scholarly journals The Effect of Independent Director Reputation Incentives on Corporate Social Responsibility: Evidence from China

2018 ◽  
Vol 10 (9) ◽  
pp. 3302 ◽  
Author(s):  
Lei Yu ◽  
Daojuan Wang ◽  
Qi Wang
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Firm Size ◽  
Independent Directors ◽  
Independent Director ◽  
Effective Mechanism ◽  
Listed Firms ◽  
System Protection ◽  
Corporate Social

This paper examines the effect of independent director reputation incentives on corporate social responsibility (CSR). Using an unbalanced panel of 3765 Chinese-listed firms between 2009 and 2014, this study suggests that independent director reputation incentives improve CSR. Furthermore, it is found that this effect is more pronounced in non-state-owned enterprises (non-SOEs) than in state-owned enterprises (SOEs). In addition, our results also show that the effect of independent director reputation incentives on CSR is moderated by firm size, and this effect is much stronger in relatively larger firms. Together, these results suggest that reputation is an effective mechanism that can motivate independent directors to fulfill their role of monitoring and advising CSR, especially in non-SOEs and relatively larger firms. We add new insights to the research on the topics of independent director system, protection of the stakeholders’ interests, and CSR enhancement.

Do female and independent directors explain the two-way relationship between corporate social responsibility and earnings management of Chinese listed firms?

2019 ◽  
Vol 27 (3) ◽  
pp. 442-460 ◽  
Author(s):  
Muhammad Safdar Sial ◽  
Zheng Chunmei ◽  
Nguyen Vinh Khuong
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Earnings Management ◽  
Emerging Market ◽  
Independent Directors ◽  
Content Type ◽  
Listed Firms ◽  
Corporate Social ◽  
Moderating Role

Purpose This study aims to explore the possibility of a two-way relationship between corporate social responsibility (CSR) and earnings management (accruals and real EM) with the moderating role of female and independent directors. Design/methodology/approach The authors use STATA to test the generalized method of moments on a sample of Chinese listed firms data over the period 2009-2015. The unbalanced sample obtained 3,481 observations from China stock market and accounting research database and CSR rating provided by Rankins. Findings The results indicate a significant negative relationship between two-way CSR and accrual-based EM. Moreover, female and independent directors moderate the two-way relationship between CSR and EM. Research limitations/implications The present study does not include all financial, insurance and investment firms to impact on CSR and EM. Further research might consist of family ownership to enhance the evidence for an emerging market. Originality/value This study primarily contributes to the literature on CSR, female and independent directors, and EM by providing evidence for the moderating role of female and independent directors on the two-way association between CSR and EM.

Mind the gap: independent directors and corporate social responsibility in China

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ruijie Jin ◽  
Xiaoxian Jiang ◽  
Ao Shen
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Fixed Effects ◽  
Independent Directors ◽  
Theoretical Understanding ◽  
Content Type ◽  
Listed Firms ◽  
Fixed Effects Regression ◽  
Corporate Social

Purpose This study aims to examine the effect of independent directors on the corporate social responsibility (CSR) gap – a misalignment between internal and external CSR. More specifically, the authors investigate how two types of independent directors (i.e. politically connected and foreign) affect a firm’s CSR gap in China. Design/methodology/approach The authors use the fixed-effects regression model to analyze the panel dataset, which is conducted by a sample of Chinese publicly listed firms from 2008 to 2015. Findings The findings indicate that, on average, firms undertake more external than internal CSR actions. Importantly, the authors find that firms having politically connected independent directors on boards have a wider gap between their internal and external CSR. In contrast, firms having foreign independent directors on boards have a narrower gap between their internal and external CSR. Practical implications This study provides insights into the role of independent directors in increasing or decreasing the gap between a firm’s internal and external CSR actions, which offers important implications for policymakers and investors. Originality/value This study extends the literature on the causes of the CSR gap and deepens the theoretical understanding of the governance role of independent directors in China.

scholarly journals CORPORATE SOCIAL RESPONSIBILITY AND EARNINGS MANAGEMENT: THE ROLE OF CORPORATE GOVERNANCE

2019 ◽  
Vol 7 (5) ◽  
pp. 1338-1347
Author(s):  
Gemi Ruwanti ◽  
Grahita Chandrarin ◽  
Prihat Assih
Keyword(s):  
Corporate Governance ◽  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Earnings Management ◽  
Firm Size ◽  
Good Corporate Governance ◽  
Corporate Social ◽  
Relationship Of ◽  
The Relationship

