University of Twente Student Theses

Login

Corporate social responsibility and financial performance: the role of corporate governance : Evidence from the Netherlands.

Ba, Mohamed (2017) Corporate social responsibility and financial performance: the role of corporate governance : Evidence from the Netherlands.

[img]
Preview
PDF
1MB
Abstract:This study investigates the role of corporate governance in the relationship between CSR and financial performance in the Dutch context. Two board characteristics (board size and board independence), and three ownership structures (ownership concentration, institutional ownership, and management ownership) were studied. Based on a sample of 75 firms listed on the AEX, AMX, and AScX index from 2012 to 2016, I find a positive effect of CSR on firm performance. Moreover, I find that the presence of more independent directors on the board strengthens the positive impact of CSR on firm performance. On the other hand, a larger board size, a concentrated ownership, and a higher management ownership in the company do not seem to have any effect on the CSR – firm performance relationship. Finally, some researchers have argued about endogeneity issues when one studies the link between CSR and financial performance. As such, additional analyses using a lagged CSR variable to control for endogeneity were conducted and results were consistent with those of the baseline analysis, suggesting that endogeneity does not play a major role in the relationship between CSR and financial performance.
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/73765
Export this item as:BibTeX
EndNote
HTML Citation
Reference Manager

 

Repository Staff Only: item control page