The Moderating Effect of Firm Visibility on the Corporate Social Responsibility-Firm Financial Performance Relationship: Evidence from France

Panel Data ◽

Social Responsibility ◽

Financial Performance ◽

Moderating Effect ◽

Legitimacy Theory ◽

Corporate Social ◽

This research aims to analyze the role played by firm visibility in moderating the relationship between Corporate Social Responsibility (CSR) and Firm Financial Performance (FFP). Based on the legitimacy theory, a firm’s responses to stakeholder’s expectations would be affected by its public visibility; we hypothesize a positive link between CSR and firm visibility. Moreover, visibility is expected to moderate the CSR-FFP relationship. We applied a Moderated Regression Analysis using the aggregate ESG scores as a CSR proxy on a panel data of listed French Companies (SBF120) over the period 2008–2017. Our findings are in line with legitimacy theory, suggesting that social initiatives would be mean to strengthen the legitimacy and to secure “license to operate”. Furthermore, firm visibility would be a contingency variable that moderates positively CSR-FFP relationship.

CORPORATE SOCIAL RESPONSIBILITY AND FINANCIAL PERFORMANCE: THE SPANISH CASE

Revista de Administração de Empresas ◽

10.1590/s0034-759020160103 ◽

2016 ◽

Vol 56 (1) ◽

pp. 20-28 ◽

Cited By ~ 19

Author(s):

CRISTINA MADORRAN ◽

TERESA GARCIA

Keyword(s):

Panel Data ◽

Stock Market ◽

Social Responsibility ◽

Financial Performance ◽

Stock Market Index ◽

Market Index ◽

The Subject ◽

Corporate Social ◽

ABSTRACT The enormous interest aroused by corporate social responsibility both in the academic and the business worlds forms the background for this study. Its objective is to analyze the relationship between corporate social responsibility and financial performance in view of the debate in the literature on the subject. The study focuses on a sample of Spanish companies taken from the IBEX 35 stock market index, using panel data methodology, which offers advantages in comparison to methodologies used in other studies. We analyzed the period from 2003 to 2010. Our findings suggest that there is no obvious relationship between corporate social responsibility and financial results, at least in the case of Spain.

THE IMPACT OF CORPORATE SOCIAL RESPONSIBILITY (CSR) ON ISLAMIC BANKING PERFORMANCE IN MALAYSIA

Advanced International Journal of Banking, Accounting and Finance ◽

10.35631/aijbaf.38001 ◽

2021 ◽

Vol 3 (8) ◽

pp. 01-15

Author(s):

Nur Hanisah Razali ◽

Nizam Jaafar ◽

Ismail Ahmad

Keyword(s):

Social Responsibility ◽

Financial Performance ◽

Future Research ◽

Socially Responsible ◽

Effect Regression ◽

Corporate Social ◽

The Impact ◽

Corporate Social Responsibility (CSR) activities can lead the company to gain better recognition from citizens and investors. CSR has become one of the added values for a company in increasing competition from global and domestic. However, there are some critics who contend that the CSR benefits surpass the actual cost and some also claim that for the company to be socially responsible is too expensive. Therefore, the objective of this study is to determine the relationship between Corporate Social Responsibility (CSR) impacts on the Islamic Banks' financial performance, specifically in Malaysia. This study used Fixed Effect Regression Model to achieve the objectives of this study. The independent variables used to determine CSR comprise of environment, community, and workplace and marketplace expenditure ratio. Meanwhile, to measure the financial bank performance that is the dependent variable, Return on Asset (ROA) is used in this study. Based on this model, the researcher concluded that CSR’s elements which are environment, community, and marketplace have significant impacts on banks financial performance. This is consistent with Stakeholder Theory which states that the firm financial performance is determined by external stakeholders. In order to enhance the study future research may segregate the focus of the study specifically on Islamic Bank or conventional banking. Future research may also conduct research on the different industries.

How does corporate social responsibility influence firm financial performance?

Corporate Governance ◽

10.1108/cg-10-2020-0467 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Sourour Ben Saad ◽

Lotfi Belkacem

Keyword(s):

Social Responsibility ◽

Capital Structure ◽

Financial Performance ◽

Content Type ◽

Structure Channel ◽

Csr Disclosure ◽

Corporate Social ◽

Purpose This paper has three main purposes. First, this paper aims to study the effect of corporate social responsibility (CSR) on firm financial performance. Second, this study aims to examine how mandatory CSR disclosure impacts financial performance. Further, this paper aims to investigate the intervening role of capital structure decisions on the relationship between CSR and financial performance. Design/methodology/approach Based on a sample of French non-financial listed companies over the period 2006–2017, this study uses structural equations modeling and a difference-in-differences approach to highlight these effects. Findings This paper finds that CSR has a significant positive association with financial performance. In addition, although the mandate does not require firms to spend on CSR, the socially responsible firms experience an increase in profitability subsequent to the mandate. Finally, this study argues and finds evidence that the relationship between CSR and financial performance is mediated through the capital structure channel. Originality/value This paper contributes to the literature in several ways. First, the study provides a new research stream by examining the effect of mandatory CSR disclosure on firm financial performance. Second, is to knowledge the first to examine whether and how CSR affects financial performance through the capital structure channel.