Purpose: The purpose of this paper is to examine the role of corporate governance in the relationship of Corporate Social Responsibility (CSR) and firm size to earnings management of manufacturing firms in Indonesia. Methodology: The study draws on data from 66 firms listed in Indonesian Stock Exchange from 2014 to 2017, using a multiple regression model. The present study examines the influence of CSR on earnings management, and the impact of corporate governance on the relationship between CSR and firm size with earnings management. Main Findings: The finding showed that the effect of CSR on earnings management was significant and positive. The study also finds a statistically significant negative relationship between firm size and earnings management. The evidence also shows the role of corporate governance in the relationship of CSR and firm size to earnings management is significant and negative, it means that when the firm has good corporate governance, the firms that allocate CSR funds are relatively large, then it will tend not to practice earnings management, likewise large firms with good corporate governance will tend not to do earnings management. Research limitations/implications: The present study does not include all possible other variables that influence earnings management. Further research might increase the scope of research objects by extending the study period and need to pay attention to the firm's macro factors or economic risk factors outside of financial performance so as to provide a more comprehensive picture of the results of the study. Originality/value: The study focuses on the role of corporate governance issues such as the independence and activity of the boards and their influence on earnings management. The subject analyses the possible impact of CSR and firms size-related earnings management that has received much attention from academic research, which has largely focused on studying the publications of corporate governance in Indonesia context and can be contributes thoughts about the importance of corporate social responsibility activities that are reported as a basis for consideration incorporate policy-making to further enhance corporate awareness in the social environment, as well as the importance of corporate governance to minimize earnings management practices.

Does board gender enhance Palestinian firm performance? The moderating role of corporate social responsibility

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mohammed W.A. Saleh ◽  
Mohammad A.A. Zaid ◽  
Rabee Shurafa ◽  
Zaharaddeen Salisu Maigoshi ◽  
Marwan Mansour ◽  
...  
Keyword(s):  
Corporate Social Responsibility ◽  
Firm Performance ◽  
Panel Data ◽  
Social Responsibility ◽  
Gender Diversity ◽  
Content Type ◽  
Listed Firms ◽  
Board Gender Diversity ◽  
Corporate Social

Purpose This study aims to examine how the salient board gender diversity among board directors affects firm performance both directly and indirectly, through the role of corporate social responsibility (CSR) in listed firms on the Palestine Stock Exchange over the period 2010–2017. Design/methodology/approach Based on panel data of 384 observations from all firms listed on the Palestine Security Exchange during the period from 2010 to 2017, this study uses panel data regression to examine the effect of the predictors on firm performance. In addition, to mitigate the endogeneity issue, the analysis was repeated by using one-step generalized method of moments. Findings The results show that board gender diversity has a positive and insignificant influence on firm performance. However, under the moderating effect of CSR, the finding turns from positive insignificant to positive significant. Originality/value The study is timely given that gender diversity plays pivotal roles in determining the performance in terms of monitoring and controlling and further willing to engage in social responsibility. The prior research in Palestine has never investigated the effect of board gender diversity. As such, Palestine has not established a legal quota of minimum female representation on boards, and because of it, the country has weak women’s representation among firms. It, therefore, becomes a necessity to examine the influence of board gender diversity on the financial performance of listed firms in Palestine. Besides, the mixed result in previous literature on the board gender diversity and firm performance indicates that there is an indirect effect that needs alternative explanations.

scholarly journals Moderating Role of Negative Earnings on Firm Size and Corporate Social Responsibility Relationship: Evidence from Listed Firms on Nigeria Stock Exchange

2020 ◽  
Vol 4 (1) ◽  
pp. 114
Author(s):  
Ndubuisi Odoemelam ◽  
Grace Nyereugwu Ofoegbu ◽  
Chioma Ojukwu
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Firm Size ◽  
Stock Exchange ◽  
Study Results ◽  
Expectation Hypothesis ◽  
Corporate Social ◽  
Moderating Role ◽  
Negative Earnings

