Impact Analysis Of Corporate Performance On Social Responsibility

As the constant attention to the social responsibility, citizens require companies not only to make profits, but also to take into account stakeholders’needs. Whether to fulfill social responsibility has become an important aspect of competitiveness. However, they had a conflict between the public gradually rising demand for social responsibility and the resources companies having an ability to provide. This paper attempts to explore the amount of corporate social responsibility except the effect of awareness of managers or owners, whether it depends on the company itself to provide resources. This paper studies the relationship between the pre-enterprise performance and the current social responsibility. According to the stakeholder theory, the authors selected the shareholders, creditors, consumers, employees as corporate performance evaluation. Corporate performance from two perspectives of accounting indicators and market indicators were selected ROE and Tobin’s Q as a measure of indicators. The2002-2006is selected as the business performance of the pre-sample, and the2007-2011data as the current Social Responsibility samples. By regression analysis, we found a positive relationship between the social responsibility in the current period and the previous corporate performance. And ROE have a greater influence on the social responsibility than Tobin’s Q. Furthermore, according to the ROE sort the sample data for2002-2011. The authors obtained20of the top20enterprise performance and ranking, and calculated those enterprises to fulfill their social responsibility. The data shows that the performance of the top20companies will over-fulfill their social responsibilities. However, the performance ranking of20enterprises, social responsibility to fulfill much lower than the proportion of their performance.The authors agree with scholars to fulfill their social responsibility for the benefit of long-term development of enterprises. According to empirical studies, the authors found that early good performance for businesses to fulfill their social responsibility to provide the capital. Furthermore, social responsibility and corporate performance could be mutual promotion and common development.