scholarly journals DOES CORPORATE SOCIAL RESPONSIBILITY ENHANCE RETURN ON ASSETS? EVIDENCE FROM MANUFACTURING FIRM IN NIGERIA

2016 ◽  
Vol 10 (2) ◽  
pp. 2058-2059
Author(s):  
Nwankwo Carol ◽  
Onyeka Virginia Nnenna ◽  
Chukwuani Victoria Nnenna
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Empirical Research ◽  
Economic Performance ◽  
Return On Assets ◽  
Manufacturing Firm ◽  
Return On Equity ◽  
Manufacturing Organizations ◽  
Corporate Social ◽  
The Impact

The empirical research into the impact of CSR on return on  assets is confusing and far from conclusive. Also in most ofthe previous studies; economic performance covered a (commonly five year) period “surrounding” the CSR performanceand/or social disclosure periods. To overcome these limitations, our paper assess the impact of CSR return on assets ofmanufacturing firms in Nigeria. The result showed that with CSR, corporate social responsibility had a positive and significant effect on return on assets of the manufacturing organizations while without CSR, the impact is negative and non-significant. The implication is that what companies spend on the development of society of interest may be related toreturn on equity but does not significantly detect increase/decrease in return on equity. This study thus posits thatmanufacturing organizations should concentrate evenly also on other elements which organization see mainly as majordeterminants of return on assets as the finding is showing an insignificant effect of CSR on ROA.

scholarly journals Corporate Social Responsibility and Crowdfunding: The Experience of the Colectual Platform in Empowering Economic and Sustainable Projects

2020 ◽  
Vol 12 (13) ◽  
pp. 5251 ◽  
Author(s):  
Jesús Mauricio Flórez-Parra ◽  
Gracia Rubio Martín ◽  
Carmen Rapallo Serrano
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Risk ◽  
Sustainable Business ◽  
Return On Assets ◽  
Financial Barriers ◽  
Return On Equity ◽  
Financial Characteristics ◽  
Corporate Social ◽  
The Cost

In recent years, sustainable crowdfunding has been one of the key elements in the search for new sources of financing. This has involved eliminating financial barriers and intermediaries, bringing entrepreneurs’ projects closer to fund providers, and thus instigating changes in traditional investment and profitability parameters. Among these indicators, the sustainable business return and its relationship with Corporate Social Responsibility (CSR) could be a relevant factor to improve the cost of funding, to explain the return on assets (ROA), and, consequently, impacting on the return on equity (ROE). In this context, this paper takes as a reference 101 projects that are part of Colectual’s lending. We analyze factors such as sustainability—the application of CSR across a social responsibility index; the financial characteristics of the company—liquidity, leverage, and solvency; and the characteristics of the loans related to crowdfunding—amount, maturity, and charge rate of the loan. Our study provides empirical evidence that, besides financial characteristics, the commitment to CSR can improve collective lending and the management of resources, as well as enhance the capital wealth of companies, by improving shareholder profitability or ROE. Investors consider not only financial risk but also sustainability factors.

scholarly journals Impact of applying the idea of social responsibility on financial results – assessment of statistical significance on the example of enterprises operating in Poland

2021 ◽  
pp. 61-74
Author(s):  
Beata Mirowska ◽  
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Statistical Significance ◽  
Business Management ◽  
Return On Assets ◽  
Financial Condition ◽  
Return On Sales ◽  
Corporate Social ◽  
The Impact ◽  
Financial Result

Currently, the ideas of social responsibility are widely used in business management, and became important criteria of their assessment, at the same time there is a cognitive gap in area of the impact of CSR on the financial results of companies. The purpose of this article is to try to answer the following questions: is the pursuit of companies’ policies focused on corporate social responsibility CSR (Corporate Social Responsibility) influences the financial results CFP (Corporate Financial Performance)? Attempting realization of taken assumption, the following hypothesis is taken, there is a statistically significant relationship between the use of CSR and financial results of enterprises. In the article special attention is given to the impact of CSR on the net result, return on assets and return on sales, because those are the basic indicators identifying the company’s financial condition. The results of the study indicate opublikowathat statistically CSR does not have a significant impact on the value of the financial result, as well as on return on assets and return on sales.

