ESG Risk Assessment Tool for Indian Small and Medium Enterprises
摘要
Small and Medium Enterprises [SMEs] have been contributing 30.27 percent to the gross domestic product and 49% to exports of India. There have been many success stories of Indian SMEs that have become global entities. Business entities are increasingly becoming conscious about protecting the environment, addressing social factors, and adhering to governance (ESG). ESG score has an impact on SMEs’ financial performance, stock price movement, risk profile, and liquidity. Various financial and database service providers have been computing ESG scores based on the published data that quantify the ESG components. The current research aims to analyze ESG risks of listed Indian SME companies that will enhance the knowledge of ESG risks for all stakeholders. The objective of the research is to propose a web/mobile-based tool that can assess the impacts of ESG risks on the financial performance of Indian SMEs.