Abstract
Using a balanced panel dataset of more than 5000 firms, this study contributes to the literature by making the first investigation in Vietnam into the effect of corporate social responsibility (CSR) on firm efficiency and its decompositions. The results show insignificant relationships between CSR practices and aggregate efficiency. However, the research reveals that in the absence of effective institutions, CSR management and compliance and a committee overseeing CSR activities are essential factors for improving the business environment for enterprises as well as their efficiency.
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