scholarly journals Pengungkapan Corporate Social Responsibility dan Kinerja Keuangan Perusahaan Perbankan

2021 ◽  
Vol 31 (7) ◽  
pp. 1655
Author(s):  
Ni Made Widyasari ◽  
Ketut Yadnyana
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Return On Assets ◽  
Return On Equity ◽  
Panel Data Regression ◽  
Analysis Technique ◽  
Data Regression ◽  
Csr Disclosure ◽  
Corporate Social

A company Development can made the ekspoitation of natural resources to be higher, so it is important for the companies to carry out CSR activities. This study aims to determine the effect of corporate social responsibility disclosure on financial performance in Bank sector as proxied by eeturn on assets (ROA) and return on equity (ROE). The sample was obtained using purposive sampling method and the number of research samples was 19 companies with a total of 95 observations. The data analysis technique in this study was panel data regression analysis. The results show that corporate social responsibility (CSR) disclosure has a positive and significant effect on financial performance in bank sector as proxied by return on assets (ROA) and return on equity (ROE). The implication of this research can contribute to the empirical study of stakeholder theory and equity theory. The implication of this research is that it can be taken into consideration in decision making by stakeholders and company management. Keywords: CSR Disclosure; ROA; ROE.

Correlation Between Banks Corporate Social Responsibility And Profitability: A Study of UAE, Bangladesh and India

2017 ◽  
Vol 7 (02) ◽  
Author(s):  
Sonia Singh ◽  
Sameer Al Barghouthi
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Commercial Bank ◽  
Commercial Banks ◽  
Negative Coefficient ◽  
Weak Correlation ◽  
Return On Assets ◽  
Return On Equity ◽  
Study Methodology ◽  
Corporate Social

The purpose of the study was to correlate bank investments into Corporate Social Responsibility (CSR) initiatives with the financial performance of profitability measured as Return on Assets (RAO) or Return on Equity (ROE). The selected bank from UAE was Abu Dhabi Commercial Bank (ADCB). From Bangladesh, the selected Public Commercial Banks were Dutch-Bangla Bank Ltd. (DBBL) and Islami Bank Bangladesh Ltd (IBBL) and selected State-Owned Banks are Janata Bank Ltd (JBL) and Rupali Bank Ltd. (RBL). From India, the selected banks were ICICI and Axis. The study methodology was KLD Research Analytics and Correlation Coefficient of the Year on Year (YoY) change of the CSR versus profits. There were result outcomes across all these tests. The YoY comparison for ADCB from UAE shows a negative coefficient but strengthening the correlation between CSR and profitability over the five year period. The YoY comparison of ICICI for CSR % to profitability impact had weak correlation and fluctuating coefficient. The YoY comparison for Axis bank showed that the correlation between CSR expenditure and profit is largely positive and the coefficient is also significant. The comparison for PCBs DBBL and IBBL revealed that there was a positive correlation with the profitability, but the YoY CSR% to profitability change shows a weak coefficient. The comparison between the State-Owned Banks JBL and RBL shows that the YoY comparison of CSR% to profitability has a weak correlation but insignificant coefficient. In conclusion, banks should undertake ethical CSR when pursuing profitability.

Value-Relevance of Corporate Social Responsibility: Evidence from Short Selling

2016 ◽  
Vol 28 (2) ◽  
pp. 29-52 ◽  
Author(s):  
Archana Jain ◽  
Pankaj K. Jain ◽  
Zabihollah Rezaee
Keyword(s):  
Corporate Social Responsibility ◽  
Standard Deviation ◽  
Social Responsibility ◽  
Value Relevance ◽  
Investment Decisions ◽  
Short Selling ◽  
Return On Assets ◽  
Return On Equity ◽  
Short Sellers ◽  
Corporate Social

