Corporate Social Responsibility News Research Articles

Do Tragic Events Make Investors More Pro-social? Evidence from Japan

This article investigates the impact of the 2011 Great East Japan Earthquake on investor responses to corporate social responsibility (CSR) activities in Japan. Employing Propensity Score Matching and Difference-in-Differences analyses, we analyse investor reactions to both positive and negative CSR news pre- and post-earthquake. Our results indicate a significant increase in share prices for firms that reported positive CSR news post-earthquake, thereby highlighting a heightened investor value on CSR during times of crisis. In contrast, negative CSR news showed a more pronounced negative effect in longer term windows. Additionally, industries directly affected by the earthquake experienced a substantial shift in investor sentiment towards negative CSR news. These findings enhance the understanding CSR’s tole in investor behaviour during crises and offer insights into effective corporate strategies in disaster-prone contexts, particularly in Japan’s unique cultural and economic landscape.

Analisis Konten Aktivitas Corporate Social Responsibility Kampanye Goals pada Website MNC Peduli

This research was conducted to find out the message of the Goal Campaign's Corporate Social Responsibility (CSR) activities in the form of news published by the MNC Group through the MNC Peduli website. In this study, we analyze news message categories, news message content approaches, and CSR news message values. This research was carried out using qualitative methods and content analysis. The findings from this research are that the message categories used by companies in making CSR news messages are hard news and features. The content approach used in creating MNC Peduli's CSR news messages is a social and spiritual approach. MNC Peduli's CSR news message values have fulfilled the five elements of message values. The conclusion of this study is that MNC Group, through MNC Peduli, publishes messages on Corporate Social Responsibility (CSR) campaign goals in the form of published news quite optimally by using categories, content approaches, and values that are in line with stakeholder.

Corporate social responsibility news and stock performance: A systematic literature review

Corporate social responsibility news and stock performance: A systematic literature review

The Story of Corporate Social Responsibility: An Attribution Analysis of the Coverage of U.S. Corporate Responsibility Cases

ABSTRACT Applying media effects and attributions to news coverage of corporate social responsibility (CSR) issues, this content analysis examines recent CSR news in the United States. Results showed that the news media presented CSR activities positively with episodic events, offering proactive solutions to social problems, particularly when the media attributed CSR to corporate motives for social benefits. Opposing results were detected when the media inferred corporations’ business motives from CSR activities. Further, the general non-business media favorably described CSR cases with social motives and episodic events, whereas the business-specific media critically portrayed business motives and thematic issues behind CSR activities. Study implications are discussed.

Determining the critical factors of eWOM about corporate social responsibility on social networking sites: End users' perspective.

It is now possible to propagate CSR information through social media platforms. Electronic word of mouth (eWOM) directly impacts image and upcoming portfolios of the organization. Customers, employees, and other stakeholders generate revenue for the company. Our goal was to understand why people were sharing and commenting in response to terrible reports about corporate social responsibility (CSR) on WeChat. A company’s desire to comment on and share CSR news and its perception of its own social and environmental responsibility were all presumed explanatory variables in our investigation. 315 WeChat users were asked to grade a fictitious news report of the environment. The results were shocking. According to our findings, an individual’s attitude toward actions and the effectiveness of information directly correlates to their social and environmental awareness level. EWOM may be discouraged by a company’s brand name, which has the potential to harm its reputation with its customers.

Assessing the Influencing Factors of Electronic Word-of-Mouth on CSR Issues. A Case of Hospotality Service Industry of China.

Corporate social responsibility (CSR) information can be effectively disseminated via social media in a variety of industries, including the hospitality sector. In the same way, the media has a significant impact on CSR because the news media helps companies achieve their CSR goals. Prior research has not examined the main factors that influence electronic word of mouth (eWOM) on media coverage of CSR issues via social networking websites. For the purpose of examining the most significant predictors of intention to share or comment on negative CSR news reported by one media outlet on a specific social networking site (SNS). 677 Wechat users in China were surveyed in order to test the proposed model empirically. According to the findings of the study, eWOM intentions are positively influenced by environmental CSR content, and advertisement related CSR content. It also confirmed that the value of information is positively influenced by the credibility of the source. The variables interpersonal influencer impact and privacy concerns had no significant relationship, nor did they have any significant relationship with the intentions to share and comment on Wechat. Further the study findings suggest the theoretical and managerial policy recommendation for decision makers.

