. Studies from North Africa suggest governance effectiveness depends on ownership structures (family, state, or managerial) and institutional reforms. Research in West Africa indicates risk management committees and board financial expertise are important, though political interference may reduce their impact. East African studies find gender diversity and institutional ownership beneficial, despite some paradoxical results on board independence. Studies on South Africa highlight that a strong regulatory environment, audit quality, and ethical leadership can enhance internal controls. Finally, research from Central Africa points to auditor specialization and board mandate stability as key factors in limiting earnings management. Overall, these findings suggest that governance reforms tailored to regional contexts are essential to effectively reduce earnings manipulation and promote sustainable financial governance across Africa.

Keywords: Earnings Management, Corporate Governance, Transparency, Africa, Sustainable Development, ESG, Systematic Literature Review

Authors' individual contribution: Conceptualization — A.C. and M.I.; Methodology — A.C. and M.A.; Software — A.C. and M.A.; Validation — M.I. and M.A.; Formal Analysis — A.C. and M.A.; Investigation — A.C. and M.I.; Resources — A.C.; Writing — Original Draft — A.C.; Writing — Review & Editing — M.I. and M.A.; Visualization — A.C.; Supervision — M.I.; Project Administration — M.I.; Funding Acquisition — A.C.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: G3, M1, M4

Received: 10.04.2025
Revised: 10.06.2025; 25.08.2025; 06.11.2025
Accepted: 13.11.2025
Published online: 17.11.2025

How to cite this paper: Chemmaa, A., Ibrahimi, M., & Amine, M. (2025). Earnings management and corporate governance in Africa: Sustainable development, challenges, and policy recommendations. Corporate Governance and Sustainability Review, 9(4), 68–74. https://doi.org/10.22495/cgsrv9i4p6

Strategic collaboration and trust: A framework for enhancing sustainable supply chain performance

John Chivero,David Pooe,Blessing Takawira — 2025-11-14T11:52:22Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The study examines the crucial interplay between collaboration and trust in enhancing the efficiency of the dairy supply chain. This study developed a strategic framework that fosters collaboration and trust among stakeholders, ultimately enhancing supply chain performance in Zimbabwe. Utilising qualitative methods, the research involved semi-structured interviews with 25 dairy industry professionals, yielding insights into strategic collaboration practices, trust-building mechanisms, and prevalent challenges faced in the sector. The key findings reveal that effective information sharing, joint decision-making, and integrating supply chain processes are essential for promoting collaboration. Additionally, trust-building mechanisms such as transparency, continuous relationship management, and a commitment to reliability have emerged as vital components that impact cooperative efforts. However, challenges, including institutional barriers, cultural resistance, and economic and infrastructural constraints, hinder the implementation of these practices. The implications of this research underscore the necessity for stakeholders and policymakers to prioritise transparent communication and reinforce regulatory frameworks that encourage collaborative initiatives. The originality of this study lies in its contextual focus on Zimbabwe's dairy industry, providing a nuanced understanding of collaboration and trust dynamics in a developing market setting. By offering a strategic framework that incorporates both practical and theoretical insights, this research contributes to the broader discourse on supply chain management, emphasising the transformative role of trust and collaboration in enhancing overall supply chain resilience and effectiveness.

Keywords: Supply Chain, Strategic Collaboration, Trust, Dairy Industry, Zimbabwe

Authors' individual contribution: Conceptualization — J.C., D.P., and B.T.; Methodology — J.C. and B.T.; Formal Analysis — J.C. and B.T.; Data Curation — J.C. and B.T.; Writing — Original Draft — J.C. and B.T.; Visualization — D.P. and B.T.; Supervision — D.P.; Project Administration — D.P.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: M10, M15, M30, M31

Received: 20.03.2025
Revised: 25.07.2025; 15.10.2025
Accepted: 11.11.2025
Published online: 14.11.2025

How to cite this paper: Chivero, J., Pooe, D., & Takawira, B. (2025). Strategic collaboration and trust: A framework for enhancing sustainable supply chain performance. Corporate Governance and Sustainability Review, 9(4), 55–67. https://doi.org/10.22495/cgsrv9i4p5

Leadership 5.0 and strategic agility: Tourism MSME strategy for sustainable competitiveness

Suhermin ,Mar’atus Zahro,Pontjo Bambang Mahargiono,Rika Rahayu — 2025-11-12T13:55:47Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

