THEORIES OF THE INFLUENCE OF ESG FACTORS ON THE ACTIVITIES OF PUBLIC COMPANIES: THE POSSIBILITY OF APPLICATION IN MODERN PRACTICE
Rubrics: MANAGEMENT
Abstract and keywords
Abstract:
This article presents a study focused on examining how environmental, social, and corporate governance (ESG) factors influence the performance of public joint-stock companies within the current economic environment. The main objective is to consolidate and structure the core theoretical models that explain how commitment to sustainability principles correlates with financial results. The analysis investigates how each model reveals the reasons why companies decide to disclose ESG performance metrics and how they approach risk management. In the concluding section, the authors offer specific recommendations for improving ESG disclosure and the practical implementation of sustainable approaches, emphasizing the need for reporting standardization and data verification to enhance long-term financial stability and competitiveness. It is demonstrated that the success of domestic organizations depends on shifting the focus from formal compliance (minimizing the risk of fines) to strategic integration (maximizing long-term value). Failure to account for this factor will lead to a loss of investor confidence, which directly contradicts ESG principles.

Keywords:
ESG factors; public companies; sustainable development; corporate strategy; risk management; environmental factors; social factors; management factors
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References

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