CSP_CFP.bib

@article{ALBERTINI2013,
author = {Elisabeth Albertini},
title ={Does Environmental Management Improve Financial Performance? A Meta-Analytical Review},
journal = {Organization \& Environment},
volume = {26},
number = {4},
pages = {431-457},
year = {2013},
doi = {10.1177/1086026613510301},
URL = {https://doi.org/10.1177/1086026613510301
},
eprint = {https://doi.org/10.1177/1086026613510301
},
abstract = {The relationship between corporate environmental performance and financial performance has 
received a high degree of attention in research literature and the results are still contradictory. 
Most of the findings have shown that environmental performance improves financial performance 
while others have suggested that the relationship is neutral or even negative. Our article 
integrates prior research studying this relationship and identifies the potential moderators that 
may have played a role in the apparent inconsistent results observed to date. We conducted a 
meta-analysis of 52 studies over a 35-year period that confirms a positive relationship between 
environmental performance and financial performance. Moderators’ analysis reveals that the 
relationship is significantly influenced by the environmental and financial performance measures, 
the regional differences, the activity sector and the duration of the studies. After discussing the 
theoretical and managerial implications, this meta-analysis tries to answer the question: “When 
and how does it pay to be green?”}
}


@book{MARGOLIS2001,
lccn = {^^2001016168},
series = {LEA's organization and management series},
abstract = {This study assesses the link between a company's social and financial performance, and the conculsions that can be derived from the results.},
publisher = {Lawrence Erlbaum Associates, Publishers},
isbn = {0805840117},
year = {2001},
title = {People and profits? the search for a link between a company's social and financial performance},
language = {eng},
address = {Mahwah, N.J.},
author = {Margolis, Joshua Daniel and  Walsh, James P.},
keywords = {Social responsibility of business},
}


@article{ORLITZKY2003,
author = {Orlitzky, Marc and Schmidt, Frank L. and Rynes, Sara L.},
title ={Corporate Social and Financial Performance: A Meta-Analysis},
journal = {Organization Studies},
volume = {24},
number = {3},
pages = {403-441},
year = {2003},
doi = {10.1177/0170840603024003910},
URL = {https://doi.org/10.1177/0170840603024003910},
eprint = {https://doi.org/10.1177/0170840603024003910}, 
abstract = {Most theorizing on the relationship between corporate social/environmental
 performance (CSP) and corporate financial performance (CFP) assumes that the
 current evidence is too fractured or too variable to draw any generalizable conclusions.
 With this integrative, quantitative study, we intend to show that the mainstream claim
 that we have little generalizable knowledge about CSP and CFP is built on shaky
 grounds. Providing a methodologically more rigorous review than previous efforts,
 we conduct a meta-analysis of 52 studies (which represent the population of prior
 quantitative inquiry) yielding a total sample size of 33,878 observations. The meta
analytic findings suggest that corporate virtue in the form of social responsibility and,
 to a lesser extent, environmental responsibility is likely to pay off, although the
 operationalizations of CSP and CFP also moderate the positive association. For
 example, CSP appears to be more highly correlated with accounting-based measures
 of CFP than with market-based indicators, and CSP reputation indices are more highly
 correlated with CFP than are other indicators of CSP. This meta-analysis establishes
 a greater degree of certainty with respect to the CSP–CFP relationship than is currently
 assumed to exist by many business scholars.}
}


@article{BRUNA2022,
   author = {Bruna, Maria Giuseppina and Lahouel, Béchir Ben},
   title = {CSR & financial performance: Facing methodological and modeling issues commentary paper to the eponymous FRL article collection},
   journal = {Finance Research Letters},
   volume = {44},
   pages = {102036},
   abstract = {As a commentary paper to the FRL Article Collection on the relationship between Corporate Social Responsibility (CSR) and Corporate Financial Performance (CFP), the present essay addresses and investigates in depth the heterogeneity of results from existing empirical studies. After an historical excursus on the CSP-CFP link, it emphasizes the need to pay attention to theoretical inaccuracies, endogeneity, sample-selection and aggregation bias as well as to the risk of overinterpretation. Finally, it provides researchers with a documented statement to avoid the theoretical, methodological and technical flaws that have jeopardized antecedent works and shares a range of rationalized, valuable and practicable solutions.},
   keywords = {Social responsibility and performance
Financial performance
Sample selection
Endogeneity
Methodological and modeling issues
Nonlinearity},
   ISSN = {1544-6123},
   DOI = {https://doi.org/10.1016/j.frl.2021.102036},
   url = {https://www.sciencedirect.com/science/article/pii/S1544612321001173},
   year = {2022},
   type = {Journal Article}
}


