Tutorial question ESG by Ali et al. (2022)

Ali, Rahim, Yahya, and Kamarudin (2022) investigated the determinants of SP efficiency (internally and externally), based on Institutional Theory. They found firms SP efficiency is significantly influenced by firms pure technical inefficiency in directing their financial returns toward ESG contribution.

Adopted and adapted from the semester reading list: Ali, M.F., Rahim, N.A., Yahya, M.H. & Kamarudin, F. (2022). Determinants of Social Performance Efficiency of ESG and Non-ESG Firms: Evidence from Southeast Asian. Management and Accounting Review, 21(2), 129-165.

You are required to:

(a) Evaluate arguments made by the authors by suggesting at least two (2) relevant theories EXCEPT the institutional theory used by the above authors.

(b) Interpret and justify the findings of Table 8 (p.149); i.e. those models, positive or negative significant results