This study examines whether differences in ESG performance improvement among local governments can be explained by empowered actorhood and performance feedback mechanisms. Using ESG performance evaluation data for local governments in 2023 and 2024 pr...
This study examines whether differences in ESG performance improvement among local governments can be explained by empowered actorhood and performance feedback mechanisms. Using ESG performance evaluation data for local governments in 2023 and 2024 provided by the Korea ESG Ratings, this study conducts an ordinary least squares(OLS) regression analysis. The results indicate that, from the perspective of institutional theory, higher levels of empowered actorhood among local governments are significantly associated with greater improvements in ESG performance. This finding suggests that local governments, when functioning as empowered actors, positively influence ESG performance by engaging in proactive decision-making aimed at ESG improvement. Moreover, the results demonstrate that local governments operate as empowered actors within their institutional environments. From the perspective of organizational learning theory, differences in ESG performance improvement are also observed depending on whether local governments achieve their social aspiration levels. Local governments that outperform their social aspiration levels tend to exhibit negative effects on subsequent ESG performance improvement, whereas those that fail to meet their aspiration levels show improvements in ESG performance. These findings indicate that a dual performance feedback mechanism—shaped by empowered actorhood and social aspiration levels—operates simultaneously in the process of ESG performance improvement among local governments, and they provide important theoretical and practical implications for sustainable public management and the design of ESG policies at the local government level.