Modeling the influencing factors of electronic word-of-mouth about CSR on social networking sites.

Corporate social responsibility (CSR) information can now be disseminated via social networking sites. An organization's image and upcoming portfolios are directly affected by electronic word of mouth (eWOM). It generates from its customers, employees, and other stakeholders. We developed a critical model to enlighten the behavior to share and comment on a negative news story about CSR displayed on Wechat and QQ to figure out what was causing this behavior. Structural equation modeling (SEM) and the partial least squares regression (PLS) approach were used to conduct a self-administered survey of hotel customers in China. Social and environmental awareness, information usefulness, corporate image, and a company's motivation to comment and share on CSR news were all considered explanatory variables in our study. We asked 300 Wechat and QQ users to rate a fake environmental news story. We found that social and environmental awareness affects the effectiveness of information and the attitude toward behavior, which may describe the eWOM intent of the particular news. On the other hand, corporate reputation could discourage people from disseminating eWOM and sharing the news with their social linkage contacts. The findings of the study suggest having a better understanding of how specific CSR activities can increase customers' commitment, which leads to positive eWOM, will benefit the hotel industry.

Web-Crawling Architecture in Accounting and Finance Research

ABSTRACT We examine the practice of web-crawling architecture through two logics: combinational logic (CL) and sequential logic (SL) and adopt a test ground on the relationship between price informativeness and corporate social responsibility (CSR) news releases among publicly listed former unicorns. Our results show that the CL approach is more optimal than the SL approach regarding time consumption, storage efficiency and data accuracy, which suggest that CSR media exposures have substantial influence on price informativeness. Both positive (optimistic) and negative (pessimistic)-toned CSR information increases price informativeness. We find that the Diction wordlist displays higher classification accuracy when analyzing CSR news release.

Undervaluation and non‐financial information: Evidence from voluntary disclosure of CSR news

AbstractIn this paper, we examine whether stock market imperfection plays a role in a firm's decision to release non‐financial information and if so, what the underlying channels are. To address our questions, we web‐scraped corporate social responsibility (CSR) news to form a sample of publicly traded non‐financial US firms from CSRwire and explored exogeneous variation in stock valuation driven by institutional price pressure. Our empirical results show that firms facing stock market undervaluation are more likely than others to release CSR news. This effect is concentrated among firms exhibiting low levels of CSR commitment and low stock price informativeness. Finally, we provide evidence that the stock market reacts positively to CSR news released by undervalued firms and more so for undervalued firms with high information asymmetry.

Publicity of Sido Muncul Corporate Social Responsibility News Content During Covid-19 Pandemic

The COVID-19 pandemic which took place in Indonesia in 2020 was an adverse event for various sectors in the country. This case attracted a high level of public attention. Various companies engaged in carrying out corporate social responsibility activities in helping areas affected by COVID-19, one of which was PT. Sido Muncul. CSR activities help companies to get a positive image and maintain customer loyalty through publicity on the online news portal. The purpose of this research is to describe the contents of the news on the online news portal about corporate social responsibility carried out by PT. Sido Muncul during the COVID-19 pandemic. The results of this paper, will describe in detail the types of news issued to report on CSR carried out by it. the researcher choose to analyze with content analysis method by Wimmer and Dominick, this method including; describe the contents of communication, to know about the characteristics of the message, and to supports the study of the effects of mass media. In gathering information and data, the study used qualitative approach with content analysis methods for 8 news items released by various online news portals during the COVID-19 pandemic, starting from March 2, 2020

CSR, Media and Stock Illiquidity: Evidence from Chinese Listed Financial Firms

This paper examines the dynamic relationship among stock illiquidity, corporate social responsibility (CSR) news release and media tone. Using news from 93 news publishers, we investigate the circumstance in which public news release is related to illiquidity by employing the EGARCH-M and the FIGARCH models. The results indicate that CSR news release has a negative and significant impact on stock illiquidity, and media tone effect is asymmetric. Both CSR news and other firm specific general news reduce the volatility persistence and long memory property of stock illiquidity. The sources of news releases matter in impacting stock illiquidity.

