A pathway towards corporate sustainability: Does media attention matter?

Examining informal institutional drivers of corporate sustainability is crucial. This study employs a sample of A-share listed firms in China from 2007 to 2020 to empirically examine the relationship between media coverage and ESG performance. It is demonstrated that media attention enhances corporate accountability, especially the print media and positive attention. And environmental investments and green innovation are the main mechanisms. It also reveals that media attention has a greater impact on larger firms, those with better internal controls, firms located in the eastern region, and manufacturing firms. Our findings help deepen the understanding of media's role in corporate development and highlight how informal institutions can promote sustainable economic growth in developing countries.