Corporate Social Performance Research Articles

Consistency among common measures of corporate social and sustainability performance

The objective of this study is to thoroughly evaluate and compare three popular databases used in research on the environment, society and governance. Our analysis aims to establish construct validity, and thus addresses the difficulty in choosing which data providers to use for this type of research, and whether findings are comparable across the three databases and applicable to firms in different countries. The most widely used database, referred to as KLD (Kinder, Lydenberg, and Domini), is used to help establish the construct validity of measures coming from the other databases, known as Sustainalytics and Asset4. Frequently used measures from the three databases are highly correlated, and tests of the relationships between composite measures from the databases and financial performance are consistently positive. Even a more focused stakeholder management measure doesn't materially alter the results, suggesting that stakeholder-oriented firms also tend to be socially responsible in ways beyond stakeholder relationships, such as in preserving the environment. We also find that Sustainalytics and Asset4 track substantially more variables and contain many more international firms than KLD, making them more flexible for empirical work on this topic.

Can sports-based corporate social responsibility performance reflect firms' market values and risks? Intertemporal evidence from Taiwan iSports corporate award-winning firms

PurposeWith the growing popularity of sports in Taiwan, the Sports Administration under the Ministry of Education introduced the Taiwan iSports Corporate Award campaign. This emphasised sports for employees and assisted in developing and supporting corporate social responsibility (CSR) activities in the sports industry through collaboration with firms, thereby enhancing their corporate image, facilitating the recruitment of high-quality employees and highlighting healthy human resources and brand value. Can sports-based CSR performance reflect firms' market values and reduce their market risks? This study regards Taiwan iSports Corporate Award announcements as important sports-based CSR disclosures and incorporates financial econometrics to examine the relationship between the announcement of sports-based CSR performance and firms' market values and risks.Design/methodology/approachAn event study is conducted to clarify the reactions of the Taiwan iSports Corporate Award announcement event on the abnormal returns of award-winning firms during the 2016–2021 period, and a regression discontinuity design (RDD) model is employed to verify the robustness of the empirical results using the event study method.FindingsTaiwan iSports Corporate Award announcements are not significantly reflected in the positive abnormal returns of award-winning firms. No causal relationship is found between the two. However, there are signs of relatively less systematic risks when investing in award-winning firms than in the market.Originality/valueThis study provides empirical evidence and managerial implications for Taiwan iSports Corporate Award-winning firms. It effectively enables business operators, sponsors or investors to understand the reactions of announcing sports-based CSR performance on the financial market and provides references for corporate organizations' CSR and sustainable development.

Deep-diving into the relationship between Corporate Social Performance and Corporate Financial Performance - A comprehensive investigation of previous research

Corporate social performance (CSP) and corporate financial performance (CFP) have been studied widely in the last fifteen years. These major efforts in research and publication might have been expected to produce aligned results but is it not the case; this paper aims to study why there is no consensus among them. By using the bibliometric data obtained from Scopus, this paper looks at four bibliometric indicators (journals, authors, countries, areas) for published work. We look for papers between 1977 and 2018 and identify a total of 371. The findings reveal that there are at least five key journals publishing in CSP-CFP relationship. There is a lack of co-occurrence between authors, regarding areas, two distinct perspectives are detected: one based on sustainability and social responsibility and the other linked more closely to marketing, and both perspectives can be connected via stakeholder theory. It contributes using bibliometric approach, it shows a reason to align the results around the relationship between CSP-CFP and open the windows to create a theory. Finally, the findings of this paper provide insights to the researchers on the development of social responsibility. The disparity of results in this line enriches analysis but does not outcome in a single line of contribution to science, thus decreasing the potential for channelling studies into a single theory. This only seems possible if contributions can be focused on the nexus that unites them: stakeholder theory.

The Role of Investor Trust in Mediating Corporate Social Responsibility, Environmental Performance and Financial Performance on Firm Value in Manufacturing Companies Listed on the Indonesia Stock Exchange

This study aims to determine, test, and prove the effect of Corporate Social Responsibility, environmental performance, and financial performance on firm value by mediating investor trust. Corporate Social Responsibility, environmental performance, and financial performance are aspects that can be given by companies to be responded to by investors. All aspects carried out by the company are a form of effort to increase the value of the company. This type of research is explanatory research using a quantitative approach to test the hypothesized variables. Manufacturing companies listed on the Indonesia Stock Exchange in 2017-2021 became the population in this study and used a purposive sampling method to determine the research sample so that the results found 38 companies. The data that has been collected is then subjected to descriptive statistic testing, classic assumption testing, hypothesis testing, path analysis. The results of the tests that have been carried out show that Corporate Social Responsibility has an effect on investor trust, while environmental performance and financial performance have no effect on investor trust. Corporate Social Responsibility has no effect on firm value, while environmental performance, financial performance, and investor trust have an effect on firm value. Corporate Social Responsibility has an effect on firm value by mediating investor trust, while environmental performance and financial performance have no effect on firm value by mediating investor trust.

