scholarly journals CORPORATE SOCIAL RESPONSIBILITY AND THE MANDATORY INDIAN LEGAL REGIME: UNDERSTANDING WILLINGNESS OF CORPORATIONS

2020 ◽  
pp. 17-23
Author(s):  
Rajdip Bhadra Chaudhuri
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Stakeholder Theory ◽  
Paradigm Shift ◽  
Stock Exchange ◽  
Theoretical Construct ◽  
Legal Regime ◽  
Socially Responsible ◽  
Doing Business ◽  
Corporate Social

The theoretical construct of Corporate Social Responsibility has been developed by authors in the 20th century whereas philanthropic activities have been associated with corporations since its birth. Archie B. Carroll developed 4 dimensions of corporate social responsibility: economic, legal, ethical and philanthropic. This has further garnered the scope of understanding CSR from different perspective. The study aims to harmonize the development of corporate social responsibility focusing on a model based approach depicting a paradigm shift from shareholder to stakeholder theory of doing business. The research also ferrets out the moral and legal dimensions of CSR in India. A study has been made to understand the CSR fund utilization by twenty companies from 2014 to 2018 listed in the Bombay Stock Exchange. This study helps in understanding the willingness of corporations to spend towards CSR activities and subsequently measures have also been suggested for better engagement of corporations to be more socially responsible. KEYWORDS: Corporate social responsibility, Fund, Listed companies, Stakeholder, Willingness

A paradigm shift in corporate social responsibility: India’s transition from mandatory regime to the COVID-19 era

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Aparna Bhatia ◽  
Amandeep Dhawan
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Paradigm Shift ◽  
Design Methodology ◽  
Gradual Increase ◽  
Stock Exchange ◽  
Content Type ◽  
Global Pandemic ◽  
Corporate Social ◽  
Practical Implications

Purpose This study aims to examine the pattern of corporate social responsibility expenditure (CSRE) incurred by Indian companies after the inception of Companies Act 2013. It also highlights the resultant change brought in the corporate social responsibility (CSR) spends of the companies because of COVID-19 pandemic. Design/methodology/approach The CSR index provided by the Ministry of Corporate Affairs under Companies (CSR Policy) Rules 2014, is adopted to measure the extent of CSRE made by top 30 Indian companies listed on Bombay Stock Exchange. To study the pattern of CSRE in various domains mentioned in the CSR index, the study is conducted over four points of time. Three alternative years since the commencement of the Companies Act 2013 i.e. 2014–2015, 2016–2017 and 2018–2019 have been taken up. Additionally, the financial year 2019–2020 is included as it marks the inception of the COVID-19 pandemic. Findings The findings show that the CSRE made by companies is increasing every year over all points of time taken in the study. In addition to this, Indian companies have voluntarily contributed a substantial amount towards COVID-19 relief over and above the required mandatory limits. Practical implications The gradual increase in CSR contributions even above the mandated amount and voluntary contribution towards COVID-19 relief by Indian companies implies that the nature of CSR in India is still philanthropic. Originality/value The study contributes to the CSR literature after the implementation of the mandatory CSR provisions in India and in the wake of the global pandemic caused by COVID-19 as so far there is no such study available in the extant literature.

scholarly journals Corporate Social Responsibility and Accrual-Based Earnings Management: Evidence from Nigeria

2021 ◽  
Vol 12 (5) ◽  
pp. 15
Author(s):  
Chinwe Claire Amake ◽  
Obehioye Usiomon Akogo
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Earnings Management ◽  
Stock Exchange ◽  
Control Variable ◽  
Least Square ◽  
Firm Characteristics ◽  
Manufacturing Companies ◽  
Socially Responsible ◽  
Corporate Social

This study examines the effect of corporate social responsibility (CSR) on accrual based-earnings management (AEM) nexus. We employed the use of panel least square analysis to test twenty (20) manufacturing companies quoted on the Nigerian Stock Exchange (NSE) for a period of seven (7) years (2013-2019). The study used corporate social responsibility as the independent variable, earnings management as the dependent variable and firm characteristics variables as the control variable. In utilizing the econometric models unreceptive to endogeneity, our result shows that corporate social responsibility has a positive and significant relationship with accrual based-earnings management. In addition, the study finds that firm size and leverage both have a negative and insignificant relationship with accrual based-earning management while profitability has a positive but insignificant relationship with accrual based-earnings management in Nigeria. The results show that more socially responsible firms have higher quality accruals. This suggests that manufacturing firms in Nigeria are likely to engage more in earnings management while increasing their corporate social responsibility. Hence, managers in manufacturing companies in Nigeria, have a tendency to take advantage of corporate social responsibility practices according to the environment they find themselves in.   Received: 8 July 2021 / Accepted: 8 August 2021 / Published: 5 September 2021

scholarly journals Corporate Social Responsibility Management

2020 ◽  
Vol 12 (1) ◽  
pp. 270
Author(s):  
Gulnara Raisovna Chumarina ◽  
Guzel Azatovna Abulkhanova
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Business Community ◽  
Current Crisis ◽  
Socially Responsible ◽  
The Sustainable Development ◽  
Current Trends ◽  
Doing Business ◽  
Corporate Social ◽  
The Impact

