Table 9

Mediation analysis between sustainability committee, sustainability-linked CEO compensation/stakeholder engagement/sustainability reporting quality and CSR performance

Panel A: Mediation analysis between CSR performance, sustainability-linked CEO compensation and sustainability committee
CSR_PERFt+1SUSTPAYtCSR_PERFt+1
Model (1)Model (2)Model (3)
SUSTCOMt-10.057***0.099***0.043***
(8.560)(8.950)(6.620)
SUSTPAYt0.142***
  (24.280)
Constant−0.209−1.094***−0.053
(–5.200)(–16.420)(−1.350)
Control variablesYesYesYes
Year fixed effectsYesYesYes
Industry fixed effectsYesYesYes
Observations10,08210,08210,082
R-squared0.2550.2390.296
Mediating effects (Bootstrap approach results):  
Indirect effect – SUSTCOM × SUSTPAY0.014*** 
z-statistic for indirect effect – SUSTCOM × SUSTPAY(8.399) 
Direct effect 0.043*** 
Total effect 0.057*** 
% of total mediated effect 24.63% 
Panel B: Mediation analysis between CSR performance, stakeholder engagement and sustainability committee
CSR_PERFt+1STAKEtCSR_PERFt+1
Model (1)Model (2)Model (3)
SUSTCOMt-10.057***0.165***0.033***
(8.560)(13.410)(5.130)
STAKEt0.144***
  (27.700)
Constant−0.209−1.560***0.036
(–5.200)(–20.990)(1.240)
Control variablesYesYesYes
Year fixed effectsYesYesYes
Industry fixed effectsYesYesYes
Observations10,08210,08210,082
R-squared0.2550.3450.307
Mediating effects (Bootstrap approach results):  
Indirect effect – SUSTCOM × STAKE0.024*** 
z-statistic for indirect effect – SUSTCOM × STAKE(12.070) 
Direct effect 0.033*** 
Total effect 0.057*** 
% of total mediated effect 41.73% 
Panel C: Mediation analysis between CSR performance, sustainability reporting quality and sustainability committee
CSR_PERFt+1SUSTQUALtCSR_PERFt+1
Model (1)Model (2)Model (3)
SUSTCOMt-10.057***0.152***0.031***
(8.560)(13.600)(4.830)
SUSTQUALt0.171***
  (29.970)
Constant−0.209−1.150***−0.012
(–5.200)(–17.120)(−0.300)
Control variablesYesYesYes
Year fixed effectsYesYesYes
Industry fixed effectsYesYesYes
Observations10,08210,08210,082
R-squared0.2550.2700.316
Mediating effects (Bootstrap approach results):  
Indirect effect – SUSTCOM × SUSTQUAL0.026*** 
z-statistic for indirect effect – SUSTCOM × SUSTQUAL(12.380) 
Direct effect 0.031*** 
Total effect 0.057*** 
% of total mediated effect 45.52% 

Note(s): This table shows the mediating role of sustainability-linked CEO compensation, stakeholder engagement and sustainability reporting quality in the association between the presence of a sustainability committee and CSR performance. Panel A shows the mediating role of sustainability-linked CEO compensation in the association between the presence of a sustainability committee and CSR performance. Panel B shows the mediating role of stakeholder engagement in the association between the presence of a sustainability committee and CSR performance. Panel C shows the mediating role of the sustainability reporting quality in the association between the presence of a sustainability committee and CSR performance. The numbers in parentheses are t-statistics. All variables are defined in  Appendix

***, ** and * represent statistical significance at the 1%, 5% and 10% levels, respectively

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