Mechanisms And Consequences Of Corporate Philanthropy Through Multi-dimensional Perspectives

Corporate philanthropy,as a component of corporate social responsibility,has become a key part of corporate strategy.However,current studies focus on the consequence of corporate philanthropy from the perspective of obtainning economic benefit and ignore the rest of possibilities.This study,besed on the institutional theory and the theory of stakeholders,exams the relationship between corporate philanthropy and the consequences form mulit-perspecitives,which enrich the literatures of corporate philanthropy.Firstly,based on the analysis of the process of corporate disision and the institutional environments,we point out the blind spot of prior studies,which ignore the complexity and diversity of corporate philanthropy.Therefore,we build a three-dimensional theory model of corporate philanthropy,which includes the perspectives of "management forecast","mutual benefit" and "corporate culture influence" and this model reflects more information of donation,providing a boarder conceptual perpective for further empirical research.Secondly,based on the view of "management forecast",by using the data from Chinese listed firms during 2008-2014,we investigate the relationship between corporate donation and managerial expectation.We find that,for the non-SOEs,there is a positive relationship between corporate philanthropy and managerial expectation,while it is not significant on the samples of SOEs and these results are still robust when we use the alternative measurement for managerial expectation and test the potential endogeneity of model.Further,we find that,for the non-SOEs which locate in the more developed area or have political connections,compared with others,are less sensitive in obtaining organization legitimacy,and these results are still robust when we use government subsidies and competitiveness as alternative measurement for political connections and the degree of market developing to retest.Finally,based on the perspective of resource based,we explore the relationship between financial resource and organization legitimacy,and we find the non-SOEs with superior financial conditions are more urgent in getting organization legitimacy,however,it is not significant in the samples of SOEs.Thirdly,from the perspective of "mutual benefit",we test the relationship between donation and government subsidies and we find that the firms with higher donation level are likely to get more subsidies,but this relationship is just stable in the samples of SOEs.Further,in order to make sure the results are robust,we use the lagged variable as alternative measurement and alternative period for collecting samples to test the results and the results remain.Finally,based on the perceptive of "corporate culture influence",we investigate the relationship between corporate giving and tax avoidance and we find the firms spend more on corporate giving are less likely to engage in tax avoidance,which is attributed to the consistency of corporate culture.Further,by considering the impact of social culture,we find the relationship between corporate giving and tax avoidance is stronger in SOEs and political connected private firms.Finally,we study the effect of financing constraints on the link between donation and tax avoidance.This study shed a new light on the understanding of corporate behavior and the relation between firms and government.This study shed a new light on the understanding of corporate philanthropy and enriches the literatures.