ABSTRACT We examine whether short sellers, as informed investors, take into consideration corporate social responsibility (CSR) performance and disclosure in the areas of environmental, social, and governance (ESG) sustainability in making investment decisions. We find that firms' market value and future financial performance, measured by price per share, return on equity, and return on assets, are lower, whereas operating risk, measured by the standard deviation of return on equity and the standard deviation of return on assets, is higher for firms with low composite ESG scores. We detect a negative association between ESG scores and short selling, indicating that short sellers avoid firms with high ESG scores and tend to target firms with low ESG scores. We conclude that investors consider firms' ESG scores as value relevant in making investment decisions and thus management should integrate CSR into strategic decisions and corporate reporting. JEL Classifications: G32; M40.

scholarly journals Does Corporate Social Responsibility Affect the Financial Performance of the Manufacturing Sector? Evidence from an Emerging Economy

2019 ◽  
Vol 11 (4) ◽  
pp. 1182 ◽  
Author(s):  
Jacob Cherian ◽  
Muhammad Umar ◽  
Phung Thu ◽  
Thao Nguyen-Trang ◽  
Muhammad Sial ◽  
...  
Keyword(s):  
Corporate Governance ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Return On Assets ◽  
Board Size ◽  
Independent Variables ◽  
Corporate Social ◽  
The Impact ◽  
The Relationship

The present study analyzed the impact of corporate social responsibility (CSR) reporting on the financial performance of Indian companies. It used secondary data from 50 manufacturing companies over the period of fiscal years 2011 to 2017. The results suggested that there exists a significant relationship between the performance of Indian companies and their CSR. The CSR not only improves the firm’s social value and reputation but also improves profitability and performance. According to the results, return on assets is significantly determined by corporate governance, customers, products, number of employees, and board size. The customer has a negative impact on return on assets (ROA). The relationship between return on equity and independent variables is the same as the relationship between ROA and independent variables. Corporate governance and product positively impact ROE, but the relationship between customers, number of employees, and board size are negative. Corporate governance and product positively impact return on capital employed (ROCE), but the relationship between customer and the number of employees is negative. Education has positive impact on profit after tax (PAT) and profit before tax (PBT), but the PAT relationship between environments is negative. Corporate governance and product positively impact PBT. In general, we concluded that in India, socially responsible corporations perform better and vice versa.

scholarly journals PENGARUH PENERAPAN CORPORATE SOCIAL RESPONSIBILITY TERHADAP PROFITABILITAS PERUSAHAAN MANUFAKTUR DI BURSA EFEK INDONESIA TAHUN 2013-2017

2019 ◽  
Vol 14 (1) ◽  
Author(s):  
Kleysia N. Tanod ◽  
Grace B. Nangoi ◽  
I Gede Suwetja
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Quantitative Research ◽  
Stock Exchange ◽  
Sample Selection ◽  
Sampling Technique ◽  
Manufacturing Companies ◽  
Return On Assets ◽  
Return On Equity ◽  
Corporate Social

Corporate Social Responsibility is a form of corporate responsibility towards shareholders, parties with an interest in the company and the community. CSR is also an important factor that is the basis for investors' consideration to make investment decisions on the company so that the company can manage investor capital to carry out company activities to achieve profits. This study aims to determine the effect of corporate social responsibility on corporate profitability, this study uses the ratio of return on assets and return on equity to calculate the company's profitability. This research uses quantitative research method with simple linear regression, where this study uses only 1 independent variable and 2 dependent variables. The population use in this study are manufacturing company listed on the Indonesia Stock Exchange in 2013-2017. The sample of this study used 59 manufacturing companies that met the sample selection criteria. Sample selection uses purpose sampling technique. The results show that corporate social responsibility has a significant effect on return on assets and return on equity.

scholarly journals Corporate social responsibility and firm risk: Egypt’s case

2021 ◽  
Vol 10 (2) ◽  
pp. 74-83
Author(s):  
Dina Hassouna ◽  
Rania Salem
Keyword(s):  
Developing Countries ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Audit Committee ◽  
Developed Countries ◽  
Firm Risk ◽  
Return On Equity ◽  
Beta Coefficient ◽  
Corporate Social ◽  
The Impact

