Does Employee Quality Affect Corporate Social Responsibility? Evidence from China

This paper investigated the impact of employee quality on corporate social responsibility (CSR). Based on data from China A-share-listed companies for the years 2012–2016 and using ordinary least squares, our empirical results show that the educational level of the workforce, as a proxy for employee quality, is positively associated with CSR, which suggests that higher education can promote CSR implementation. Additional analyses found that this positive relationship is more pronounced in non-state-owned enterprises, enterprises in regions with lower marketisation processes, and firms with lower proportions of independent directors. This study extends the literature on human capital at the level of firms’ entire workforce and CSR by elaborating the positive effect of employee quality on CSR in the context of an emerging economy (China). The results suggest that it is necessary to consider the educational level of employees when analysing CSR, which is of strategic significance for corporate sustainable development.

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Comparative analysis of QISMUT+3’s Islamic corporate social responsibility

Journal of Islamic Marketing ◽

10.1108/jima-05-2020-0146 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Agung Nur Probohudono ◽

Astri Nugraheni ◽

An Nurrahmawati

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Financial Performance ◽

Statistical Testing ◽

Content Type ◽

Islamic Bank ◽

Csr Disclosure ◽

Corporate Social ◽

The Impact ◽

Positive Effect

Purpose The purpose of this study is to analyze the impact of corporate social responsibility (CSR) disclosure on the financial performance of Islamic banks across nine countries as major markets that contribute to international Islamic bank assets (Indonesia, Malaysia, Saudi Arabia, UAE, Kuwait, Qatar, Turkey, Bahrain and Pakistan or further will be called QISMUT + 3 countries). Design/methodology/approach Islamic Social Reporting Disclosure Index (ISRDI) is being used as a benchmark for Islamic bank CSR performance that contains a compilation of CSR standard items specified by the Accounting and Auditing Organization for Islamic Financial Institutions. The secondary data is collected from the respective bank’s annual reports and it used the regression analysis techniques for statistical testing. Findings This study found that CSR disclosure measured by ISRDI has a positive effect on financial performance. Almost all ISRDI sub-major categories have a positive effect on financial performance except the “environment” subcategory. The highest major subcategory for ISRDI is the “corporate governance” category (82%) and the “environment” category (13%) is the lowest. For the UAE, Kuwait and Turkey, the ISRDI is positively affected by financial performance and the other countries on this research are not. Originality/value This study highlighted the economic benefits of social responsibility practices as a part of business ethics in nine countries that uphold the value of religiosity. Thus, the development of the results of this research for subsequent research is very wide open.

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Can Corporate Social Responsibility Decrease the Negative Influence of Financial Distress on Accounting Quality?

Sustainability ◽

10.3390/su131911124 ◽

2021 ◽

Vol 13 (19) ◽

pp. 11124

Author(s):

Jun Hyeok Choi ◽

Saerona Kim ◽

Dong-Hoon Yang ◽

Kwanghee Cho

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Earnings Management ◽

Financial Distress ◽

Negative Influence ◽

Accounting Quality ◽

Distressed Firms ◽

Corporate Social ◽

The Impact ◽

Positive Effect

This study aimed to test how corporate social responsibility (CSR) can affect the impact of corporate financial distress on earnings management. Based on the existing literature, distressed firms tend to hide their financial crises through earnings manipulation. However, as CSR can positively affect companies in terms of performance, risk reduction, and market response, the better a firm’s CSR is the less managers will attempt earnings management even if they experience temporary distress. Consistent with the literature, test results using Korean-listed companies show that distress increased earnings management, and we confirmed that CSR weakened the positive effect of distress on earnings management. After testing each of the CSR subcategories, significant results were found mainly on environmental performance, reflecting the globally increasing interest in environmental issues. This study contributes to the literature on distress and earnings management, which rarely considers CSR as a moderating factor.

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The impact of corporate social responsibility on firms’ financial performance, evidence from the food and beverage industry

British Food Journal ◽

10.1108/bfj-07-2019-0503 ◽

2019 ◽

Vol 122 (1) ◽

pp. 1-13 ◽

Cited By ~ 6

Author(s):

