Competitive Intelligence as a Governance Capability: Linking Employee Ownership and ESG Performance in Chinese Firms
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Keywords

Employee ownership
ESG results
Competitive intelligence
Corporate governance
China
Sustainability strategy

How to Cite

Zhenyang Zhang, & Jinghui He. (2026). Competitive Intelligence as a Governance Capability: Linking Employee Ownership and ESG Performance in Chinese Firms. Journal of Sustainable Competitive Intelligence , 16, e0619. https://doi.org/10.37497/eagleSustainable.v16i.619

Abstract

Purpose: This study analyzes how employee ownership influences Environmental, Social, and Governance (ESG) performance in China and examines the role of Competitive Intelligence (CI) as a strategic governance capability aligning ownership incentives with sustainability outcomes. A comparative governance perspective is adopted to explore differences among employee-owned, state-influenced, and traditionally governed firms within the Chinese institutional context.

Methodology/approach: The research employs a qualitative, conceptual design grounded in an integrative governance framework. A systematic review of interdisciplinary literature on employee ownership, ESG performance, corporate governance, and competitive intelligence was conducted using major academic databases. Comparative institutional reasoning contextualizes ownership-based governance mechanisms within China’s regulatory, socio-political, and market environment.

Originality/Relevance: While prior studies have examined ESG and ownership structures separately, limited attention has been given to CI as a governance capability moderating the relationship between employee ownership and ESG outcomes, particularly in emerging economies. This study conceptualizes CI as a dynamic governance mechanism enhancing information transparency, stakeholder alignment, and sustainability-oriented decision-making.

Key findings: The theoretical synthesis indicates that employee ownership strengthens ESG performance when supported by structured CI systems. CI operates as a governance-processing capability that converts ownership incentives into informed sustainability decisions. Variations in governance configurations explain differences in ESG outcomes across ownership types in China.

Theoretical/methodological contributions: The study advances literature by integrating employee ownership, ESG, and CI within a comparative governance framework and positions CI as a dynamic governance capability, providing a foundation for future empirical research.

https://doi.org/10.37497/eagleSustainable.v16i.619
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