Corporate social responsibility effect on firm's financial performance in Jordan (original) (raw)
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European Journal of Business and Management, 2013
This study aimed to assess the level of social responsibility in the service sector for the Jordanian companies by test several factors like: EPS, ROA, ROE, Div, NI, LEV, and Size (Z) & product age for the company (G) to determine the level of Social Responsibility. To achieve this study the researchers developed a list of indicators of social responsibility consisted of (25) items that applied to a sample of 58 Jordanian public shareholding service companies which a listed on the Amman Stock Exchange in 2012. The results showed that the service companies shoulder their responsibilities social by level (33.5%), and the index of social responsibility towards to human resources is the most attention by the companies, while their responsibilities towards to the environment are considered weak when compare it with other social indicators. And the results showed that the rate of return on equity is the most influential on social responsibility in service companies, and that there is a negative effect between the net operating profit and company's responsibility towards of society and the environment and the direction of the service, and positive effect of earnings per share and leverage on the direction of the social responsibility of human resources, and a negative effect on the size of the company's social responsibility towards of service.
2012
This research examines the effects of Corporate Social Responsibility on the financial performance. The corporate social responsibility is measured by an investigation which is addressed to a 30 companies. Thus the financial performance is measured using two accounting variables: return in assets (ROA) and return in equity (ROE). The financial data are those of 2004, 2005, 2006, and 2007 reports. The results show the absence of relationship between the RSE and the financial performance measured by ROA, whereas there is a positive relationship if the financial performance is measured by the ROE.
2014
This paper investigates the effect of corporate social responsibility (CSR) on organization performance. It uses cross sectional data from non-financial companies in Egypt that derived from the Kompass Egypt data base. Regression analysis was used to explain the relationship and the effect of CSR on organization financial performance. The findings of this study found that there is a positive and significant effect of CSR on firm performance. Also, all CSR dimensions have significant relationship with firm financial performance. Furthermore, one of the conclusions of this study is that larger and older firms have a positive effect on financial performance (profitability) which will lead to enhance use of better CSR practice.
Impact of corporate social responsibility on financial performance of listed Moroccan companies
International Journal of Financial Accountability, Economics, Management, and Auditing (IJFAEMA)
This paper aims to study empirically the relationship between corporate social responsibility (CSR) and financial performance (FP) in the Moroccan context. We opted for a longitudinal study of listed companies over the period 2012-2017. We have used the accounting and financial indicators to assess FP. In the absence of an index which measures the score of the PS, we opted for a dichotomous variable which takes a value 1 if the company is labeled CSR by the CGEM and value 0 if not. Control variables are measured by size, age, risk, and industry. Panel data are used as well to analyze data. Findings of this study indicate mixed results. Indeed, we have found a positive impact of CSR on PF, when using ROA as proxy for FP. However, when using ROE as proxy for FP, we do not find any impact of CSR on FP (neutral impact). We found that ROS is linked negatively with CSR.
This study aims to present a suggested framework for Corporate Social Responsibility (hereafter CSR) and to examine if there is a relationship between (CSR), bank size, the level of risk in the bank and Advertising Intensity (hereafter ADINT) on one hand and the Corporate Financial performance (hereafter CFP) on the other hand in the Jordanian banking companies.As such, this study relied on the financial reports from banking companies listed in Jordanian Stock Exchange for the year 2011 and conducted literatures and empirical studies to obtain the results. statistical techniques are used to analyze data. Throughout this study, it is concluded that there is a significant positive relationship between (CSR), bank size, the level of risk in the bank and ( ADINT) on one hand and (CFP) on the other hand in the Jordanian banking companies.The study has insisted on the importance of adopting (CSR) in the banking sector and the importance of preparing more researches related to (CSR) field.
This study aims to present a suggested framework for Corporate Social Responsibility (hereafter CSR) and to examine if there is a relationship between (CSR), bank size, the level of risk in the bank and Advertising Intensity (hereafter ADINT) on one hand and the Corporate Financial performance (hereafter CFP) on the other hand in the Jordanian banking companies.As such, this study relied on the financial reports from banking companies listed in Jordanian Stock Exchange for the year 2011 and conducted literatures and empirical studies to obtain the results. statistical techniques are used to analyze data. Throughout this study, it is concluded that there is a significant positive relationship between (CSR), bank size, the level of risk in the bank and (ADINT) on one hand and (CFP) on the other hand in the Jordanian banking companies.The study has insisted on the importance of adopting (CSR) in the banking sector and the importance of preparing more researches related to (CSR) field.
The Effect of Social Responsibility on Financial Performance of Companies
In addition to being responsible for their owners, economic enterprises are required to fulfill their social responsibilities for public health as well. Social responsibility, on the one hand, leads to the consistency of economic benefits with environment and on the other hand, leads to the growth and sustainability of the company's business. The purpose of this study is to investigate the impact of social responsibility on corporate performance. The sample of the study consists of (92) companies that are active in the Stock Exchange during the period of (2002-2011). Designing a new pattern of social responsibility is done using DEA method and corporate performance measures include (return on assets, return on equity, real stock returns, Q-Tobin ratio, the market value of equity, economic value added, and cost of common stock). Models were tested using linear regression method in Eviews software. Results showed a significant relationship between social responsibility and corporate performance.
2012
This study aims to present a suggested framework for Corporate Social Responsibility (hereafter CSR) and to examine if there is a relationship between (CSR), bank size, the level of risk in the bank and Advertising Intensity (hereafter ADINT) on one hand and the Corporate Financial performance (hereafter CFP) on the other hand in the Jordanian banking companies.As such, this study relied on the financial reports from banking companies listed in Jordanian Stock Exchange for the year 2011 and conducted literatures and empirical studies to obtain the results. statistical techniques are used to analyze data. Throughout this study, it is concluded that there is a significant positive relationship between (CSR), bank size, the level of risk in the bank and ( ADINT) on one hand and (CFP) on the other hand in the Jordanian banking companies.The study has insisted on the importance of adopting (CSR) in the banking sector and the importance of preparing more researches related to (CSR) field.
2020
With globalization pressures and increasing burdens on governments to provide comprehensive social services, there is now a need to better understand how firms play their part in sharing these burdens. In this study, the influence of social performance on financial performance in the listed companies at Tehran Stock Exchange ( T. S. E) is evaluated. The relationship between corporate social performance and corporate financial performance has been studied intensively with mixed results. Although the relationship between corporate social responsibility and financial performance has become a hot topic of the Western management community after several decades of arguments, there is still no empirical literature about the relationship between Iranians companies' CSR and financial performance. According to these the purpose of the paper is to examine the relationship between corporate social performance and financial performance in Iranian context. In this study, based on the rating ...
Corporate Social Responsibility and Financial Performance: Evidence from Tunisian Market
The issue of this paper is to assess the contribution of social responsibility on the development and increase of corporate financial performance. Our paper uses a sample of Tunisian companies from industrial and service sector to test the relationship social-financial performance using three steps representing the responsibility to employees, the environmental responsibility and responsibility to the community. The results have stipulated the existence of significant relationship.