@article{BEN_LAHOUEL2019,
   author = {Ben Lahouel, Béchir and Gaies, Brahim and Ben Zaied, Younes and Jahmane, Abderrahmane},
   title = {Accounting for endogeneity and the dynamics of corporate social – Corporate financial performance relationship},
   journal = {Journal of Cleaner Production},
   volume = {230},
   pages = {352-364},
   abstract = {This paper examines the endogeneity problem in studies dealing with corporate social performance and financial performance relationship. Since randomized controlled experiments in the “Business-Research” field are often unfeasible, researchers rely mostly on observational data to make claims about “doing good – doing well” arguments. In response to several strong calls for additional well-crafted empirical research that address endogeneity, we revisit the CSP – CFP relationship, in the airline industry, to understand how endogeneity arises and how to control for it in studies based on observational panel data. We exploit various approaches such as OLS, fixed-effects, fixed-effects IV/2SLS, dynamic system GMM, and GLS estimators. We show the appropriateness behind the use of the dynamic system GMM estimator and its benefits over the fixed-effects estimator. In addition, we demonstrate that results in models that do not account for endogeneity lead to inflated estimations, misleading interpretations and wrong theoretical propositions about the dynamic nature of CSP-CFP relationship.},
   keywords = {Corporate social performance
Financial performance
Endogeneity
Generalized method of moments (GMM)},
   ISSN = {0959-6526},
   DOI = {https://doi.org/10.1016/j.jclepro.2019.04.377},
   url = {https://www.sciencedirect.com/science/article/pii/S0959652619314787},
   year = {2019},
   type = {Journal Article}
}


@article{BEN_LAHOUEL2021,
   author = {Ben Lahouel, Béchir  and Zaied, Younes Ben and Song, Yaoyao and Yang, Guo-liang},
   title = {Corporate social performance and financial performance relationship: A data envelopment analysis approach without explicit input},
   journal = {Finance Research Letters},
   volume = {39},
   pages = {101656},
   abstract = {The aim of this paper is twofold: to provide a novel methodology for the development of a multidimensional and aggregated measure of Corporate Social Performance (CSP) based on Data Envelopment Analysis (DEA), and to investigate the relationship between CSP and financial performance (FP) while accounting for endogeneity issues. Hence, we exploit several estimators from both static panel and dynamic panel data models to show that the GMM estimator is more adequate than the traditional estimators based on fixed or random effects. Our results show that corporate social performance impacts negatively and significantly financial performance.},
   keywords = {Corporate social performance
Financial performance
Data envelopment analysis
GMM
Endogeneity
Airlines},
   ISSN = {1544-6123},
   DOI = {https://doi.org/10.1016/j.frl.2020.101656},
   url = {https://www.sciencedirect.com/science/article/pii/S1544612319314400},
   year = {2021},
   type = {Journal Article}
}


@article{OIKONOMOU2012,
author = {Oikonomou, Ioannis and Brooks, Chris and Pavelin, Stephen},
title = {The Impact of Corporate Social Performance on Financial Risk and Utility: A Longitudinal Analysis},
journal = {Financial Management},
volume = {41},
number = {2},
pages = {483-515},
doi = {https://doi.org/10.1111/j.1755-053X.2012.01190.x},
url = {https://onlinelibrary.wiley.com/doi/abs/10.1111/j.1755-053X.2012.01190.x},
eprint = {https://onlinelibrary.wiley.com/doi/pdf/10.1111/j.1755-053X.2012.01190.x},
abstract = {This study focuses on the wealth-protective effects of socially responsible firm behavior by examining the association between corporate social performance (CSP) and financial risk for an extensive panel data sample of S\&P 500 companies between the years 1992 and 2009. In addition, the link between CSP and investor utility is investigated. The main findings are that corporate social responsibility is negatively but weakly related to systematic firm risk and that corporate social irresponsibility is positively and strongly related to financial risk. The fact that both conventional and downside risk measures lead to the same conclusions adds convergent validity to the analysis. However, the risk-return trade-off appears to be such that no clear utility gain or loss can be realized by investing in firms characterized by different levels of social and environmental performance. Overall volatility conditions of the financial markets are shown to play a moderating role in the nature and strength of the CSP-risk relationship.},
year = {2012}
}


