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Government Ownership and Corporate Social Responsibility in Europe

Maathuis, R. (2019) Government Ownership and Corporate Social Responsibility in Europe.

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Abstract:This study aims to extend the literature on the relation between government ownership and corporate social responsibility (CSR) by deviating from the common context of prior studies – which is China – and focussing on European countries, whilst additionally aiming to raise awareness on the importance of CSR and the government’s potential influences. The hypotheses, which are based on previous studies on this topic, predict significant, positive effects of government ownership on both CSR adoption and CSR performance (CSRP) and a larger positive impact of indirect government ownership compared to indirect government ownership. A sample of 355 listed firms from 15 European countries was extracted from the RepTrak© and ORBIS databases. Logit and OLS regression methods were applied to test the hypotheses. None of the regression models showed any significant effects of the existence and magnitude of government ownership on CSR adoption and CSRP. As such, no support was found for any of the hypothesized positive relationships. Four robustness tests were applied to assess the validity of the regression results. The regression results were fully validated by all four robustness tests in terms of the insignificance of government ownership as a predictor of CSR adoption or CSRP
Item Type:Essay (Master)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:Business Administration MSc (60644)
Link to this item:http://purl.utwente.nl/essays/79871
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