Studies amongst developed countries have extensively investigated the link between corporate social responsibility (CSR) and financial performance. However, due to lack of research in the Middle East, especially in Egypt, the association between CSR and firm risk remains much less understood (Nguyen & Nguyen, 2015). Therefore, this paper is one of the very few studies that investigate the impact of CSR on firm risk amongst developing countries. A sample of 31 Egyptian listed companies was examined over four years, from 2011 to 2015. We test the impact of CSR on firm risk using fixed and random effects estimation models. We use operating leverage, financial leverage and the beta coefficient of the sample companies’ stocks as a proxy for the companies’ risk. Identified control variables are firm size, market-to-book value, return on equity, return on assets, and firm age. Other variables are used to control for corporate governance, board characteristics and audit committee characteristics. The results show that CSR affects operating risk, yet it does not have a significant impact on financial or market risks in Egypt, which in turn emphasizes that CSR in developing countries differs in characteristics from that in developed countries (Vo & Arato, 2020).

scholarly journals The Influence of Corporate Social Responsibility toward the Financial Performance Company in Jakarta Islamic Index (JII) in Period 2010-2014

2016 ◽  
Vol 3 (2) ◽  
pp. 136
Author(s):  
P. Prasojo ◽  
Inon Listyorini
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Control Variable ◽  
Return On Assets ◽  
Return On Equity ◽  
Corporate Social

The aim of this research is to examine the influence of corporate sosical responsibility (CSR) toward the financial performance that is measured by Return on Assets (ROA), Return on Equity (ROE), Earning Per Share (EPS),  Firm's Growth (FG) and the control variable of Siz, Leverage, and Age. The population in this research was the companies in Jakarta Islamic Index (JII) consistently from 2010-2014. The samples were selected by Purposive Judgment sampling criteria. The collected samples in this research were 11 companies. The result of CSR research has a significant on financial performance by proxy ROA, ROE, EPS, and FG.

Corporate Social Responsibility as a Strategy of Developing a Positive Hotel Image and Reputation

2019 ◽  
Vol 53 ◽  
pp. 2-2
Author(s):  
Wojciech Cwalina ◽  
Krzysztof J. Leoniak
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Empirical Research ◽  
Environmental Attitudes ◽  
Hotel Industry ◽  
Social Activities ◽  
Special Aspect ◽  
The Subject ◽  
Corporate Social ◽  
The Impact

Purpose. The purpose of the study was to evaluate the impact of hotel commitment in ecological and pro-social activities on perception of its image, reputation and interest in its offer, depending on the pro-environmental attitudes of clients. Method. The study involved 150 participants, randomly divided into 3 groups. In each of them, one of the three variants of information on the involvement of a fictitious hotel in Corporate Social Responsibility (CSR) activities was presented: pro-environmental vs. pro-social vs. no information. Before studying the information about the hotel, the respondents’ pro-environmental attitudes were evaluated. After reviewing the hotel's offer, the respondents assessed its image, reputation and interest in its offer. Findings. The hotel image, reputation and interest in its offer were more positive when they were engaged in ecological or social activities than when there was no information on the subject. Moreover, pro-environmental attitudes positively correlated with interest in a hotel’s offer regarding ecological involvement, negatively - in the absence of information, and were not associated with it in pro-social activities. Research and conclusions limitations. A relatively small group participated in the study. Moreover, the study does not allow conclusions to be drawn about the hotel's involvement in other areas of CSR. Practical implications. Building a positive image of a hotel and an increase in its reputation may result from the applied CSR activities. A special aspect, here, is the ecological orientation of a hotel, which can be an effective way of attracting customers with such values. Originality. The current lack of Polish empirical research that would verify the effectiveness of Corporate Social Responsibility strategies within the context hotel industry perception. Type of paper. Article presenting findings from empirical research.

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