Green Finance and Its Impact Towards the Capital Market With Approach Dramaturgy

Frivaldo YesbaRianus P; Mifta Aulia Mustafa; Syarifuddin Rasyid; Darmawati Darmawati

doi:10.55227/ijhess.v5i1.1770

Authors

Frivaldo YesbaRianus P UNIVERSITAS HASANUDDIN
Mifta Aulia Mustafa Accounting / Economics and Business, Hasanuddin University
Syarifuddin Rasyid Accounting / Economics and Business, Hasanuddin University
Darmawati Darmawati Accounting / Economics and Business, Hasanuddin University

DOI:

https://doi.org/10.55227/ijhess.v5i1.1770

Abstract

Green finance plays a strategic role in promoting sustainability practices in the capital market. This study uses Erving Goffman's dramaturgical approach to analyze how companies, specifically PT Unilever Indonesia, construct a sustainability image on the front stage through sustainability reports, green bond issuances, and public communication strategies, while facing real challenges on the back stage, such as cost efficiency and profitability demands. This study reveals that although green finance conceptually supports the Sustainable Development Goals (SDGs), its implementation in the Indonesian capital market still faces obstacles such as information asymmetry, the dominance of short-term considerations, and the need for convincing performative displays. The research method used is an interpretive qualitative approach with dramaturgical analysis. This exploratory study aims to uncover the meaning and branding strategies employed by companies in the context of green finance, and their impact on investor perceptions in the capital market. The analysis focuses on the narratives, symbols, behaviors, and self-presentation strategies used by companies to demonstrate their sustainability commitments, while also understanding the dynamics between public image and internal reality. The results show that the success of green finance depends heavily on the balance between public image and the actual integration of sustainability practices into a company's business strategy. Companies that consistently implement Environmental, Social, and Governance (ESG) principles are able to increase investor confidence, market value, and long-term competitiveness.

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