Purpose : This study aims to investigate the factors influencing firm-level decision-makers’ trust in ESG (Environmental, Social, and Governance) within the context of international trade. It focuses on how perceived importance of ESG and the intern...
Purpose : This study aims to investigate the factors influencing firm-level decision-makers’ trust in ESG (Environmental, Social, and Governance) within the context of international trade. It focuses on how perceived importance of ESG and the internal and external motivations of business leaders affect their valuation of ESG and the development of trust in ESG-oriented enterprises.
Research design, data, methodology : Utilizing data from the 2023 ESG Consumer Perception Survey conducted by the Korea Consumer Agency, this study analyzed responses from 337 self-identified business owners and managers. A structural equation modeling (SEM) approach was employed, grounded in stakeholder theory, neo-institutional theory, and the theory of planned behavior.
Results : The analysis shows that internal motivation has a stronger impact than external motivation on firm-level decision-makers’ perception of ESG value and trust in ESG-oriented firms. Among ESG components, environmental awareness significantly influences both internal and external motivation, while the influence of social responsibility and governance factors is relatively weaker.
Conclusions : The findings suggest that for ESG practices to be internalized as a core business strategy, fostering internal motivation among decision-makers is essential. It is also important to build a supportive business environment and institutional framework that encourages voluntary ESG engagement. Policy makers should shift beyond regulatory compliance to develop systems that reinforce intrinsic motivations for sustainable and trustworthy ESG adoption.