Niccolò Nirino ◽

Nicola Miglietta ◽

Antonio Salvi

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Financial Performance ◽

Ordinary Least Squares ◽

Social Outcomes ◽

Content Type ◽

Positive Effects ◽

Food And Beverage ◽

Corporate Social ◽

The Impact

Purpose The purpose of this paper is to investigate the impact of corporate social responsibility (CSR) on firms’ financial performance (FP) in the food and beverage (F&B) sector. Design/methodology/approach The authors developed a conceptual model that hypothesizes a positive effect of CSR governance on CSR outcomes (environmental and social) and these on firm’s FP. Gathering data from 190 F&B companies, the authors empirically tested the validity of the model through an ordinary least squares regression analysis. Findings The findings highlight the positive impact of CSR governance on environmental and social outcomes, showing real societal concerns among companies’ stakeholders in the F&B industry. Studies on the effect of CSR outcomes on FP have shown mixed results. On one side, the social outcomes positively impact a firm’s performance; on the other side, environmental outcomes show insignificant or non-positive effects depending on different measurements of FP. Originality/value Despite the mixed set of results between CSR and a firm’s performance in the literature, this research provides a new framework in which the impact of CSR on FP is analysed through the effectiveness of CSR governance on CSR outcomes (social and environmental). Moreover, this study contributes to the CSR literature understanding the impact of both environment and social concerns by companies on firm’s FP in F&B context.

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The Effect of CSR Fit and CSR Authenticity on the Brand Attitude

Sustainability ◽

10.3390/su12010275 ◽

2019 ◽

Vol 12 (1) ◽

pp. 275 ◽

Cited By ~ 7

Author(s):

Songmi Kim ◽

Heejung Lee

Keyword(s):

College Students ◽

Corporate Social Responsibility ◽

Social Responsibility ◽

Brand Attitude ◽

Consumer Evaluation ◽

Empirical Survey ◽

Individual Perception ◽

Corporate Social ◽

The Impact ◽

Positive Effect

This study examined consumer evaluation of corporate social responsibility (CSR) activities with a focus on the authenticity and fit of CSR activities and analyzed the influence of consumers’ individual perception based on CSR involvement. We carried out an empirical survey to test the hypotheses presented by a scenario test using a questionnaire of 315 college students. The results showed that higher CSR fit has a positive effect on CSR authenticity and brand attitude. As a result of verifying the moderating effect of CSR involvement, the higher the CSR involvement is, the lower the impact of CSR fit on CSR authenticity. Therefore, consumers with high CSR involvement are less affected by CSR fit in evaluating the authenticity of CSR.

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Marketing Mix Elements and Corporate Social Responsibility: Do they Really Matter to Store Image?

Jindal Journal of Business Research ◽

10.1177/2278682120908563 ◽

2020 ◽

Vol 9 (1) ◽

pp. 56-71

Author(s):

Jalal Rajeh Hanaysha

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Marketing Mix ◽

Equation Modeling ◽

Survey Method ◽

Store Image ◽

Significant Positive Effect ◽

Corporate Social ◽

The Impact ◽

Positive Effect

This purpose of this article is to examine the impact of corporate social responsibility (CSR) and marketing mix elements on store image in Malaysian retail sector. The data were collected through a quantitative survey method from 278 customers of retail stores in eastern Malaysia. All of the returned questionnaires were inserted into SPSS and analyzed based on the structural equation modeling (SEM) technique using AMOS 18. The findings showed that CSR has a significant positive effect on store image. Furthermore, the outcomes revealed that advertising and price have significant positive effects on store image. However, the effect of sales promotion on store image is insignificant and negative. Finally, the results confirmed that store location and store environment have a significant positive effect on store image. The findings of this study contribute to our understanding with regard to the importance of these factors in influencing store image in the retail context.

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The relationship between corporate social responsibility and corporate reputation in a turbulent environment: Spanish evidence of the Ibex35 firms

Corporate Governance ◽

10.1108/cg-08-2014-0101 ◽

2015 ◽

Vol 15 (4) ◽

pp. 563-575 ◽

Cited By ~ 11

Author(s):

José Luis Fernández Sánchez ◽

Ladislao Luna Sotorrío ◽

Elisa Baraibar Diez

Keyword(s):

Corporate Social Responsibility ◽

Financial Crisis ◽

Social Responsibility ◽

Corporate Reputation ◽

Content Type ◽

Current Financial Crisis ◽

Corporate Social ◽

The Impact ◽

The Relationship ◽

Positive Effect

Purpose – The purpose of this study is to provide more knowledge about the model to generate reputation and its relationship in the long term with companies’ strategy of social responsibility. Particularly, research is done to test whether there is a positive effect of firms’ social behaviour (corporate social responsibility [CSR]), analysing differences of intensity and consistency, on their corporate reputation (CR) and whether the current financial crisis is a factor that has changed the relationship between both variables (moderator factor). Design/methodology/approach – This study uses a sample of 26 Spanish large firms of the Ibex35 index and covers an eight-year period from 2004 to 2011. To test the hypotheses of this research, a fixed-effects model was estimated using moderating regression analysis. Findings – The results obtained show that, for the Spanish Ibex35 companies, CSR practices according to their consistency have a significant positive effect on CR and in turbulent environments, as in the current financial crisis, it has had a significant positive influence on the CSR-CR relationship. Originality/value – Although a substantial number of empirical studies have examined the relationship between firms’ strategy and their performance, only a few of them have analysed the impact of the external environment on this relationship, whereby there is a need for longitudinal studies with different economic scenarios to achieve better knowledge of the CSR–CR relationship.