This article considers current trends and features of the development of corporate social responsibility in Russia in the current crisis, the reasons for the lack of organizations activity in the social responsibility field. The article also determines the impact of the company's social policy on the formation of labour motivation and loyalty of company employees, a positive image of the company for both personnel and the environment. Social responsibility is relevant for all types and sizes of organizations, but it has received the greatest development in large public and the private business community. Russian companies are actively involved in this process. The number of such companies is increasing from year to year. Small and medium-sized businesses are gradually connecting to them. And in the current crisis, corporations and large companies are in an environment where charity projects are actually a “matter of honour" for the company. The problem urgency of corporate social responsibility is due to modern requirements for companies presented by society and the authorities to conduct socially responsible business. In turn, this approach to doing business ensures the sustainable development of companies and leads to the creation of a favourable investment and reputation image.

scholarly journals Corporate social responsibility and financial performance: Evidence from the Johannesburg Stock Exchange, South Africa

2018 ◽  
Vol 21 (1) ◽  
Author(s):  
Elda Du Toit ◽  
Karabo Lekoloane
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Stock Exchange ◽  
The Body ◽  
Socially Responsible ◽  
Responsible Investment ◽  
Johannesburg Stock Exchange ◽  
Body Of Knowledge ◽  
Corporate Social

Background: Stakeholders are increasingly concerned whether the companies they are involved with act in a socially responsible way. However, stakeholders like employees and shareholders also have a direct financial interest in those companies and need to be assured that company actions bring forth some financial benefit.Aim: The research investigated one of the main questions surrounding the concept of corporate socially responsibility, namely whether a company’s investment in and effort towards corporate social responsibility results in improved financial performance. The purpose of this study was to narrow the gap in the body of knowledge in relation to corporate social responsibility and its relationship to financial performance.Setting: This research investigated whether there was a relationship between being listed on the Johannesburg Stock Exchange (JSE) Socially Responsible Investment (SRI) Index and financial performance. The unit of study comprises 885 company-years of companies listed on the JSE over the period 2009–2014.Methods: Logistic regression was used to find evidence of a relationship between a listing on the JSE SRI Index and financial performance.Results: It is evident that there was no real relationship between inclusion on the JSE SRI Index and financial performance, but there was a direct relationship between the size of a company and having a listing on the JSE SRI Index.Conclusion: A listing on the JSE SRI Index does not have a clear and direct impact on financial performance, but it appeared that larger companies are perhaps better able to invest in corporate social activities and are, as a result, more likely to be listed on the JSE SRI Index.

A Study on the Impact of Corporate Social Responsibility on Financial Performance of Companies in India

2020 ◽  
Vol 16 (3) ◽  
pp. 229-237
Author(s):  
Ramandeep Kaur ◽  
Trupti Dave
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Stock Exchange ◽  
Secondary Data ◽  
Annual Reports ◽  
Socially Responsible ◽  
Corporate Social ◽  
The Impact ◽  
Business Philosophy

The main aim of this study is to investigate the impact of corporate social responsibility (CSR) on the financial performance of selected companies listed in the BSE, formerly known as the Bombay Stock Exchange in India. This study is purely based upon the secondary data collected from companies’ annual reports and sustainability reports for last three years ranging from 2016–2017 to 2018–2019. The results indicate that the involvement in socially responsible initiatives has a significantly positive effect on the financial performance of the firms. These findings provide insights to the management to assimilate firm’s CSR initiatives with its strategic business policies and, thus, to renovate the business philosophy from a traditional profit-oriented approach to a socially responsible approach.

scholarly journals Corporate Social Responsibility and Corporate Financial Performance: Evidence from Indian Capital Market

2016 ◽  
Vol 6 (9) ◽  
pp. 240-248
Author(s):  
Lakshmi Viswanathan
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Financial Performance ◽  
Stock Exchange ◽  
Probit Model ◽  
Corporate Financial Performance ◽  
Socially Responsible ◽  
Specific Effects ◽  
Corporate Social ◽  
Significant Factors

The concept of corporate social responsibility (CSR) is welcomed with more enthusiasm in recent years. The present study, is a four phase investigation of the corporate financial performance of socially responsible firms relative to other firms, listed in Bombay Stock Exchange. We start with a comparative analysis of financial performance of CSR and non-CSR firms and then proceed to explore industry-specific effects. After identification of significant factors contributing to financial performance, we conduct an analysis to check for the feed-back effect on CSR using Probit model. We also compute the probability with which a firm is more likely to adopt CSR due to improvement in any of the significant factors.

scholarly journals Measurement of Corporate Social Responsibility: A Review of Corporate Sustainability Indexes, Rankings and Ratings

