The Relationship Between Marketing and ESG: Evidence on the Impact of Marketing Intensity on the Social Dimension

In today’s competitive business environment, firms increasingly integrate ESG (Environmental, Social, and Governance) principles into their marketing strategies to build reputation and gain stakeholder legitimacy. This study examines the impact of marketing intensity on firms' ESG social performance scores, conceptualizing marketing expenditures as a strategic signaling mechanism. Using data from Borsa Istanbul indices, the research employs a robust methodological framework including Multiple Linear Regression (OLS), lagged models to account for time-dependent effects, and Two-Stage Least Squares (2SLS) regression to address potential endogeneity. The empirical results demonstrate that an increase in marketing intensity has a statistically positive and significant impact on firms' social scores. This relationship remains robust when controlling for financial indicators such as profitability (ROA) and leverage, and it persists across various model specifications. The findings conclude that marketing intensity serves as a strategic antecedent that substantiates a firm’s social commitments, thereby strengthening corporate legitimacy and operational resilience. Consequently, marketing budgets should be managed as strategic investments for long-term value creation rather than mere tactical tools for short-term sales.