ESG controversies and corporate governance: Evidence from board size

Sirimon Treepongkaruna, Khine Kyaw, Pornsit Jiraporn

Research output: Contribution to journalArticlepeer-review

1 Scopus citations


We show the influence the size of a corporate board has on firms' ESG controversies. Our analysis suggests that businesses with larger boards are more effective in mitigating ESG controversies. Specifically, a rise in board size by one standard deviation results in a decline in ESG controversies by 4.30%. Our findings corroborate the anticipation that businesses need the board's advice to prevent ESG controversies. Thus, larger boards, with more human capital and more interactions with stakeholders, promote sustainability more effectively. Moreover, we find that the effect of board size is less pronounced during a stressful time but is more evident in companies with more agency problems. Further analysis validates the findings, that is, propensity score matching, entropy balancing, an instrumental-variable analysis, and GMM dynamic panel data analysis.

Original languageEnglish (US)
JournalBusiness Strategy and the Environment
StateAccepted/In press - 2024

All Science Journal Classification (ASJC) codes

  • Business and International Management
  • Geography, Planning and Development
  • Strategy and Management
  • Management, Monitoring, Policy and Law

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