Corporate finance
College:
College of Business and Public Management
Major:
Accounting
Faculty Research Advisor(s):
Huaibing Yu
Abstract:
The relationship between Corporate Social Responsibility (CSR) and Financial Performance (FP) has been an area of significant academic and professional interest, suggesting a complex interplay that influences company outcomes and stakeholder perceptions. This study investigates the dynamics between CSR initiatives—encompassing environmental stewardship, social welfare, and governance—and the financial performance of corporations. Through a rigorous analysis of existing literature and empirical data, we explore how CSR activities correlate with financial metrics such as profitability, revenue growth, and market share. The hypothesis posits that CSR engagements not only fulfill ethical obligations and societal expectations but also contribute to a company's financial success by enhancing brand reputation, customer loyalty, and operational efficiencies. The findings aim to provide insightful evidence on whether and how sustainable and socially responsible business practices can lead to improved financial performance, offering valuable implications for corporate strategy and policy development. By bridging the gap between CSR efforts and financial outcomes, this research contributes to a deeper understanding of sustainable business success in the contemporary global market.