Effects of Corporate Social Responsibility on Corporate Financial Performance: A Competitive-Action Perspective

Journal of Management ◽

10.1177/0149206315602530 ◽

2015 ◽

Vol 44 (3) ◽

pp. 1097-1118 ◽

Cited By ~ 58

Author(s):

Kwang-Ho Kim ◽

MinChung Kim ◽

Cuili Qian

Keyword(s):

Social Responsibility ◽

Financial Performance ◽

Corporate Financial Performance ◽

Socially Responsible ◽

Competitive Action ◽

Using Data ◽

Corporate Social ◽

We attempt to provide a more nuanced view of the relationship between corporate social responsibility (CSR) and firm financial performance using a competitive-action perspective. We argue that competitive action should be considered as an important contingency that determines the effects of CSR activities on firm financial performance. Using data for 113 publicly listed U.S. firms in the software industry between 2000 and 2005, we found that socially responsible activities (positive CSR) enhance firm financial performance when the firm’s competitive-action level is high, whereas socially irresponsible activities (negative CSR) actually improve firm financial performance when the competitive-action level is low. By introducing competitive action as an important contingency, this study contributes to the literature on CSR and strategic management.

Corporate social responsibility and future financial performance

EuroMed Journal of Business ◽

10.1108/emjb-11-2017-0044 ◽

2018 ◽

Vol 13 (3) ◽

pp. 351-371 ◽

Cited By ~ 22

Author(s):

Mahdi Salehi ◽

Mahmoud Lari DashtBayaz ◽

Sohila Khorashadizadeh

Keyword(s):

Social Responsibility ◽

Financial Performance ◽

Emerging Market ◽

Return On Assets ◽

Content Type ◽

The Future ◽

Corporate Social ◽

Purpose The purpose of this paper is to investigate the relationship between corporate social responsibility (CSR) expenditures and firm financial performance in an emerging market. Design/methodology/approach The authors examine the hypotheses by performing panel data analysis on a sample of 159 companies listed on the Tehran Stock Exchange during 2010–2015. Findings The findings suggest that the investment in CSR initiatives is significantly and positively associated with firm financial performance as proxied by changes in return on assets. Moreover, the findings confirm a positive and significant association between CSR expenditures and firm financial performance as proxied by both the future changes in return on assets and the future changes in operating cash flows scaled by total assets. Originality/value The present study has examined the relationship between CSR and firm financial performance in a country where, to the authors’ knowledge as in most other developing markets, such a relationship has not been a subject of empirical research. Besides, the use of a three-dimensional measure of financial performance, primarily considering research undertaken in an emerging market, as a valuable contribution may be observed.

Corporate Social Responsibility and Financial Performance: Exploring the Relationship

Management and Labour Studies ◽

10.1177/0258042x0503000301 ◽

2005 ◽

Vol 30 (3) ◽

pp. 211-223 ◽

Cited By ~ 4

Author(s):

H. S. Sandhu ◽

Shveta Kapoor

Keyword(s):

Regression Analysis ◽

Social Responsibility ◽

Financial Performance ◽

Correlation And Regression Analysis ◽

Considerable Research ◽

Results Reporting ◽

Corporate Social ◽

Although there has been considerable research into the relationship between corporate social responsibility and financial performance, yet no real consensus exists as various studies revealed conflicting results reporting positive, negative or inconclusive relationship between the two. Based on the dataset of 20 leading companies operating in India and covering a three-year period from 2000-01 to 2002-2003, this paper is an attempt to explore the association between corporate social responsibility and financial performance. The relationship is examined by using correlation and regression analysis which revealed no significant association between the variables under study.

The impact of corporate social responsibility on firm performance: Evidence form a MENA country

Corporate Ownership and Control ◽

10.22495/cocv12i1c9p1 ◽

2014 ◽

Vol 12 (1) ◽

pp. 761-774 ◽

Cited By ~ 7

Author(s):

Mohamed A. K. Basuony ◽

Reham I. Elseidi ◽

Ehab K. A. Mohamed

Keyword(s):

Firm Performance ◽

Social Responsibility ◽

Financial Performance ◽

Organization Performance ◽

Cross Sectional ◽

Corporate Social ◽

The Impact ◽

This paper investigates the effect of corporate social responsibility (CSR) on organization performance. It uses cross sectional data from non-financial companies in Egypt that derived from the Kompass Egypt data base. Regression analysis was used to explain the relationship and the effect of CSR on organization financial performance. The findings of this study found that there is a positive and significant effect of CSR on firm performance. Also, all CSR dimensions have significant relationship with firm financial performance. Furthermore, one of the conclusions of this study is that larger and older firms have a positive effect on financial performance (profitability) which will lead to enhance use of better CSR practice

