ESG Performance of Multinational Companies and Stock Price Crash: Evidence from Korea

Our research focuses on the relationship between ESG performance of South Korean multinational companies and stock price crash in next year. For our study, we divide samples into three different categories - namely, all companies, (MNC) non-multinational companies(non-MNC). major findings are as following. First, find negative social (S) score future crash, indicating that their prevents risk. Second, when individual is considered, there exists environmental (E) score, for companies. Lastly, which due to high MNCs, which, turn, raise each respective has correlation with scores. In this research, focusing features identify mitigating effect factor MNC, consistence previous researches.