The Effect of Corporate Social Performance on Firm Financial Performance: The Moderating Effect of Ownership Concentration

2021 ◽  
pp. 27-40
Author(s):  
N. L. Harmer ◽  
P. M. D. S. Pathiraja ◽  
W. A. N. Priyadarshanie
Keyword(s):  
Financial Performance ◽  
Corporate Social Performance ◽  
Social Performance ◽  
Moderating Effect ◽  
Ownership Concentration ◽  
Firm Financial Performance ◽  
Corporate Social

scholarly journals The influence of social disclosure on the relationship between Corporate Financial Performance and Corporate Social Performance*

2018 ◽  
Vol 29 (77) ◽  
pp. 229-245 ◽  
Author(s):  
Editinete André da Rocha Garcia ◽  
José Milton de Sousa-Filho ◽  
João Maurício Gama Boaventura
Keyword(s):  
Financial Performance ◽  
Fixed Effects ◽  
Corporate Social Performance ◽  
Social Performance ◽  
Multiple Linear Regression Model ◽  
Moderating Effect ◽  
Corporate Financial Performance ◽  
Community Stakeholders ◽  
Corporate Social ◽  
The Relationship

ABSTRACT This study’s general objective is to investigate the moderating effect of Corporate Social Performance Disclosure (D-CSP) on the relationship between Corporate Social Performance (CSP) and Corporate Financial Performance (CFP). Based on this objective, the study presented a model in which D-CSP acts as a moderator in relation to primary stakeholders (employees, community, and suppliers). D-CSP is a mechanism through which the various social aspects involved in discretionary policies, actions, and activities identified in the management for stakeholders process can be evaluated. A sample of 1,147 companies belonging to 10 different sectors and five continents was used to test the model. Data were collected from the Bloomberg database, totaling 5,735 observations, from 2010 to 2014. The relationship was tested using the multiple linear regression model involving panel data with fixed effects, and the Newey-West robust standard errors correction. Three constructs, D-CSP, CSP, and CFP, were used to perform the tests. As a CSP measure, the CSP of the employee, supplier, and community stakeholders was used. As a D-CSP measure, the CSP disclosure scores available from the database were used, and return on assets (ROA) was used as a CFP measure. The tests carried out indicated the existence of a positive moderating effect of disclosure on the relationship between the CSP of primary stakeholders and CFP. Besides presenting a positive CSP in relation to the primary stakeholders the results enable it to be inferred that these results need to be disclosed, thus contributing to higher corporate financial performance.

scholarly journals Corporate Social Practices and Firm Financial Performance: Empirical Evidence from France

2021 ◽  
Vol 9 (4) ◽  
pp. 54
Author(s):  
Sonia Boukattaya ◽  
Abdelwahed Omri
Keyword(s):  
Financial Performance ◽  
Corporate Social Performance ◽  
Social Performance ◽  
Social Practices ◽  
Var Model ◽  
Vector Autoregressive ◽  
Financial Firms ◽  
Firm Financial Performance ◽  
Corporate Social Irresponsibility ◽  
Corporate Social

The present work aimed to examine the association between Corporate Social performance (CSP) and corporate financial performance (CFP) taking into account corporate social irresponsibility. Here, we used a sample of French non-financial firms listed on SBF 120 between 2011 and 2016. Our findings provided evidence that corporate social responsibility (CSR) and corporate social irresponsibility (CSI) exert opposite effects on the CFP. Using an estimation of the vector autoregressive (VAR) model for panel data, we showed that the CSI has a greater and more lasting impact on CFP than CSR.

Corporate governance, corporate social responsibility and corporate performance

2010 ◽  
Vol 16 (5) ◽  
pp. 641-655 ◽  
Author(s):  
Chi-Jui Huang
Keyword(s):  
Corporate Governance ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Corporate Social Performance ◽  
Positive Impact ◽  
Social Performance ◽  
Outside Directors ◽  
Asian Economy ◽  
Corporate Social

AbstractPrevious research has analyzed and debated corporate governance (CG) and corporate social responsibility (CSR) independently. This paper aims to empirically explore the interrelationship between CG, CSR, financial performance (FP) and Corporate Social Performance (CSP) using a sample of 297 electronics companies operating in Taiwan, a newly industrialized Asian economy. The results show that a CG model which includes independent outside directors and which has specific ownership characteristics has a significantly positive impact on both FP and CSP, whereas FP itself does not influence CSP. The presence of independent outside directors in the firm has the greatest impact on the social performance of the firm's worker, customer, supplier, community and society dimensions. Government shareholders enhance a firm's social performance extraordinarily because government shareholders will be more likely to request that companies fulfill their social responsibilities. Only government shareholders positively and significantly relate to a firm's environmental performance. Furthermore, foreign institutional stockholders help to increase worker and supplier performance by paying more attention to employee policies and supply chain relationships. Finally, independent outside directors, foreign institutional stockholders and domestic financial institutional stockholders are shown to improve financial performance.

scholarly journals Analisis CSR Dan Kinerja Keuangan Studi Empiris Pada Perusahaan Yang Terdaftar Pada Indeks Sri Kehati

2012 ◽  
Vol 5 (2) ◽  
Author(s):  
Farah Margaretha
Keyword(s):  
Financial Performance ◽  
Partial Correlation ◽  
Corporate Social Performance ◽  
Stock Exchange ◽  
Social Performance ◽  
Sample Population ◽  
Significant Relation ◽  
Managerial Implications ◽  
The Difference ◽  
Corporate Social

The objectives of this study are to analyze the difference and correlation between the corporate social performance  and the corporate financial performance Companies in Indonesia,  The sample population of this study is company listed in Indonesian Stock Exchange. sampling was used in this study, are 23 companies in SRI KEHATI Index  The CSR score is measured by content analysis of corporate annual report . The data is tested by using partial correlation test to know the correlation between the corporate social performance and financial performance.  The results of this study show that there no significant relation between financial performance at (t) year and CSR  but found significant at tht (t+1) year. Managerial implications from this research will hopefully provide a new discourse  for investor in considering the aspects that need to be taken into investments that are not to monetary measurements. this research hopes management company can provide the input on the importance of corporate social responsibility in terms of the overall strategic management to improve the company's financial and social performance and raise awareness of companies to conduct CSR activities.

scholarly journals Corporate Social Responsibility and Financial Performance: The Moderating Role of Ownership Concentration in Turkey

2019 ◽  
Vol 11 (13) ◽  
pp. 3643 ◽  
Author(s):  
Elif Akben-Selcuk
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Ownership Concentration ◽  
Firm Financial Performance ◽  
Variable Approach ◽  
Corporate Social ◽  
The Impact ◽  
Moderating Role

The objective of this study is to investigate the impact of corporate social responsibility (CSR) engagement on firm financial performance in a developing country, Turkey, and to analyze the moderating role of ownership concentration in the CSR–financial performance relationship. The sample consists of non-financial public firms listed on the Borsa Istanbul (BIST)-100 index and covers the period between 2014 and 2018. Empirical results using an instrumental variable approach show that corporate social responsibility has a positive relationship with financial performance. Furthermore, findings indicate that this relationship is negatively moderated by ownership concentration even when endogeneity is controlled for.

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