The performance and sustainability of tourism-sector micro, small, and medium-sized enterprises (MSMEs) are key academic concerns due to their significant impact on the national economy and society (Efthimiou, 2025; Esquivias et al., 2022; Silvestre Graça, 2022; Krasniqi & Tahiri, 2025; Nguyen Thi et al., 2024). This study examines the influence of Leadership 5.0 on sustainable competitiveness in tourism-sector MSMEs, with dynamic capability and strategic agility as mediating variables. Using a quantitative approach and survey method, data were collected through questionnaires distributed to MSME owners and managers in Surabaya, with purposive sampling and analysis via partial least squares-structural equation modeling (PLS-SEM). The results show that Leadership 5.0 has a positive and significant impact on dynamic capability, strategic agility, and competitive sustainability. Dynamic capability enhances the ability of MSMEs to manage change and adapt to a dynamic business environment, while strategic agility enables them to respond to market opportunities faster than competitors. Both variables act as mediators in the relationship between Leadership 5.0 and sustainable competitiveness, reinforcing the leadership's role in long-term competitive advantage. The findings of this study support David Teece's view that sustainable competitive advantage depends on an organisation's ability to adapt, integrate, and reshape internal competencies in line with external changes (Teece, 2018).

Keywords: Human Resource Management Strategy, Dynamic Capabilities, Strategic Agility, Competitive Sustainability, Competitive Strategies, Tourism Industry

Authors' individual contribution: Conceptualization — S., M.Z., P.B.M., and R.R.; Methodology — S. and R.R.; Software — S.; Validation — S., M.Z., P.B.M., and R.R.; Formal Analysis — S. and R.R.; Investigation — S., M.Z., P.B.M., and R.R.; Resources — S., M.Z., P.B.M., and R.R.; Data Curation — S., M.Z., P.B.M., and R.R.; Writing — Original Draft — S.; Writing — Review & Editing — S.; Visualization — S., M.Z., P.B.M., and R.R.; Supervision — S., M.Z., P.B.M., and R.R.; Project Administration — S., M.Z., P.B.M., and R.R.; Funding Acquisition — S., M.Z., P.B.M., and R.R.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: D22, L26, L83, M10, M12, M21, O32

Received: 05.03.2025
Revised: 01.07.2025; 17.07.2025; 06.10.2025
Accepted: 10.11.2025
Published online: 12.11.2025

How to cite this paper: Suhermin, Zahro, M., Mahargiono, P. B., & Rahayu, R. (2025). Leadership 5.0 and strategic agility: Tourism MSME strategy for sustainable competitiveness. Corporate Governance and Sustainability Review, 9(4), 45–54. https://doi.org/10.22495/cgsrv9i4p4

The impact of green bank governance on sustainable economic development

Arjeta Hallunovi,Skënder Uku — 2025-11-10T13:22:36Z

This work is licensed under a Creative Commons Attribution 4.0 International License.

Abstract

Green banking has emerged as a critical instrument for promoting sustainable economic development in Albania, yet adoption remains limited due to multiple challenges. This study examines public perceptions of green banking, focusing on awareness levels, perceived benefits, barriers to adoption, and demand for green products. A cross-sectional survey was conducted with 350 respondents from urban and rural areas using a structured questionnaire distributed online and in person. Data were analyzed using descriptive statistics and thematic analysis. Findings show moderate awareness (42 percent), strong belief in green banking's role in economic growth, job creation, and environmental protection, but also highlight barriers such as high initial costs, limited knowledge, and regulatory hurdles. Despite these, optimism is high, and demand for tailored green products is notable. The study concludes that targeted policies, incentives, and education are essential for accelerating adoption, positioning green banking as a key driver of Albania's sustainable transition.