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Corporate governance and corporate social responsibility: A study of emerging market listed firms

Corporate Ownership and Control ◽

10.22495/cocv18i2art7 ◽

2021 ◽

Vol 18 (2) ◽

pp. 90-105

Author(s):

Annisa A. Lahjie ◽

Riccardo Natoli ◽

Segu Zuhair

Keyword(s):

Corporate Governance ◽

Corporate Social Responsibility ◽

Social Responsibility ◽

Least Squares ◽

Emerging Market ◽

Ordinary Least Squares ◽

Listed Firms ◽

Data Limitations ◽

Corporate Social ◽

The Impact

The main purpose of this paper is to examine the impact of corporate governance (CG) on corporate social responsibility (CSR) of Indonesian listed firms. Estimations via simultaneous equation models with ordinary least squares (OLS) and two-stage least squares (2SLS) were employed for 84 firms with a total of 924 observations over the period of 2007-2017. The results showed that a lack of CG in monitoring and supervisory mechanisms, as well as a high concentration of managerial ownership, can significantly contribute to low levels of CSR. There are data limitations as a number of firms were omitted due to the application of the CSR criteria utilised in this study. The research has implications for Indonesian listed firms with respect to aligning CSR initiatives to firm objectives. The paper provides recommendations for future research in this area. The paper provides one of the few studies to analyse CG on CSR via a comprehensive measurement of CSR. Further, it adds to the empirical academic literature from a developing country context

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DAMPAK PENGUNGKAPAN ISLAMIC CORPORATE SOCIAL RESPONSIBILITY TIAP DIMENSI INDIVIDU TERHADAP PROFITABILITAS

Jurnal Ekonomi Syariah Teori dan Terapan ◽

10.20473/vol8iss20215pp641-654 ◽

2021 ◽

Vol 8 (5) ◽

pp. 641

Author(s):

Muhamat Romadhoni ◽

Sylva Alif Rusmita

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Commercial Banks ◽

Social Reporting ◽

Statistical Tool ◽

Panel Data Regression ◽

Data Regression ◽

Corporate Social ◽

The Impact ◽

Positive Effect

ABSTRAKPenelitian ini mempunyai tujuan untuk mengetahui dampak dari pengungkapan secara dimensi individu laporan Islamic Corporate Social Responsibility (ICSR) terhadap profitabilitas dalam bank umum syariah. Dalam penelitian ini digunakan pendekatan kuantitatif dengan metode regresi data panel serta dengan bantuan alat statistik yaitu Eviews 9. Terdapat 10 bank umum syariah di Indonesia pada periode 2016-2020 yang dijadikan sebagai sampel dalam penelitian ini. Pengukuran pengungkapan ICSR dilakukan dengan teknik konten analisis berdasarkan item-item yang mendeskripsikan nilai-nilai Islam pada laporan tahunan bank sehingga menghasilkan indeks pengungkapan Index Social Reporting (ISR). Hasil dari pengujian hipotesis menunjukkan bahwa secara simultan pengungkapan ICSR berpengaruh positif signifikan terhadap profitabilitas bank umum syariah. Secara parsial, pengungkapan dimensi per individu ICSR tidak mempunyai hubungan yang signifikan secara statistik antara dimensi individu ICSR terhadap profitabilitas, kecuali untuk ‘komitmen terhadap karyawan’, ‘komitmen terhadap debitur’, dan ‘komitmen terhadap komunitas’.Kata Kunci: Pengungkapan, Islamic Corporate Social Responsibility, Profitabilitas, Bank Umum Syariah. ABSTRACTThis study aims to determine the impact of the disclosure of individual dimensions of Islamic Corporate Social Responsibility (ICSR) reports on profitability in Islamic commercial banks. In this study, a quantitative approach was used with the panel data regression method and with the help of a statistical tool, namely Eviews 9. There were 10 Islamic commercial banks in Indonesia in the 2016-2020 period which were used as samples in this study. The measurement of ICSR disclosure is carried out using content analysis techniques based on items that describe Islamic values in the bank's annual report so as to produce a disclosure index of the Index Social Reporting (ISR). The results of hypothesis testing indicate that simultaneously the disclosure of ICSR has a significant positive effect on the profitability of Islamic commercial banks. Partially, the disclosure of individual dimensions of ICSR does not have a statistically significant relationship between individual dimensions of ICSR on profitability, except for 'commitment to employees', 'commitment to debtors', and 'commitment to community'.Keywords: Disclosure, Islamic Corporate Social Responsibility, Profitability, Islamic Commercial Banks.

