Dorina Nicoara-Popescu

This study examines the associations between Environmental, Social, and Governance (ESG) practices and organizational performance in 283 European hospitals. Drawing on agency theory, stakeholder theory, and the resource‐based view, it analyses ESG indicators as accounting‐relevant information within the institutional context of European healthcare. Using 2021 ESG scores and 2023 accounting and operational outcomes from ORBIS, the study applies PLS‐SEM to examine operating cash flow, profitability (ROA/ROE), and operational efficiency. In the baseline PLS‐SEM model, aggregate ESG is positively associated with all three outcomes, but disaggregation reveals substantial heterogeneity. Governance is positively associated with each outcome, social practices are negatively associated with profitability and operational efficiency, and environmental practices show no significant associations. The study contributes by showing that aggregate ESG scores can obscure pillar‐specific mechanisms and theoretically expected time horizons. In European healthcare, governance displays more direct accounting relevance, whereas the potential benefits of social and environmental practices may be indirect, non‐financial, or deferred.

This study examines whether environmental and governance (E&G) practices enhance or constrain performance in small European restaurants, a sector that is increasingly exposed to sustainability demands yet remains underrepresented in recent ESG research. While prior studies on large and listed firms typically report positive sustainability–performance links, evidence for micro and family-owned restaurants remains scarce. This research gap is particularly critical because these small businesses are most likely to be significantly affected by emerging regulatory frameworks, such as the EU’s CSRD, given their limited resources and narrow margins. Addressing this gap, we assess whether E&G practices operate as strategic resources or instead generate short-term financial trade-offs in resource-constrained settings. Using data from 1,390 small restaurants and applying partial least squares structural equation modelling (PLS-SEM), we evaluate the effects of E&G practices on operational efficiency, profitability, and productivity. Results reveal significant negative associations across all outcomes, indicating that E&G adoption may increase operational and financial pressures without producing immediate improvements. The study contributes to the hospitality and SME sustainability literature in three ways. First, it provides sector-specific evidence on how E&G practices shape firm outcomes in small restaurants. Second, it clarifies the short-run tensions SMEs face when implementing sustainability initiatives amid emerging regulatory expectations. Third, it advances an approach for measuring observable E&G practices in micro-enterprises, addressing persistent challenges in sustainability–SME assessment. Overall, the findings question assumptions of uniformly positive sustainability effects and underscore the need for context-sensitive sustainability policies and managerial strategies in the hospitality sector.

Purpose: Micro, small and medium-sized enterprises (MSMEs) digital adoption exhibits significant disparities across nations. We extend beyond traditional approaches by examining both the separate and combined effects of institutional settings and society's risk aversion on digital transformation. We focus on uncertainty avoidance (UA), as it captures societal attitudes toward risk and change, being aspects inherently linked to digital transformation processes. Design/methodology/approach: Using data from 17,498 Ibero-American MSMEs, our results reveal that favorable institutional environments positively influence digital transformation, while high UA hinders it. Findings: Additionally, we find a significant moderating effect: as UA increases, the positive impact of institutional quality on digital adoption diminishes. Originality/value: These findings suggest societal attitudes toward uncertainty and risk can override institutional support for digital transformation, even in strong institutional frameworks.