Market reactions to CSR news in different industries

PurposeBased on the premises of the institutional theory, in this paper, we explore the effects that the media coverage of positive and negative Corporate Social Responsibility (CSR) news have on the stock market value of companies in diverse industries.Design/methodology/approachUsing a sample of 195 online articles published in the most important Spanish business newspaper, we implement an event study and a regression analysis.FindingsThe findings show that positive and negative CSR news, usually, have significant impacts on the stock market value of companies. Specifically, the market reaction is stronger under the announcement of negative news in all industries (i.e. basic, energy, finance and goods and services), although positive news also cause significant positive stock market reactions in the finance and basic industries.Originality/valueAlthough the media plays an indispensable role in the dialogue around CSR, much of the research focused on the role of the media on the CSR-CFP link does not consider how the industry variable can affect the abnormal stock returns derived from CSR news. This research contributes to this gap in the literature by exploring the differences that exist in the stock market reactions to CSR news based on the industry in which the companies operate.

Determinants of Electronic Word-of-Mouth on Social Networking Sites About Negative News on CSR

Social network sites are a new communication channel to convey CSR information. They are interactive channels that let users participate, spread content and generate positive and negative electronic word-of-mouth about companies (eWOM) that can dramatically affect their reputation and future business. To identify the factors behind this behaviour, we designed a causal model to explain the intention to both comment on and share a negative corporate social responsibility (CSR) news posted on Facebook. We included the following as explanatory variables: social consciousness, environmental consciousness, information usefulness, corporate image and attitude towards sharing and commenting on CSR news. We surveyed 208 Facebook users who evaluated a fictitious news item about an environmental issue. We observed that social and environmental consciousness influences the usefulness of information and the attitude towards behaviour, which may explain the eWOM intention of the specific news. However, corporate image can cause people to refrain from generating eWOM and spreading the news on their friend social network.

Stakeholders versus Firm Communication in Social Media: The Case of Twitter and Corporate Social Responsibility Information

Building on legitimacy theory and prior work on stakeholder management, we study firm Corporate Social Responsibility (CSR) communication in social media. In particular, we analyze the content of over a million microblogs on Twitter relating to CSR in the banking industry. We focus on key issues considered by banks in their CSR reports, which we classify into Core or Supplementary depending on their connection with core business activities. We find that the use of Twitter to communicate CSR information in social media suggests that significant differences exist between the information interests of companies and stakeholders. Outside stakeholders focus on Core CSR issues, whilst firm insiders are relatively more likely to communicate Supplementary CSR issues. Firm insiders’ information dissemination appears biased towards favorable information, and consistent with a legitimacy-based use of social media. Event studies conducted on dates with significant exogenous CSR news confirm the findings of ‘parallel’ talking, and no resemblance in the CSR issues communicated by firms and stakeholders in social media.

Undervaluation and Non-Financial Disclosure: Evidence from Voluntary CSR News Releases

In this paper, we examine whether stock market imperfection plays a role in a firm’s decision to disclose non-financial information and if yes, what are the underlying channels. To address our questions, we web-scraped corporate social responsibility (CSR) news for a sample of publicly traded non-financial US firms from CSRwire and explored the exogeneous variation in stock valuation driven by institutional price pressure. Our empirical results show that firms facing stock market undervaluation are more likely to release CSR news and the effect is concentrated in firms with low CSR commitment and low stock price informativeness. Lastly, we find evidence that stock market reacts positively to CSR news released by undervalued firms, and more so for undervalued firms with high information asymmetry.

Stakeholder salience, positive CSR news and the market value of banks

ABSTRACT This research explores the effects that media coverage of corporate social responsibility (CSR) news related to investor, customer, employee and community issues has on the market value of Spanish banks, measured as the impact generated in abnormal returns for these companies. We use an event study with a sample of 190 positive CSR articles published online between 2015 and 2018 in the most important Spanish business newspaper according to its diffusion rate. The findings demonstrate that positive CSR news related to investor, customer, employee and community issues generates positive abnormal returns for listed banks. In the [−1,+1] window, positive investor news has notably larger effects on the abnormal returns for these companies than positive news related to customer, employee and community issues, which have similar effects.

Do all CSR news affect market value equally?

