What question did this study set out to answer?

The research aims to explore the relationship between financial performance, company size, and ESG risk scores in the hospitality sector.

Financial Strength meets Sustainability: how Profitability and Company size elevate ESG Ratings in the Hospitality Industry

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Analysis examines financial performance and company size effects on ESG risk in hospitality, suggesting investment insights.

The research aims to explore the relationship between financial performance, company size, and ESG risk scores in the hospitality sector.
Analyzed ESG risk scores from Sustainalytics for 63 publicly listed hospitality companies.
Examined the correlation between financial indicators and ESG risk scores.
Employed Ordinary Least Squares (OLS) regression to identify key financial metrics associated with ESG risk.
Found a strong negative correlation between ESG risk and market capitalisation, indicating larger firms report lower ESG risk.
Revealed that the relationship between profitability ratios and ESG risk is more complex than initially expected.
Identified specific financial metrics that investors should consider for lower ESG risk in the hospitality industry.

Bogdan et al. (2025) studied this question.

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