Keywords: Albania, Economic Development, Green Banking, Green Products, Sustainability

Authors' individual contribution: Conceptualization — A.H.; Methodology — A.H.; Investigation — A.H.; Resources — A.H.; Writing — Original Draft — A.H. and S.U.; Writing — Review & Editing — A.H. and S.U.; Supervision — S.U.; Funding Acquisition — A.H.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: F64, F65, Q01, Q56

Received: 27.01.2025
Revised: 05.06.2025; 28.08.2025; 27.10.2025
Accepted: 07.11.2025
Published online: 10.11.2025

How to cite this paper: Hallunovi, A., & Uku, S. (2025). The impact of green bank governance on sustainable economic development. Corporate Governance and Sustainability Review, 9(4), 33–44. https://doi.org/10.22495/cgsrv9i4p3

Corporate Governance and Sustainability Review - Virtus InterPress

Sustainability-driven determinants of SMEs' effectiveness: Evidence from the green transition in the Western Balkans

Determinants of sustainable tax management in information technology enterprises: A hybrid SEM-ANN approach

Evaluating the effects of corporate governance and CSR on firm value in an emerging market: Insights into information quality

Corporate social responsibility for business sustainability

The effect of sustainability reporting on bank risk-taking and sustainable growth rate

A quantitative analysis of the impact of sustainability ratings on earnings management in UK-listed companies

Sustainable strategic management and innovation in accounting education: Applying the technology acceptance model

From governance to performance: How sustainability strategy mediates corporate sustainability success

Board attributes, ESG practices, and firm performance and sustainability: A mediation approach

Valuation challenges and investor influence in sustainable health ventures

Strategic green accounting management promoting sustainable performance under institutional pressures

CEO duality, digital governance, and environmental, social, governance: Innovation-driven firm value in the digital era

Exploring sustainable tax policy in Türkiye: A qualitative analysis of corporate and public discourse in the energy sector

Seeking credibility in environmental, social, and governance reporting

Exploring the nexus between digital inclusive finance and sustainable economic growth in China: A systematic literature review (2014-2024)

Sustainability corporate governance: The role of audit committees on the board, gender diversity, and risk management

Contents

Editorial: Conditions of sustainable value — Governance and incentives in changing institutional and economic contexts

Financial knowledge, climate, and demographic resilience as key factors to financial inclusion and sustainable development

Integrating environmental, social, and governance principles into Saudi corporate governance: Legal pathways to economic sustainability

Management of determinants of sustainable tourism development in the function of creating added value: The case of EU member states

The impact of CEO succession and corporate governance on climate change disclosure

Exploring the multi-dimensional impacts of corporate social responsibility: The role of market competition as a moderator

Advancing corporate social responsibility by delaying high-carbon projects

Governing sustainable tourism: The mediating role of stakeholders' responsibility in tourism regulation and development

Leader-member exchange, job satisfaction, organizational commitment and sustainability, and innovation behavior

Do sustainability-driven improvements in ESG performance reduce financing costs? Evidence from Chinese A-share listed companies

The impact of carbon markets and climate policy uncertainty on financial and economic sustainability: Evidence from G7 countries

Developing a framework for sustainable regional development in the Western Balkans

The dual role of audit committees: Mitigating tax aggressiveness and enhancing corporate sustainability

Analyzing the origins and impact of greenhushing through a sustainable development lens

Impact of digital solutions on food waste diversion: Promoting sustainable practices and moderating role of attitudes among consumers

The applicability of IFRS S1 and S2 in sustainability reporting in the energy sector: The case of Türkiye

Does innovation strengthen the impact of sustainability on firm value?

Contents

Editorial: Governance, sustainability, and performance under scrutiny — Evidence, contingencies, and institutional credibility

Work stress, time budget pressure, and audit sustainable process and quality

Economic development with environmental protection and company sustainability

The role of fiscal sustainability and institutional credibility in public financial management as a factor of economic growth in Central and Eastern Europe

Impact of sustainability indicators disclosure based on GRI Standards in accounting sustainability reports on enhancing the company value

Integrated reporting quality, readability, and sustainable firm performance: The moderating role of board size in ASEAN

Financial technology, sustainable dimensions, and economic growth of the developing countries: Evidence from the Middle East countries

Financial resilience in the event center industry: Strategies for revenue diversification and financial sustainability

Sustainability reporting: Unfolding environmental, social, and governance practices in the banking sector

Earnings response coefficient and its association with firm size, leverage, and earnings persistence: Sustainability implications

Insight into technologically vigilant leadership: Smart sustainable circular supply chain management in the economic context of Industry 6.0

Earnings management and corporate governance in Africa: Sustainable development, challenges, and policy recommendations

Strategic collaboration and trust: A framework for enhancing sustainable supply chain performance

Leadership 5.0 and strategic agility: Tourism MSME strategy for sustainable competitiveness

The impact of green bank governance on sustainable economic development