Choi, Jong-Seo and Kwak, Young-Min and Choe, Chongwoo (2010): Corporate Social Responsibility and Corporate Financial Performance: Evidence from Korea.
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This paper studies the empirical relation between corporate social responsibility (CSR) and corporate financial performance in Korea using a sample of 1122 firm-years during 2002-2008. We measure corporate social responsibility by both an equal-weighted CSR index and a stakeholder-weighted CSR index suggested by Akpinar et al. (2008). Corporate financial performance is measured by ROE, ROA and Tobin’s Q. We find a positive and significant relation between corporate financial performance and the stakeholder-weighted CSR index, but not the equal-weighted CSR index. This finding is robust to alternative model specifications and several additional tests, providing evidence in support of instrumental stakeholder theory.
|Item Type:||MPRA Paper|
|Original Title:||Corporate Social Responsibility and Corporate Financial Performance: Evidence from Korea|
|Keywords:||corporate social responsibility; corporate financial performance; KEJI index; instrumental stakeholder theory|
|Subjects:||M - Business Administration and Business Economics; Marketing; Accounting > M1 - Business Administration > M14 - Corporate Culture; Social Responsibility
D - Microeconomics > D2 - Production and Organizations > D21 - Firm Behavior: Theory
L - Industrial Organization > L2 - Firm Objectives, Organization, and Behavior > L21 - Business Objectives of the Firm
G - Financial Economics > G3 - Corporate Finance and Governance > G30 - General
|Depositing User:||Chongwoo Choe|
|Date Deposited:||19. Apr 2010 07:01|
|Last Modified:||04. Sep 2013 02:44|
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