The Moderating Effect of Family Ownership Structure on the Relationship Between ESG Performance and Firm Value of Sustainable Listed Firms in Thailand
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Abstract
This study aims to examine the correlation between Environmental, Social, and Governance (ESG) performance and firm value, specifically highlighting the moderating influence of family ownership among sustainable enterprises included in the SET 100 index of the Stock Exchange of Thailand (SET). These companies were classified under the Thai Sustainable Investment (THSI) stock category on November 6, 2023. The sample comprises 117 businesses for the period from 2019 to 2022.
The results demonstrate a statistically significant positive correlation between ESG performance and firm value. Family ownership significantly moderates this relationship, exerting a negative impact on firm value. This research contributes to the existing literature on ESG performance by clarifying the complex relationships between sustainability practices, family ownership, and firm value, thereby deepening our understanding within the frameworks of stakeholder theory and agency theory.
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