PENGARUH KINERJA KEUNGAN TERHADAP NILAI PERUSAHAAN DENGAN PENGUNGKAPAN CORPORATE SOCIAL RESPONSIBILITY SEBAGAI VARIABEL PEMODERASI

Jurnal Akuntansi Trisakti ◽

10.25105/jat.v4i2.4838 ◽

2019 ◽

Vol 4 (2) ◽

pp. 245 ◽

Cited By ~ 1

Author(s):

Abdul Gaffar Rafid ◽

Hotman Tohir Pohan ◽

Ice Nasyrah Noor

Keyword(s):

Regression Analysis ◽

Linear Regression ◽

Social Responsibility ◽

Financial Performance ◽

Firm Value ◽

Linear Regression Analysis ◽

Corporate Social ◽

The Cost ◽

The Study examined the effect of the allocation of the cost of social responsibility as a proxy of the disclosure of Corporate Social Responsibility) on the relationship between ROA as a proxy of the financial performance of the company’s value and the impact of the cost allocation of social responsibility as a proxy of the financial performance of the company’s value. The purpose of research is to find empirical evidence of (a) the effect of financial performance ROA on firm value, (b) the effect of the financial performance of CR on firm value (c) the effect of CSR on the relationship between ROA enterprise value (d) the effect of CSR on the relationship between CR with the value of the company.The sample in this research is manufacturing companies listed in Indonesia Stock Exchange (IDX) in the range of 2013-2015. Samples were as many 33 companies with 95 observation. Analysis of data using multiple linear regression analysis.Result of research by linear regression analysis showed that the ROA have negative significant effect on firm value. Than the results of linear regression analysis showed that the CR also has a negative significant effect on firm value. Furtermore, linear regression analysis reveals that the disclosure of CSR is not able to oderate the relationship between ROA on firm value. But unlike the CR, research results show that the disclosure of CSR is able to moderate the relationship between CR on firm value. Simulataneous the independent variable affects the company’s value.

Corporate Social Responsibility and Financial Performance in Nepalese Commercial Banks

Nepalese Journal of Management Research ◽

10.3126/njmgtres.v1i0.37319 ◽

2021 ◽

Vol 1 ◽

pp. 30-34

Author(s):

Naba Raj Adhikari

Keyword(s):

Social Responsibility ◽

Financial Performance ◽

Commercial Banks ◽

Banking Sector ◽

Joint Venture ◽

Positive Impact ◽

Corporate Social ◽

This study aims to identify the relationship between corporate social responsibility and financial performance of commercial banks in Nepal. Out of the 28 commercial banks under the population, only 6 banks were selected as the sample for the study through purposive sampling technique comprising 2 government owned, 2 joint venture and 2 private commercial banks covering financial year ranges from 2016/17 to 2018/2019. The results indicate that CSR exerts positive impact on financial performance of the Nepalese government owned banks and provides great insights for management, to integrate the CSR with strategic intent of the business. In contrary it revealed negative impact on financial performance in joint venture banks. Furthermore CSR have significantly low positive impact on financial performance. The study concluded that the relationship between CSR and firm financial performance differs in every category of Nepalese commercial banks. This study can be used for further research regarding corporate social responsibility and financial performance in cross banking sector as well as cross country comparisons.

Effect of Corporate Social Responsibility Disclosure on Financial Performance with Audit Quality as a Moderating Variable

Binus Business Review ◽

10.21512/bbr.v7i2.1687 ◽

2016 ◽

Vol 7 (2) ◽

pp. 149 ◽

Cited By ~ 1

Author(s):

Kartika Dewi ◽

Monalisa Monalisa

Keyword(s):

Regression Analysis ◽

Social Responsibility ◽

Financial Performance ◽

Audit Quality ◽

Stock Exchange ◽

Total Data ◽

Csr Disclosure ◽

Corporate Social ◽

This article aimed to examine the influence of Corporate Social Responsibility (CSR) disclosure to the financial performance proxy on Return on Assets (ROA), Return on Equity (ROE), and company value proxy on Price to Book Value (PBV) empirically as well as knowing the existence of the audit quality as moderating variable whether it will affect the relationship between CSR disclosure on ROA, ROE, and PBV. The object of this study was mining companies listed on the Indonesia Stock Exchange period 2010-2012. The sample was selected using a purposive sampling method and obtained samples as many as 26 companies with a total data of 78 data. Hypothesis testing methods used were simple regression analysis and moderated regression analysis. The results of this study showed that Corporate Social Responsibility (CSR) disclosure had an effect on ROA, but had no effect on ROE and PBV, and audit quality as a moderating variable could not affect the relationship of CSR disc losure on ROA, ROE, and PBV.