Thesis title: Green Finance for the Bioeconomy: Bridging the Gap between ESG Rating Divergences, Behavioural Biases and Communication
The present academic study focuses on the analysis of three key factors influencing sustainable investment decisions: the divergence between ESG (Environmental, Social and Governance) ratings, the impact of cognitive biases in sustainable investment decisions, and the role of strategic communication in making information clearer and more accessible, promoting transparency and trust among stakeholders. The thesis is organised into five chapters, integrating different methods and perspectives (from literature review to experimental approach to the analysis of digital communication strategies).
The first chapter provides a general introduction to the topic, clarifying the growing relevance of sustainable investments in a global context characterised by novel climate, social, and economic challenges. The thesis's main objectives are outlined as follows: firstly, to analyse the causes of the ESG assessments' fragmentation; secondly, to understand the role of cognitive biases in the promotion and hindrance of sustainable investment choices; and thirdly, to assess the importance of communication strategies in promoting greater transparency in the markets.
The second chapter explores the issue of divergence between ESG ratings, i.e. the discrepancy between the ratings provided by different rating agencies. A systematic literature review (PRISMA) and bibliometric analysis were conducted to highlight the main research trends, revealing that differences in methodologies, weighting criteria and data sources can lead to extremely heterogeneous scores for the same company, generating confusion and mistrust among investors. The chapter also illustrates several proposals for standardisation and harmonisation of metrics, to reduce information asymmetries and improve the quality of ESG data. Finally, it emphasises the significance of methodological transparency and collaboration between regulatory entities, rating agencies, and companies, to establish a clear and shared framework that can support sustainable investment decisions.
The third chapter of this study examines the impact of cognitive biases on sustainable investment decisions, with a particular focus on information avoidance and selective exposure mechanisms. A stated choice experiment (SCE) was conducted, involving 136 participants, and five treatments were implemented, varying in terms of the cost of access and the reliability of the information provided. The experimental results indicate that in conditions of high uncertainty or cost, “selfish” behaviour (i.e. behaviour oriented towards maximising returns without adequately considering sustainability aspects) occurs more frequently. This phenomenon is also characterised by a reduced propensity to seek available sustainability information. The chapter emphasises the importance of policies aimed at reducing information barriers (e.g. by enhancing the clarity and accessibility of ESG data) and minimising information acquisition costs, to promote more informed investment decisions that align with sustainability principles.
The fourth chapter of this study focuses on the communication strategies adopted by companies to enhance their sustainable commitment. This study examines the use of LinkedIn by seven bioplastics companies to promote sustainability and build a credible reputation. The research is based on a manual collection and analysis of posts published over ten months, with a subsequent classification into thematic categories and an evaluation of the level of engagement (likes, comments and shares). The analysis produced a series of useful indications to help understand which types of content are most effective in engaging stakeholders and consolidating the companies' "green" reputation. It is also highlighted that a corporate narrative must be based on verifiable and consistent data to prevent greenwashing and promote trust among investors and other stakeholders.
The fifth chapter is a general conclusion in which the theoretical and practical implications that emerged are summarised. It highlights the need for effective coordination and regulation for the convergence of ESG ratings, emphasising the importance of an in-depth understanding of cognitive mechanisms to design interventions that favour sustainable choices. Furthermore, it emphasises the crucial role of strategic communication in improving the accessibility, clarity and reliability of ESG information. In conclusion, the thesis aims to provide useful insights for investors, companies and policymakers, to enhance the effectiveness and credibility of sustainable investment.