Positive Press, Greener Progress: The Role of ESG Media Reputation in Corporate Energy Innovation

Tan, Weijie; Hengzhou Yan, Edward; Haviour Chen, Xihui

Abstract

While the role of media in monitoring corporate Environmental, Social, and Governance (ESG) practices is increasingly prominent, limited research focuses on the sustainable impact of corporate ESG reputation from an energy strategy perspective in the media context. To address this critical research gap, this study utilizes news report data from Baidu News and patent text data of Chinese A-share listed companies (2012–2022), applying machine learning and text analysis methods to construct indicators for ESG news sentiment and corporate energy innovation (CEI). Drawing on reputation theory, the study finds that positive ESG sentiment conveyed by media significantly enhances CEI, primarily by alleviating financing constraints and fostering awareness of green business practices. Heterogeneity analysis reveals that the positive impact of ESG news sentiment on CEI is more pronounced in high-energy-consuming firms and in regions with better green finance development and stronger ESG governance. The content and attention of ESG news also exhibit distinct heterogeneity, particularly in the environmental and social dimensions. The findings underscore the importance of integrating media-driven ESG monitoring mechanisms into energy strategies to promote corporate long-term sustainable development.

Citation

Tan, W., Hengzhou Yan, E., & Haviour Chen, X. (in press). Positive Press, Greener Progress: The Role of ESG Media Reputation in Corporate Energy Innovation. Sustainable Development, 1-23. https://doi.org/10.1002/sd.3399

• Journal Article Type: Article
• Acceptance Date: Feb 10, 2025
• Online Publication Date: Feb 22, 2025
• Deposit Date: Mar 11, 2025
• Publicly Available Date: Mar 13, 2025
• Journal: Sustainable Development
• Print ISSN: 0968-0802
• Electronic ISSN: 1099-1719
• Publisher: Wiley
• Peer Reviewed: Peer Reviewed
• Pages: 1-23
• DOI: https://doi.org/10.1002/sd.3399
• Keywords: corporate energy innovation, ESG news sentiment, machine learning , reputation theory, sustainable development
• Public URL: https://keele-repository.worktribe.com/output/1081035
• Publisher URL: https://onlinelibrary.wiley.com/doi/10.1002/sd.3399