2020 ◽  
Vol 12 (5) ◽  
pp. 2153 ◽  
Author(s):  
Borja Diez-Cañamero ◽  
Tania Bishara ◽  
Jose Ramon Otegi-Olaso ◽  
Rikardo Minguez ◽  
José María Fernández
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Stakeholder Theory ◽  
Corporate Sustainability ◽  
Theoretical Concept ◽  
Traditional Role ◽  
Socially Responsible ◽  
Responsible Investment ◽  
The Common ◽  
Corporate Social

Companies are currently changing their traditional role in society and transforming it into a proactive role in which their operations generate social and environmental positive impacts. Corporate Social Responsibility (CSR) has evolved from simple philanthropy to a more theoretical concept with a new corporate philosophy that takes all the interests of all stakeholders into consideration. The financial market is pushing the development of Socially Responsible Investment (SRI), which has led to the rise of Corporate Sustainability Systems (CSS). These CSSs are tools that rate corporate performance on sustainability. However, they constitute a chaotic universe, with instruments of different nature. This paper identifies and groups the common characteristics of the CSSs into three different typologies: Indexes, Rankings and Ratings. Despite this classification, and although the fundamental pillar of CSR is the “Stakeholder Theory”, CSSs are still not ideal tools to be used by all stakeholders. From the magma of CSSs, this article identifies and describes, through a comparative analysis, those which best comply with the “Stakeholder Theory”. This paper facilitates the work of researchers and stakeholders by exposing the differential characteristics of the most important CSSs.

scholarly journals A Measurement System Of Corporate Social Responsibility In The Pharmaceutical Industry Of The Region

2010 ◽  
Vol 14 (5) ◽  
Author(s):  
Neda Vitezic
Keyword(s):  
Corporate Social Responsibility ◽  
Pharmaceutical Industry ◽  
Social Responsibility ◽  
Stakeholder Theory ◽  
Measurement System ◽  
Pharmaceutical Companies ◽  
Pharmaceutical Sector ◽  
Socially Responsible ◽  
Corporate Social ◽  
Pharmaceutical Enterprises

Recently, the concept of Corporate Social Responsibility (CSR) has been adopted by many business sectors in the world including pharmaceutical industry. The orientation to social and environmental issues in business operations became a subject of much different research since the development of the stakeholder theory. The stakeholder theory emphasised social responsibility because a company’s performance and business in general could not be measured solely by gaining profit. Shareholders and managers should be responsible for all others who «directly or indirectly affect or are affected by a firm's activities». Much attention has been devoted to this concept in the researcher’s analysis in a range of sectors, but CSR research has been limited in the pharmaceutical sector. Measurement system is especially insufficiently analysed in relation to outcome measures to overall stakeholders. Thus, the purpose of the research is to analyse pharmaceutical industry in the Region (some of the ex-Yugoslavian countries - today Slovenia, Croatia, Serbia, Bosnia and Herzegovina, Macedonia) which have developed a social responsibility concept in their renowned pharmaceutical enterprises. The research objectives are to investigate the CSR measurement system and make conclusions through critical analysis of the used indicators. The objective is to make a differentiation between pharmaceutical enterprises in using indicators to present economical, environmental and social issues. The final aim is to unify the approach to CSR in the pharmaceutical sector in the Region, as there is no agreement between relevant stakeholders and pharmaceutical industry about socially responsible pharmaceutical companies. The used research methods are: scientific analytical methods, interview, desk research, statistical methods. Research results: based on detailed analysis of the measurement system in the main pharmaceutical companies in four countries in the Region (a total of 12 in the sample) a model of a socially responsible pharmaceutical company is set up.

scholarly journals PROMOTING SOCIALLY RESPONSIBLE BUSINESS AT ENTERPRISE LEVEL: THEORETICAL APPROACH

2013 ◽  
Vol 16 (3) ◽  
pp. 558-570 ◽  
Author(s):  
Asta Valackienė ◽  
Diana Micevičienė
Keyword(s):  
Corporate Social Responsibility ◽  
Social Responsibility ◽  
Methodological Approach ◽  
Daily Activities ◽  
Theoretical Construct ◽  
Methodological Framework ◽  
Socially Responsible ◽  
Stakeholder Perspective ◽  
Enterprise Level ◽  
Corporate Social

The paper highlights theoretical construct of the new methodological approach presenting the interaction between the corporate social responsibility and the performance of the sustainable enterprise, through the introduction of the methodological framework of the diagnosis of corporate social responsibility motivations at the level of a firm seeking to sustain. Acting without knowing all (or at least enough) the answers may mean that we purposely shift our focus to those areas where possible solutions do not emerge. However, entrepreneurship as a phenomenon entailing risk and high levels in daily activities is an engine by profit-seeking motives. It shows the complexity of the scientific research object that brings meaningful input into the analysis of the promotion of socially responsible business. This paper aims at discussing and presenting critical reviews of enterprise's commitment to corporate social responsibility with emphasis on methodological positions in its promotion. This implicates a shift from the pure stakeholder perspective of maximizing profits thought introduction of enterprise – level interventions in promoting socially responsible business.

Sign in / Sign up

Export Citation Format

Share Document