Exploring the ESG impact in corporate venture capital

Abstract

This dissertation examines the nexus between Corporate Venture Capital (CVC) and Environmental, Social, and Governance (ESG) performance, while also exploring the impact of CVC investments on firm performance with a specific emphasis on the moderating role of ESG. It reveals the strategic significance of CVC in modern corporate innovation, emphasizing its evolution from traditional venture capital towards a key component in open innovation and sustainable business strategies. Through empirical analysis, the research highlights a significant positive causality between CVC investments and ESG scores, particularly in the social dimension of ESG, suggesting a strategic alignment of CVC with broader ESG objectives. Additionally, it investigates how integrating ESG considerations into CVC strategies impacts firm performance, underscoring the growing importance of sustainable and responsible business practices in corporate finance. This comprehensive study provides valuable insights into the role of CVC in enhancing ESG performance and shaping corporate growth strategies in today's evolving business landscape.