Research on the Impact of Corporate Social Responsibility on Sustainable Performance: A Multi-dimensional Balance Perspective

ABSTRACT Corporate social responsibility (CSR) emphasizes the coexistence between enterprises and stakeholders so as to achieve the coordinated development of economy, society and environment. Based on the concept of CSR and triple bottom line, this article innovatively puts forward the concept of triple performance balance, which refers to the coordinated development level of corporate economic, social and environmental performance, and tests the impact of CSR fulfillment on corporate balance development. In order to examine the comprehensive balance consequences of CSR, this paper takes Chinese listed companies as samples, and the method of coefficient of variation, ordinary least squares regression as well as grouping test are employed. The results shown that CSR is conductive to the balance development of corporate triple performance, and the attributes of state-owned enterprises and mature period enterprises are beneficial to exerting the positive role of CSR on balance performance. Finally, this research emphasizes the balanced view of corporate responsibility to realize the harmonious and sustainable development of enterprise and society.

Deconstructing corporate environmental, social, and governance performance: Heterogeneous stakeholder preferences in the food industry

AbstractEnvironmental, social, and governance (ESG) performance assessment has emerged as a way to analyze corporate sustainability. However, the literature suggests that stakeholders are not satisfied with advisory firms' current assessment approaches since they do not consider stakeholders' sustainability preferences. Adopting the stakeholder perspective, this study proposes a new approach to assess ESG performance by developing a stakeholder‐specific composite indicator that considers different stakeholder profiles. The proposed approach is empirically implemented to assess the ESG performance of European food firms, as the food industry plays an essential role in achieving the Sustainable Development Goals. The results provide evidence of differences in individual stakeholders' preferences regarding ESG assessment, even within the same stakeholder group (e.g., investors, consumers, or non‐governmental organizations). However, the results reveal that almost all the stakeholders sampled showed individual firm rankings similar to generic rankings provided by advisory firms. In any case, this evidence suggests the need to reconsider how ESG composite indicators are constructed, underlining the value of enhanced transparency and communication with stakeholders to provide more valuable and reliable composite indicators.

Corporate social responsibility performance and the cost of capital in BRICS countries. The problem of selectivity using environmental, social and governance scores

AbstractThe paper aims to test whether corporate social responsibility (CSR) performance affects the costs of debt, equity, and a weighted average of those two components in BRICS countries. Theoretically, a decline in the cost of capital is linked to a decrease in the firm risk. We measure CSR performance using the environmental, social, and governance (ESG) combined score from the Thomson Reuters EIKON database for non‐financial enterprises between 2014 and 2019. A panel regression analysis has been run in order to test whether (1) the inclusion in the ESG combined ranking or (2) the level of the scores for ESG combines is linked to a decline in the cost of capital. Empirical evidence suggests that the level of the ESG combined score does not affect the firm's financial risk. Inclusion in the ESG combined index decreases the cost of equity and the average cost of capital instead. Firms that received an ESG combined score pay lower returns to investors.

Carbon policy risk and corporate capital structure decision

This study examines the relationship between carbon policy risk and corporate capital structure in China. Using a sample of A-share listed firms from 1997 to 2018, we find that carbon policy risk reduces firms' financial leverage. The result is robust to the introduction of difference-in-differences tests, instrumental variable regression, and a placebo test used to address endogeneity, as well as to other tests of alternative measures. This negative relationship is more pronounced for non-state-owned enterprises, firms with low institutional investor ownership, firms with poor corporate social responsibility performance, firms belonging to competitive or carbon-sensitive industries, and firms located in provincial cities. Financing constraints, bankruptcy risk, and government power are potential mechanisms underlying this observation. Our findings provide practical suggestions through which firms can address carbon policy risk and provide guidance to governments and regulators for the further implementation of environmental policies.

Environmental, Social And Governance (ESG): A Bibliometric Review Study

Objective: The aim of this study was to map and analyze the main basic and frontier theoretical currents about international research in Environmental, Social and Governance (ESG). Additionally, we also analyzed which authors, journals and countries are most active in international ESG research.
 Method: We performed a bibliometric analysis focused on co-citation and bibliographic coupling analysis, with exploratory factor analysis techniques and graphic mapping through clustering. Our sample included 405 articles published until December 2021 and indexed in the Web of Science database.
 Results: Through co-citation analysis, we identified 5 research streams, being a) Influence of Organizational Theories on ESG; b) Organizational competitiveness; c) Impact of ESG on financial performance; d) Corporate Social Responsibility; and e) Stakeholder Theory. Through the pairing analysis, we identified 6 theoretical frontier currents, namely: a) sustainable investments; b) Transparency and administrative council; c) Effects of ESG; d) Relationships between financial performance and corporate social performance; e) Relationship between shareholders and ESG; and f) Risks and ESG.
 Originality: As far as we know, this is the most complete bibliometric study on ESG research, covering both basic and frontier theoretical currents.
 Theoretical/methodological contributions: We identify in this work 5 theoretical currents that helped to found and develop ESG research as a scientific (historical) field and point out 6 emerging theoretical currents that help to understand where ESG research is advancing today (border).

