Author(s)

Yuanyuan Liu ¹

Affiliation(s)

¹ College of Business, Xi'an International Studies University, Xi'an, 710128, Shaanxi, China

Corresponding Author

Yuanyuan Liu

ABSTRACT

Insufficient environmental protection investment by enterprises can lead to serious ecological and environmental problems. This not only negatively impacts the sustainable development capability of Chinese enterprises but also hinders the implementation of China's sustainable development strategies. This paper takes A-share listed companies in China's heavily polluting industries from 2010 to 2020 as the research subject and empirically tests the relationship between board faultlines and corporate environmental protection investment. The results indicate a significant negative correlation between board faultlines and corporate environmental protection investment. As the degree of board faultlines increases, the total environmental protection investment of enterprises continues to decline. The heterogeneity test results show that the inhibitory effect of board faultlines on corporate environmental protection investment is more significant in enterprises with low industry competition and high investor attention. The research conclusions of this paper provide a theoretical basis for the rational allocation of board members in enterprises and offers policy recommendations for clarifying regulatory priorities.

KEYWORDS

Board Faultlines, Corporate Environmental Protection Investment, Industry Competition Intensity, Investor Attention

CITE THIS PAPER

Yuanyuan Liu, A Study on the Impact of Board Faultlines on Corporate Environmental Protection Investment. Accounting and Corporate Management (2025) Vol. 7: 60-68. DOI: http://dx.doi.org/10.23977/acccm.2025.070108.

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