@article{DENG2022,
author = {Bofu Deng and Li Ji and Zhongmin Liu},
title = {The Effect of Strategic Corporate Social Responsibility on Financial Performance: Evidence from China},
journal = {Emerging Markets Finance and Trade},
volume = {58},
number = {6},
pages = {1726--1739},
year = {2022},
publisher = {Routledge},
doi = {10.1080/1540496X.2021.1925245},
URL = {https://doi.org/10.1080/1540496X.2021.1925245},
eprint = {https://doi.org/10.1080/1540496X.2021.1925245},
abstract = {This study uses the perspective of corporate strategy to examine the relation
ship between corporate social responsibility and corporate financial perfor
mance in China. Following the theoretical business strategy framework and 
resource-based theory, we adopt the ordinary least squares method to 
conduct a multiple regression analysis of the relationship between CSR and 
CFP under different strategy types. We find that for prospectors, CSR is 
positively correlated with CFP. However, for defenders, it is negatively corre
lated. Our results remain robust after a series of robustness tests and con
trolling endogeneity. Our findings help to explain the inconsistent results 
obtained in the literature, extend our understanding of CSR and the con
sequences of corporate strategy, and provide a reference for international 
investors and emerging markets.}
}


@article{LIN2020,
author = {Cho-Min Lin, Clara Chia Sheng Chen, Sheng-Yung Yang and Wan-Ru Wang},
title = {The Effects of Corporate Governance on Credit Ratings: The Role of Corporate Social Responsibility},
journal = {Emerging Markets Finance and Trade},
volume = {56},
number = {5},
pages = {1093--1112},
year = {2020},
publisher = {Routledge},
doi = {10.1080/1540496X.2018.1512486},
URL = {https://doi.org/10.1080/1540496X.2018.1512486},
eprint = {https://doi.org/10.1080/1540496X.2018.1512486},
abstract = {This study examines the effects of corporate governance and corporate social responsibility
 (CSR) on credit ratings for firms in Taiwan. We examine this causal relationship using ordered logit
 regressions with two-stage least-squares estimates. We document that CSR performance demonstrates
 both moderation and partial mediation effects in the relationship between corporate governance and
 credit rating. Our results indicate that a firm should practice good corporate governance and engage in
 CSR activities to improve its credit rating. This study further shows that family firms with strong corporate
 governance and good CSR performance do not benefit from higher credit ratings. However, large firms
 with good corporate governance practices benefit from higher credit ratings.}
}


@article{MCWILLIAMS2000,
author = {McWilliams, Abagail and Siegel, Donald},
title = {Corporate social responsibility and financial performance: correlation or misspecification?},
journal = {Strategic Management Journal},
volume = {21},
number = {5},
pages = {603-609},
keywords = {corporate social responsibility, firm performance, product differentiation, R&D, specification error},
doi = {https://doi.org/10.1002/(SICI)1097-0266(200005)21:5<603::AID-SMJ101>3.0.CO;2-3},
url = {https://onlinelibrary.wiley.com/doi/abs/10.1002/%28SICI%291097-0266%28200005%2921%3A5%3C603%3A%3AAID-SMJ101%3E3.0.CO%3B2-3},
eprint = {https://onlinelibrary.wiley.com/doi/pdf/10.1002/%28SICI%291097-0266%28200005%2921%3A5%3C603%3A%3AAID-SMJ101%3E3.0.CO%3B2-3},
abstract = {Abstract Researchers have reported a positive, negative, and neutral impact of corporate social responsibility (CSR) on financial performance. This inconsistency may be due to flawed empirical analysis. In this paper, we demonstrate a particular flaw in existing econometric studies of the relationship between social and financial performance. These studies estimate the effect of CSR by regressing firm performance on corporate social performance, and several control variables. This model is misspecified because it does not control for investment in R\&D, which has been shown to be an important determinant of firm performance. This misspecification results in upwardly biased estimates of the financial impact of CSR. When the model is properly specified, we find that CSR has a neutral impact on financial performance. Copyright © 2000 John Wiley \& Sons, Ltd.},
year = {2000}
}


