Duan, Y; Ye, M; Zhang, Q and Lu, S (2025) Informal institutional pressures and ESG implementation by international contractors: The moderating effects of joint ventures. Journal of Construction Engineering and Management, 151(10): 04025139, ISSN 0733-9364
Abstract
The implementation of environmental, social, and governance (ESG) strategies by international contractors is influenced by a wide range of institutional pressures, with informal pressures being particularly challenging to identify. This study examines the impacts of informal institutional pressures on ESG implementation by international contractors and investigates the moderating role of joint ventures in this relationship. Using data from questionnaires filled out by international contractors and analyzing them with multiple regression models, this study finds that informal internal pressures and external social pressures positively affect ESG implementation, while external market pressures exert a negative influence. Joint ventures enhance the positive association between informal internal pressures and ESG implementation. This study broadens the theoretical discourse of ESG studies by offering novel perspectives on informal institutions and incorporating them into the framework of driving forces of ESG implementation. The results offer international contractors valuable insights into the significance of recognizing the dynamic and complex informal institutions embedded in both their internal operations and external environments to strike a balance between maximizing profits and gaining legitimacy when implementing ESG strategies.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | environmental, social, and governance (ESG) implementation; informal institutional pressure; international contractors; joint venture |
| Index terms: | implementation, strategy, institutional pressure, legitimacy, governance, multiple regression model, profit, questionnaire, joint venture |
| Subjects: | economic analysis, sociology, business, statistical analysis, management, contractual arrangements, data collection methods |
| Topics: | Procurement, Research Practice, Organizational Design, Business Strategy, Governance |
| Descriptive scope: | 3 PCA |
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