The impact of environmental, social, and governance (ESG) disclosure quality on firm performance through risk disclosure and corporate image: Empirical evidence from companies listed on the Stock Exchange of Thailand
Keywords:
ESG Disclosure, Risk Disclosure, Corporate Image, Firm PerformanceAbstract
This study examines the influence of ESG disclosure on firm performance (Tobin’s Q) through the mechanisms of risk disclosure and corporate image. Secondary data were collected from companies listed on the Stock Exchange of Thailand (SET). The sample comprised 414 companies, yielding 1,242 firm-year observations during 2022–2024. The data were analyzed using descriptive statistics, Pearson correlation, path analysis, and bootstrap testing of indirect effects via IBM SPSS AMOS. The findings reveal that ESG disclosure exerts differential influences on risk disclosure and corporate image: the governance dimension shows the most pronounced positive influence on risk disclosure, while the social dimension exhibits a positive influence on corporate image across all indicators and demonstrates the strongest overall effect. The environmental dimension has a significant positive influence on firm performance but shows no influence on risk disclosure, whereas risk disclosure negatively influences firm performance. Corporate image positively influences firm performance only through the corporate governance score dimension, and no significant indirect effect of ESG disclosure on firm performance was found through either risk disclosure or corporate image. The findings may be explained by the resource-based view, which suggests that each ESG dimension may create different levels of value for firms, while institutional theory suggests that the effects of ESG may vary across countries’ institutional contexts. The results offer practical implications for corporate disclosure policy formulation, investors’ firm valuation decisions, and regulatory policymaking.
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