Ⅰ. Background and Objective of the Study
1. Background
o SMEs are crucial elements of economic and industrial competitiveness, as well as national and regional development.
ㅇ They play a significant role in various areas such as job creation and employment, and innovation; supply chain development; export diversification; regional development and social stability; and inclusive growth and poverty reduction.

o The expansion of corporate ESG disclosure
ㅇ With the rapid growth of sustainable finance, sustainable supply chain management, and the rise of consumption that emphasizes corporate sustainability, the need for ESG disclosure by SMEs is increasing.

2. Necessity and objective
o Necessity
ㅇ With the expansion of sustainable finance, such as ESG investment, large corporations are strengthening their preparations to respond to ESG disclosure and sustainability disclosure.
ㅇ As a result, the demand for sustainability information from SMEs is also increasing.

o Objective
ㅇ The purpose of this study is to select “ESG disclosure” as the most urgent task to maintain and enhance the competitiveness of SMEs in response to sustainable finance, sustainable supply chains, and sustainable consumption.
ㅇ This study proposes a support policy to facilitate ESG disclosure for SMEs to support their competitiveness.

Ⅱ. ESG Disclosures of SMEs
1. Concept
o Concept and scope
ㅇ The term “ESG disclosures” refers to the act of companies disclosing information related to ESG issues to the public.

o ESG disclosures and sustainability reporting
ㅇ “Sustainability disclosure” is a k