A Study on the Impact of Corporate Social Responsibility on Financial Performance of Companies in India. (September 2020)

• Record Type: Journal Article
• Authors: Kaur, Ramandeep; Dave, Trupti
• Is Part Of: Asia-Pacific journal of management research and innovation. Volume 16:Number 3(2020)
• Page Start: 229
• Page End: 237
• Publication Date: 2020-09
• Subjects: Corporate social responsibility -- financial performance -- profit after tax (PAT) -- return on equity (ROE) -- return on asset (ROA) -- earnings per share (EPS); Industrial management -- India -- Periodicals; Industrial management -- Periodicals; Commerce -- Periodicals; Business enterprises -- India -- Periodicals; India -- Commerce -- Periodicals; 330.0954
• DOI: 10.1177/2319510X211005662
• Languages: English
• ISSNs: 2319-510X

Abstract

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.