Payer–Patient Engagement Framework to Strengthen Ethical Formulary Decision-Making in Rare Disease Arena in the USA

Aim: Develop a Payer–Patient Engagement Framework (PPEF) in rare disease (RD) to incorporate patient preferences/input into payer formulary decisions in the USA. Materials & methods: Targeted literature reviews related to drug value assessment, ethical decision-making and corporate social performance theories were conducted, and integrated with results from 24 payer and patient stakeholder interviews in the USA to construct PPEF. Results: Published literature revealed scant use of patient preferences/input by payers, and the potential relationship between payer's ethical formulary decisions and payer's moral intent/behavior/actions, and their external credibility and reputation. Payer/patient interviews identified formal and informal ways to solicit patient input and incorporate them in drug formulary review materials. PPEF was formulated to engage patients, assess, and act on evidence and perform transparent external communication. Conclusion: PPEF could enable payers to formally solicit and utilize patient input to strengthen RD formulary decisions and enhance orphan drug access and RD patient outcomes.

Assessment of Corporate Social Responsibility Performance of Gokana Local Government Area of Rivers State

This study assessed the corporate social responsibility performance of Gokana Local Government area of Rivers State. Two specific objectives and two research questions guided the study. A descriptive survey research design was adopted in the study. The population of the study comprised of 229,114 respondents and a sample size of 402 was adopted in the study. A self-structured questionnaire was used in collecting the data for the study while mean was used in analyzing the data collected. Findings in the study revealed that; the council engages in corporate social responsibility, the CSR undertaken by the council are on the areas of providing educational grant, provision of infrastructures, improving public /private partnership in its host communities, assesses the needs of the people before embarking on CSR and the CSR has a positive impact on the host communities. Based on these findings, conclusions were made and it was recommended that more CSR activities should be embarked on by the local government council.

The Nexus between Corporate social responsibility (CSR) dimensions and Sustainable corporate performance (SCP) in the Service-based Enterprises Sector: Zimbabwean managerial insights

This study examines the managerial perceptional influence of economic, ethical, environmental and philanthropic responsibilities on sustainable corporate performance (SCP) in Zimbabwean service companies. It aims to understand how these dimensions of corporate social responsibility (CSR) contribute to the overall social performance of service firms in Zimbabwe from managers' perspective, thereby addressing a gap in the existing literature. Despite the current literature on the positive relationship between CSR and SCP, there is a lack of research on the motivations, challenges and strategies used by the Zimbabwean service sector to engage in CSR activities. The study aims to provide a local perspective by examining the impact of different dimensions of economic, ethical, environmental and community responsibility on SCP. The researchers collected data from 650 senior managers, the unit of analysis, in organisations selected from six sub-strata of the service sector in the Harare region. The measurement items of the online questionnaire related to a mix of stakeholders, legitimacy, and triple bottom line theories that guided the data collection process. The empirical findings highlight the importance of environmental and philanthropic considerations in promoting long-term competitiveness. Companies can use the results to manage their corporate social responsibility activities effectively and tailor their social engagement strategies to local environments and specific company situations. This study adds to the current literature on corporate social responsibility and sustainable corporate performance and provides valuable insights for companies in the service sector in Zimbabwe.

Corporate governance and corporate social performance in Lebanese banking sector

Corporate governance and corporate social performance in Lebanese banking sector

Earthquake Risk on Corporate Social Performance

Earthquake Risk on Corporate Social Performance

Corporate Governance and Corporate Social Performance in Lebanese Banking Sector

Corporate Governance and Corporate Social Performance in Lebanese Banking Sector

Integration of CSR into CEOs’ compensation: effects on social and financial performance of French listed firms

Based on the stakeholder model of corporate governance, this research analyzes the relationship between the integration of corporate social responsibility (CSR) into CEO compensation and corporate social and financial performance, in firms listed on France’s SBF 120 stock market between 2015 and 2019. The results of panel data regressions show that indexing CEO compensation on CSR criteria only influence corporate social performance Moreover, social performance has a positive impact on financial performance and a mediating effect between the integration of CSR criteria into CEO compensation and financial performance.

Research on the Impact of Corporate Social Responsibility and Performance under the Background of Carbon Neutralization

Research on the Impact of Corporate Social Responsibility and Performance under the Background of Carbon Neutralization

Corporate Environmental, Social, and Governance (ESG) Performance and the Internal Control Environment

Corporate Environmental, Social, and Governance (ESG) Performance and the Internal Control Environment

An Exploration of the Influence of Corporate Social Responsibility Performances on Shareholders’ Return

An Exploration of the Influence of Corporate Social Responsibility Performances on Shareholders’ Return

Corporate social responsibility, innovativeness and organisational performance in public sector: implications for international public management

Corporate social responsibility, innovativeness and organisational performance in public sector: implications for international public management