The empirical research on the relationship between social responsibility and financial performance of oil companies

Abstract

The oil companies' social responsibility is divided into the economic responsibility, social welfare responsibility and safety environmental responsibility. Three hypotheses are put forward and a Model is built, The listed oil companies from 2005 to 2009 in the SSE and the Shenzhen Stock Exchange as samples are taken as the research object and through the empirical study examines the relationship between social responsibility and financial performance. Through the empirical research the paper can draw the following conclusions: The fulfillment of economic responsibilities can help enterprises improve their financial performance; The fulfillment of social welfare responsibilities will affect the improvement of financial performance; The fulfillment of safety and environmental protection responsibilities can help enterprises increase financial performance.