SOME ISSUES OF ESG SYSTEM DEVELOPMENT IN CHINA

Abstract

In the context of economic globalization, the global economy has transitioned from high growth rates to high-quality development. Following a sustainable development path is not only a macrotrend for national economic growth but also a necessary path to stable enterprise development. In the new era, the concept of sustainable enterprise development has gained deeper meaning. Fulfilling social responsibility requires companies to identify external risks, innovate in product production, and ensure sustainable management. Proper implementation of social responsibility contributes to improving corporate image, creating additional value, and fostering a virtuous cycle of sustainable development. Amid growing global attention to environmental protection and sustainable development, the ESG concept has attracted increasing attention. The development of the ESG concept in China, compared to European and American countries, is somewhat lagging behind, and its development is characterized by a pronounced dependence on political decisions. The advancement of the "double carbon target" (peak carbon emissions and carbon neutrality) has stimulated ESG to enter a phase of accelerated development. The content of the ESG concept is closely linked to China's high-quality development strategy. This conceptual resonance, coupled with consistent policy incentives in the country, has led to the formation of a unique ESG development trajectory. This dual model of "policy + market" drivers not only accelerates ESG development but also creates a new foundation for China's participation in global governance. Based on a critical analysis of the literature on ESG theory and the practical application of ESG in enterprises, this article deepens our understanding of this theory and discusses future research directions in ESG theory to promote its development and the implementation of ESG principles in corporate practice.