Abstract

This study is to clarify the relationship between corporate social responsibility and the enterprise financial performance. On the basis of the stakeholder theory and social contract theory which explain the connotation of corporate social responsibility, this study uses the panel data from 63 listed Chinese food-processing companies to empirically test whether corporate social responsibility can significantly affect the financial performance. After putting forth the research hypothesis and quantifying the research index in the perspective that corporate social responsibility is the contract followed by various stakeholders, correlation analysis and multiple regression are commenced in the research process. The regression result shows that partly of the variables reflecting corporate social responsibility, such as the ratio of net cash flow from operating to liabilities and the ratio of business taxes and surcharges to main business income, are positively correlated with variables describing financial performance, while others, such as the ratio of social donation expenditure to main business income, are not.

Keywords:

Corporate social responsibility, financial performance, food-processing enterprises, multiple regression,

References

Competing interests

The authors have no competing interests.

Open Access Policy

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Copyright

The authors have no competing interests.