Variables definition and measurement
| Variable | Definition |
|---|---|
| ESG performance | A measure of the firm's environmental, social and governance practices and outcomes |
| Age | Number of years since establishment, serving as a proxy for experience and stability |
| Family control | Binary indicator coded 1 if the firm is classified as family-controlled; 0 otherwise |
| Board size | Total number of directors on the board |
| Female directors | Total number of female directors |
| Assets | Total assets, representing firm size |
| Liabilities | Total liabilities, representing the firm’s financial obligations and leverage |
| Liquidity | The firm's capacity to meet short-term obligations, typically measured by the current ratio |
| Variable | Definition |
|---|---|
| ESG performance | A measure of the firm's environmental, social and governance practices and outcomes |
| Age | Number of years since establishment, serving as a proxy for experience and stability |
| Family control | Binary indicator coded 1 if the firm is classified as family-controlled; 0 otherwise |
| Board size | Total number of directors on the board |
| Female directors | Total number of female directors |
| Assets | Total assets, representing firm size |
| Liabilities | Total liabilities, representing the firm’s financial obligations and leverage |
| Liquidity | The firm's capacity to meet short-term obligations, typically measured by the current ratio |