PurposeThe purpose of this study explores the effects that media coverage of corporate social responsibility (CSR) news related to primary stakeholders (e.g. customers, employees and investors) and secondary stakeholders (e.g. community) have on the market value of companies, measured as the impact generated in the positive and negative abnormal returns for those companies.Design/methodology/approachUsing a sample of 195 online papers published in the most important Spanish business newspaper during 2015, the authors implement an event study and a regression analysis that confirm the importance of CSR news for corporate financial goals.FindingsThe findings show that negative CSR news related to primary stakeholders such as investors and customers generate significant abnormal returns for companies that are notably larger than the abnormal returns generated by secondary stakeholders (e.g. community). Similarly, positive news related to primary stakeholders such as employees are the only positive news that affect market reactions significantly.Originality/valueThe study provides an empirical analysis that clarifies how media coverage of different types of CSR news affect the market value of companies. In doing so, the paper contributes to previous literature significantly because scant research exists that has compared the differential effects of CSR news focused on primary and secondary stakeholders. The findings are discussed under the premises of the managerial perspective of stakeholder theory.

Socially responsible investment returns and news: Evidence from Asia

AbstractWe set out in this study to examine (a) whether “socially responsible investment” (SRI) portfolios can outperform less‐SRI portfolios in the emerging Asian stock markets and (b) whether investors within these emerging markets achieve awareness of SRI through publicly available news. On the basis of 2009–2013 data, we find that SRI portfolios tend to perform better in Japan. However, firms in the emerging Asian markets do not earn rewards for superior corporate social responsibility (CSR) practices. We also find that investors in the emerging Asian markets are indeed aware of SRI through public CSR news releases; in particular, investors in these markets reward high environmental‐, social‐, and governance‐rated firms for their good CSR practices advertised through such news releases, relative to those with no news releases.

Stakeholder and Firm Communication in Social Media: The Case of Twitter and Corporate Social Responsibility Information

Building on legitimacy theory and prior work on stakeholder management, we study firm Corporate Social Responsibility (CSR) communication in social media. In particular, we analyze the content of over a million microblogs on Twitter relating to CSR in the banking industry. We focus on key issues considered by banks in their CSR reports, which we classify into Core or Supplementary depending on their connection with core business activities. We find that the use of Twitter to communicate CSR information in social media suggests that significant differences exist between the information interests of companies and stakeholders. Outside stakeholders focus on Core CSR issues, whilst firm insiders are relatively more likely to communicate Supplementary CSR issues. Firm insiders’ information dissemination appears biased towards favorable information, and consistent with a legitimacy-based use of social media. Event studies conducted on dates with significant exogenous CSR news confirm the findings of ‘parallel’ talking, and no resemblance in the CSR issues communicated by firms and stakeholders in social media.

Voluntary corporate social responsibility disclosure and religion

PurposeThis study examines the relation between voluntary corporate social responsibility (CSR) disclosure and the local religious norms of firms’ stakeholders. Little is known about how these local norms (measured at the county level) affect firms’ disclosure practices and firm value, especially voluntary disclosure on climate change and environmental and social responsibility.Design/methodology/approachPoisson regression models test for a significant relation between firms’ voluntary CSR disclosure intensity and the local religious norms of firms’ stakeholders. Also, an event study tests whether the local religious norms affect investment returns. The data analyzed are extracted from the archive of CSRwire, a prominent news organization that distributes CSR news to investors and the public worldwide.FindingsThe study finds that firms in high adherence (high churchgoer) locations disclose CSR activities less frequently, and firms in high affiliation (a high proportion of non-evangelical Christian churchgoers) locations disclose CSR activities more frequently. The study also finds that managers make firm-value-increasing CSR disclosure decisions that cater to the religious and social norms of the local community.Practical implicationsThe results imply that managers self-identify with the local religious norms of stakeholders and appropriately disclose less about CSR activities when religious adherence is high and when religious affiliation (the ratio of non-evangelicals to evangelical Christians) is low. The authors find this noteworthy because religious bodies often call for greater CSR involvement and disclosure. Yet, at the firm level, it would appear that local community religious norms also prevail, as it is shown that they significantly explain firms’ CSR disclosure behavior, implying that managers cater to local religious norms in their disclosure decisions.Social implicationsThe findings suggest that managers vary the timing and intensity of voluntary CSR disclosure consistent with stakeholders’ local religious and social norms and that it would be costly and inefficient if the firms were to expand CSR disclosure without considering the religious norms of their local community.Originality valueThis is the first large-sample study to show that local religious norms affect CSR disclosure behavior. The study makes use of a unique and novel data set obtained exclusively from CSRwire.