Impact of internationalization on the financial risk of companies listed on B3: analysis of the moderating effects of ESG performance and periods of crisis

Authors

DOI:

https://doi.org/10.14392/asaa.2023160204

Keywords:

International expansion, Financial risk, ESG performance, Crisis periods

Abstract

Objective: Analyze the relationship between international expansion and financial risk of publicly traded non-financial Brazilian companies, considering the moderating effects of ESG performance and periods of crisis.

Method: Brazilian non-financial companies listed on B3 were used as a sample from 2010 to 2020. Multiple linear regressions were performed with fixed or random effects and panel data, and corporate and macroeconomic variables controlled the results.

Results: Companies with more international expansion tend to present a higher total risk but lower systematic risk. It was also found that ESG performance negatively moderates the relationship between international expansion and financial risk. Furthermore, more internationalized companies with higher ESG performance tend to reduce their total risk in times of crisis. Thus, although internationalization can increase financial risk, ESG performance can be used to mitigate it, especially in times of crisis.

Contributions: The study contributes to the theory by indicating that international expansion is distinctly related to total and systematic risks in the context of Brazilian companies. Furthermore, research indicates that ESG performance and periods of crisis have a moderating effect on the relationship between internationalization and financial risk. It also has practical implications, as it can help managers whose companies are in the process of internationalization to use ESG performance as a strategy to mitigate the financial risk of these companies, especially in times of crisis.

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Author Biographies

Arthur Antonio Silva Rosa, Universidade Federal de Uberlândia (UFU)

Doutorando em Administração, com ênfase em Finanças, pelo Programa de Pós-graduação em Administração (PPGAdm) da Faculdade de Gestão e Negócios (FAGEN) da Universidade Federal de Uberlândia (UFU). Mestre em Administração, com ênfase em Finanças (PPGAdm/FAGEN/UFU). Graduado em Administração (FAGEN/UFU). Possui interesse de pesquisas nas temáticas relacionadas à Finanças Corporativas e Mercado de Capitais.

Kárem Cristina de Sousa Ribeiro, Universidade Federal de Uberlândia (UFU)

Sua trajetória acadêmico-profissional na Universidade Federal de Uberlândia (UFU) iniciou-se em 1985, como estudante, e como servidora técnica administrativa, em 1986. Tornou-se docente na Instituição em 1992 e, em 2017, foi promovida a professora Titular. Graduada em Administração pela Universidade Federal de Uberlândia (1985), Mestra em Administração (1996), Doutora em Administração (2001) e fez estágio pós-doutoral (2006) pela Universidade de São Paulo (FEA/USP). Em Administração é especialista em Gestão Organizacional, Planejamento Estratégico, Governança Corporativa, Gestão Econômica e Financeira, Mercado de Capitais e outras áreas. Ocupou os seguintes cargos administrativos na UFU: coordenadora de departamento, coordenadora de diversos programas de pós-graduação lato sensu, coordenadora de programa de pós-graduação stricto sensu, diretora da Faculdade de Gestão e Negócios (FAGEN). Participou de diversos órgãos da Universidade, tais como, membro e Vice-Presidente do Conselho Fiscal da Fundação de Assistência, Estudo e Pesquisa de Uberlândia (FAEPU), Membro do Conselho Curador da Rádio e TV Universitária (RTU), Membro do Comitê Gestor de Tecnologia da Informação (CGTI) e outros. Atualmente, desde o final de janeiro de 2021, ocupa o cargo de pró reitora de graduação da UFU. Foi fundadora de diversos cursos de pós-graduação lato sensu e uma das fundadoras da pós-graduação stricto sensu da FAGEN/UFU. Além das atividades de ensino nos cursos de graduação e nos cursos de pós graduação Lato Sensu, é professora permanente do Programa de Pós-Graduação em Administração (PPGA), nos cursos de mestrado e doutorado, e do Programa de Pós-Graduação em Gestão Organizacional (PPGGO), mestrado profissional. Recebeu vários prêmios e títulos nacionais e internacionais. Possui mais de 80 artigos publicados em periódicos, vários capítulos de livros, mais de 180 artigos publicados em congressos, mais de 50 trabalhos apresentados, mais de 210 trabalhos técnicos realizados. Participou de mais de 120 bancas de mestrado e doutorado. Orientou centenas de trabalhos de conclusão de cursos de graduação e de especialização, várias dissertações de mestrado e teses de doutorado. Participou de mais de 50 bancas de concursos públicos, sendo várias delas como presidente. Desenvolve diversos projetos de ensino, pesquisa, extensão e inovação. Participa como membro do conselho editorial de periódicos nacionais e internacionais e, atualmente, é membro do comitê científico da ANPAD (Associação Nacional de Pós-Graduação em Administração). Atuou como coordenadora do Núcleo de Pesquisa Ciência e Inovação (CNPQ), pesquisadora do Grupo de Pesquisa cadastrado no CNPQ: Gestão e Governança em Saúde. Desenvolve projeto de pesquisa para a Agência Nacional de Energia Elétrica (ANEEL). Desenvolveu projetos de pesquisa para a CEPAL (Comissão Econômica para a América Latina e Caribe), em conjunto com a ONU (Organização das Nações Unidas), a OCDE (Organização para a Cooperação e Desenvolvimento Econômico), o BID (Banco Interamericano de Desenvolvimento) e o CAF (Banco de Desenvolvimento da América Latina). É coordenadora do Núcleo de Pesquisa em Finanças (CNPQ).

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Published

2023-08-31

How to Cite

Rosa, A. A. S., & Ribeiro, K. C. de S. (2023). Impact of internationalization on the financial risk of companies listed on B3: analysis of the moderating effects of ESG performance and periods of crisis. Advances in Scientific and Applied Accounting, 16(2), 101–115/116. https://doi.org/10.14392/asaa.2023160204

Issue

v. 16, n. 2 May-Ago (2023)

Section

ARTICLES

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Copyright (c) 2023 Arthur Antonio Silva Rosa, Kárem Cristina de Sousa Ribeiro

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