@article{KIM2022,
   author = {Kim, Sooin and Yoo, Jungmin},
   title = {Corporate Opacity, Corporate Social Responsibility, and Financial Performance},
   journal = {Finance Research Letters},
   volume = {49},
   pages = {103118},
   abstract = {This study investigates the impact of corporate opacity on a firm's corporate social responsibility (CSR) performance and the relationship between CSR and financial performance. Corporate opacity reflects the different levels of the market scrutiny and the possible entrenchment problem toward investors. By applying regression analysis, we find that corporate opacity is negatively associated with a firm's CSR performance and that the positive effect of CSR on long-term profitability weakens as opacity increases. Our findings contribute to the introduction of a new mediator, corporate opacity, to explain the mixed results on the relationship between CSR and financial performance. We suggest the consideration of corporate opacity to evaluate the effectiveness of CSR activities on a firm's financial performance.},
   keywords = {Corporate social responsibility
CSR
Corporate opacity
Financial performance
Long-term profitability},
   ISSN = {1544-6123},
   DOI = {https://doi.org/10.1016/j.frl.2022.103118},
   url = {https://www.sciencedirect.com/science/article/pii/S1544612322003427},
   year = {2022},
   type = {Journal Article}
}


@article{BREUER2021,
author = {Breuer, Wolfgang and Hass, Manuel and Rosenbach, David Johannes},
title = {The impact of CEO power and institutional discretion on CSR investment},
journal = {Review of Financial Economics},
volume = {40},
number = {1},
pages = {20-43},
keywords = {CEO, corporate governance, corporate social responsibility, managerial discretion, national institutions},
doi = {https://doi.org/10.1002/rfe.1131},
url = {https://onlinelibrary.wiley.com/doi/abs/10.1002/rfe.1131},
eprint = {https://onlinelibrary.wiley.com/doi/pdf/10.1002/rfe.1131},
abstract = {Abstract Based on a large international sample, we show how the decision-making power of CEOs in conjunction with prevailing institutional discretion relates to corporate resources allocated toward CSR strategy. First, especially with greater institutional discretion, powerful CEOs pursue exaggerated CSR strategies aiming at reputational gains for their private benefit, while not necessarily bearing the costs of their decisions. Second, such CEO-induced CSR enhancements turn out to be defective CSR overinvestment, ultimately entailing a decrease in firm value. By complementing organizational factors with institutional characteristics, we refute previous contradicting empirical evidence regarding a significant CEO effect and show a conditional relation between CEO power and CSR choice. Our results are robust to alternative sample compositions, different variable definitions, and various methodological specifications.},
year = {2022}
}


@article{DUPIRE2018,
   author = {Dupire, Marion and M’Zali, Bouchra},
   title = {CSR Strategies in Response to Competitive Pressures},
   journal = {Journal of Business Ethics},
   volume = {148},
   number = {3},
   pages = {603-623},
   abstract = {Is corporate social responsibility (CSR) a tool for strategic positioning? While CSR is sometimes used as part of a differentiation strategy, this article analyzes which specific CSR strategies arise in response to competitive pressures. The results suggest that competitive pressures lead firms to increase their positive social actions without necessarily decreasing their social weaknesses. This positive impact varies with specific dimensions of CSR and industry specificities: (1) Competition improves social performance toward core stakeholders to a greater extent than social performance toward peripheral stakeholders. (2) This effect is more pronounced in B2C industries than in other industries. (3) Competition leads firms in “dirty” industries to ignore environmental initiatives.},
   ISSN = {1573-0697},
   DOI = {10.1007/s10551-015-2981-x},
   url = {https://doi.org/10.1007/s10551-015-2981-x},
   year = {2018},
   type = {Journal Article}
}


@article{WADDOCK1997,
author = {Waddock, SANDRA A. and Graves, SAMUEL B.},
title = {THE CORPORATE SOCIAL PERFORMANCE–FINANCIAL PERFORMANCE LINK},
journal = {Strategic Management Journal},
volume = {18},
number = {4},
pages = {303-319},
keywords = {corporate social performance, social responsibility, financial performance, management quality},
doi = {https://doi.org/10.1002/(SICI)1097-0266(199704)18:4<303::AID-SMJ869>3.0.CO;2-G},
url = {https://onlinelibrary.wiley.com/doi/abs/10.1002/%28SICI%291097-0266%28199704%2918%3A4%3C303%3A%3AAID-SMJ869%3E3.0.CO%3B2-G},
eprint = {https://onlinelibrary.wiley.com/doi/pdf/10.1002/%28SICI%291097-0266%28199704%2918%3A4%3C303%3A%3AAID-SMJ869%3E3.0.CO%3B2-G},
abstract = {Strategic managers are consistently faced with the decision of how to allocate scarce corporate resources in an environment that is placing more and more pressures on them. Recent scholarship in strategic management suggests that many of these pressures come directly from sources associated with social issues in management, rather than traditional arenas of strategic management. Using a greatly improved source of data on corporate social performance, this paper reports the results of a rigorous study of the empirical linkages between financial and social performance. Corporate social performance (CSP) is found to be positively associated with prior financial performance, supporting the theory that slack resource availability and CSP are positively related. CSP is also found to be positively associated with future financial performance, supporting the theory that good management and CSP are positively related.© 1997 by John Wiley \& Sons, Ltd},
year = {1997}
}


