SIGNATURE WORK
CONFERENCE & EXHIBITION 2024

The consumer electronics industry is a popular industry for equity research. Such an industry covers a broad range of sectors, with different requirements of technology innovation, and different functions and positions in the supply chain. The ESG (Environmental, Social, and Governance) performance, as a concept that is related to substantial economy, does have a large impact on the consumer electronics industry. Therefore, it is crucial to study the relationship between the ESG performance of equities in the consumer electronics industry and the market performance of the industry. This study provides the analysis of three multiple linear regression models of sectors from upstream, midstream, and downstream of the supply chain. In detail, the response variable is CSI (Consumer Electronics Thematic Index) indicating the market performance of the industry and the independent variables are Wind ESG Scores of different sectors (also categorized by Wind) of the industry. The result shows that there is statistical significance of the ESG score of all the three categorized stages in the supply chain to the market performance of the whole industry, indicating that ESG is an important factor for companies’ operation.