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The impact of corporate social responsibility on employee performance and cost

Review of Accounting and Finance ◽

10.1108/raf-03-2014-0025 ◽

2015 ◽

Vol 14 (3) ◽

pp. 262-284 ◽

Cited By ~ 24

Author(s):

Li Sun ◽

T. Robert Yu

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Employee Performance ◽

Labor Cost ◽

Ordinary Least Squares ◽

Least Squares Regression ◽

Socially Responsible ◽

Content Type ◽

Corporate Social ◽

The Impact

Purpose – The purpose of our paper is to empirically examine the conjectures, which prior literature suggests, that employees work more productively in socially responsible companies and employees are willing to work for less when they work for these companies. Design/methodology/approach – This study uses ordinary least squares regression to examine the relationship between corporate social responsibility (CSR) and employee performance and between CSR and employee cost. Further, 2SLS is used to address the endogeneity issue. Findings – The results indicate a positive relation between CSR and employee performance, suggesting that employees in socially responsible companies generate better operating performance than their peers in less socially responsible companies. Findings also reveal that socially responsible companies incur higher labor cost. Research limitations/implications – First, the CSR ratings constructed by KLD Inc. are an approximate measure of CSR performance. Better CSR measures may yield stronger results. Additionally, the sample firms in our study are relatively large firms. Caution needs be exercised when readers generalize these conclusions. Finally, this sample only consists of public firms. Whether these conclusions hold in private firms remains unknown. The above issues can be investigated in future studies. Practical implications – The findings of our study should interest managers who contemplate engaging in socially responsible activities, investors and financial analysts who assess firm performance and policymakers who design and implement guidelines on CSR programs. Originality/value – This is the first paper that directly tests the association between CSR and employee performance and cost. Thus, this study contributes to the CSR literature by offering evidence to show a positive effect of CSR on employee performance. It also contributes to the management accounting literature.

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Impact of Women and Independent Directors on Corporate Social Responsibility and Financial Performance: Empirical Evidence from an Emerging Economy

Sustainability ◽

10.3390/su13116053 ◽

2021 ◽

Vol 13 (11) ◽

pp. 6053

Author(s):

Chenxi Wang ◽

Xincai Deng ◽

Susana Álvarez-Otero ◽

Muhammad Safdar Sial ◽

Ubaldo Comite ◽

...

Keyword(s):

Corporate Social Responsibility ◽

Social Responsibility ◽

Regression Model ◽

Financial Performance ◽

Emerging Economy ◽

Independent Directors ◽

Executive Directors ◽

Csr Reporting ◽

Corporate Social ◽

The Impact

The purpose of our study is to investigate the impact of women and independent directors on corporate social responsibility and financial performance. We use the fixed effect regression model as a baseline methodology. The data set includes information from 2010 to 2019 regarding Chinese non-financial companies, from which we use yearly information. The RSK rating is used for the assessment of corporate social responsibility reporting, ranging from 0 to 100, and other data are taken from the China stock market and accounting research (CSMAR) database. We use a two-stage least square (TSLS) regression model to control the possible problem of endogeneity. The empirical results show that gender diversity in boards significantly and positively affects CSR reporting. We do not find an effect due to non-executive directors on CSR reporting. The presence of non-executive directors on a board is mostly trivial in the case of China, as they do not have much influence with regard to decision making, especially related to CSR reporting. The control variables, such as board size, board member meeting frequency and leverage, are also found to have a significant effect on CSR reporting. Therefore, our results add a new aspect to the emerging literature on CSR reporting, especially in China. Furthermore, our results are robust with regard to the alternative variables under consideration. Our study has important implications. Our research enriches the existing literature on CSR and highlights the importance of female and independent directors having an impact on decisions related to the increased reporting of CSR activities. Our study contributes to the existing literature by presenting a pioneering investigation of the effect of female and independent directors on CSR reporting, as well as shedding light on the relationship in the context of an emerging economy.

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