@article{LIANG2022,
author = {Yinfeng Liang and Chenyan Cai and Yangchen Huang},
title = {The Effect of Corporate Social Responsibility on Productivity: Firm-Level Evidence from Chinese Listed Companies},
journal = {Emerging Markets Finance and Trade},
volume = {58},
number = {12},
pages = {3589--3607},
year = {2022},
publisher = {Routledge},
doi = {10.1080/1540496X.2020.1788537},
URL = {https://doi.org/10.1080/1540496X.2020.1788537},
eprint = {https://doi.org/10.1080/1540496X.2020.1788537},
abstract = {The recent promotion of Corporate Social Responsibility (CSR) 
by China has coincided with a marked increase in the number of 
its listed firms. To what extent can the disclosure of CSR reports 
benefit corporate productivity? This article empirically explores 
the impact of CSR on firm-level Total Factor Productivity (TFP) as 
well as the possible influence approaches and mechanisms. 
Following previous literature, several predictive models are 
built to draw the following conclusions: (1) CSR significantly 
promotes TFP; (2) the impact of CSR on TFP of family firms is 
greater than that of non-family firms; (3) CSR has a larger posi
tive impact on firms releasing CSR reports voluntarily than on 
those releasing under compulsion; (4) CSR has a greater impact 
on private firms than on state-owned ones, while it has little 
effect on foreign-funded ones; (5) The impact of CSR on TFP is 
robust in high-tech firms, non-high-tech firms, coastal firms, 
non-coastal firms, industrial firms, and service firms. Besides, 
this article finds that financing constraints operate as a major 
channel for CSR to affect TFP, while firms’ irregularity acts only 
as an important channel. Additionally, 2SLS method is 
employed to deal with possible endogenous problems, finding 
that our conclusions remain robust.}
}


@article{NEUBAUM2006,
author = {Donald O. Neubaum and Shaker A. Zahra},
title ={Institutional Ownership and Corporate Social Performance: The Moderating Effects of Investment Horizon, Activism, and Coordination},
journal = {Journal of Management},
volume = {32},
number = {1},
pages = {108-131},
year = {2006},
doi = {10.1177/0149206305277797},
URL = {https://doi.org/10.1177/0149206305277797},
eprint = {https://doi.org/10.1177/0149206305277797},
abstract = {ScandalsatEnronandWorldComhavethrustdebatesconcerningcorporategovernanceandcor
porate social performance (CSP) to the forefront of the minds of shareholders, managers, and
 public policy makers.Relying onthetheoryofstakeholdersalience,theauthorssuggestthatinsti
tutional owners’investment horizons, as well as the frequency and coordination of institutional
 owners’activism,moderatetheinstitutionalownership–CSPrelationship.Datacollectedin1995
 and 2000 from the Fortune 500 firms show that long-term institutional ownership is positively
 associated with CSP and that the frequency and coordination of activism interact with long-term
 institutional holdings to positively affect CSP 3 years later}
}


@article{YANG2019,
author = {Weiliu Yang and Jinlei Yang and Zhitong Gao},
title = {Do Female Board Directors Promote Corporate Social Responsibility? An Empirical Study Based on the Critical Mass Theory},
journal = {Emerging Markets Finance and Trade},
volume = {55},
number = {15},
pages = {3452--3471},
year = {2019},
publisher = {Routledge},
doi = {10.1080/1540496X.2019.1657402},
URL = {https://doi.org/10.1080/1540496X.2019.1657402},
eprint = {https://doi.org/10.1080/1540496X.2019.1657402},
abstract = {Based on the critical mass theory, we study the relationship between the number and background characteristics of female directors and corporate social responsibility (CSR). We use the data of Chinese listed companies from 2011 to 2016. Empirical evidence shows that the number of female directors, the number of female independent directors, female directors’ educational background and monetary compensation upon the fulfillment of corporate social responsibility was not statistically significant. The age and the part-time ratio of female directors were positively correlated with the fulfillment of social responsibilities. The group test based on the “critical number“ in the critical mass theory did not show the changing effect of reaching the “critical number” in the critical mass theory, and the same conclusion was obtained by further testing in terms of the proportion of female directors. This article provides a new perspective for further exploring the board gender diversity and the role of female directors on decision-making, which may be better for companies to fulfill their social responsibilities.}
}