The fight against coronavirus disease (COVID-19) has called for corporate social responsibility (CSR). Thus, Nigerian businesses, such as in the petroleum and financial industries, have provided hospital donations and $30 million assistance among others to mitigate COVID-19. We investigated the moderating role of negative earnings in firm size–CSR relationship. We used content and logistic panel regression analyses on a sample of 100 firms listed on Nigerian Stock Exchange (NSE). First, we confirmed a positive firm size–CSR relationship (stakeholders’ expectation hypothesis). Second, we found that earnings loss negatively affects stakeholders’ expectation hypothesis. The study suggests that big firms are likely to negatively respond to the clarion call for donations for COVID-19 due to negative earnings. However, our robustness test revealed that old firms positively respond to CSR activities despite earnings loss. Our study results contribute important insights into the current debate concerning the effect of earnings loss on CSR activities. Corporate managers are encouraged to participate in social activities by contributing their resources for human race sustainability and community development, hence enabling stakeholders to highly value their work, money, support, and societal acceptance.

scholarly journals Implikasi variabel fundamental keuangan terhadap manajemen laba: mampukah Corporate Social Responsibility sebagai variabel intervening

2021 ◽  
Vol 17 (1) ◽  
pp. 41-53
Author(s):  
Sriyono Sriyono ◽  
Anggraeni Dwi Fitria
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Firm Size ◽  
Tax Planning ◽  
Capital Adequacy ◽  
Earning Management ◽  
Corporate Social ◽  
The Relationship ◽  
Intervening Variables

Many ways will be done by the company in order to attract investors, one of which is by doing earning management. Previous studies have researched earning management, but it is still limited to discussing the use of corporate social responsibility (CSR) as an intervening variable. This research includes new research because using corporate social responsibility (CSR) intervening variables, the existence of intervening variables is expected to be able to test the mediating role of financial fundamental variables to strengthen this earning management. This study aims to find out the role of corporate social responsibility as a mediator of financial fundamental variables (capital adequacy ratio, firm size, and tax planning) on earning management. This research is quantitative research using data panel regression analysis techniques and path analysis using the Eviews Program. The population used in this study is all conventional banks listed on the Indonesia Stock Exchange, sampling techniques used are purposive sampling. The results found a relationship between CAR, firm size, tax planning, CSR with earning management and corporate social responsibility plays a role as mediation. The conclusion obtained in this study is corporate social responsibility is able to be mediating the relationship between CAR and earning management and corporate social responsibility is able to mediate the relationship between firm size to earning management.

scholarly journals Implikasi variabel fundamental keuangan terhadap manajemen laba: mampukah Corporate Social Responsibility sebagai variabel intervening

2021 ◽  
Vol 17 (1) ◽  
pp. 41-53
Author(s):  
Sriyono Sriyono ◽  
Anggraeni Dwi Fitria
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Firm Size ◽  
Tax Planning ◽  
Capital Adequacy ◽  
Earning Management ◽  
Corporate Social ◽  
The Relationship ◽  
Intervening Variables

Many ways will be done by the company in order to attract investors, one of which is by doing earning management. Previous studies have researched earning management, but it is still limited to discussing the use of corporate social responsibility (CSR) as an intervening variable. This research includes new research because using corporate social responsibility (CSR) intervening variables, the existence of intervening variables is expected to be able to test the mediating role of financial fundamental variables to strengthen this earning management. This study aims to find out the role of corporate social responsibility as a mediator of financial fundamental variables (capital adequacy ratio, firm size, and tax planning) on earning management. This research is quantitative research using data panel regression analysis techniques and path analysis using the Eviews Program. The population used in this study is all conventional banks listed on the Indonesia Stock Exchange, sampling techniques used are purposive sampling. The results found a relationship between CAR, firm size, tax planning, CSR with earning management and corporate social responsibility plays a role as mediation. The conclusion obtained in this study is corporate social responsibility is able to be mediating the relationship between CAR and earning management and corporate social responsibility is able to mediate the relationship between firm size to earning management.

The role of independent directors at family firms in relation to corporate social responsibility disclosures

2015 ◽  
Vol 24 (5) ◽  
pp. 890-901 ◽  
Author(s):  
Beatriz Cuadrado-Ballesteros ◽  
Lázaro Rodríguez-Ariza ◽  
Isabel-María García-Sánchez
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Family Firms ◽  
Independent Directors ◽  
Corporate Social
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