The Research On The Relationship Between Corporate Social Responsibility And Corporate Value In The Real Estate Industry: From The Perspective Of EVA Theory

In2008,‘Melamine’ Event has aroused the world’s concern. After that, a lot ofimmoral behaviors like that happen so that the government and companies have to dosomething to promote corporate social responsibility（CSR）. This deep study ofcorporate social responsibility is based on such a background, which wil providestrong support for the development of the companies and the government’s policies.This study first discusses the need of CSR and the relationship between CSR andcorporate value in theory, and then establishes a CSR index system with18financialand non-financial indicators, which are based on the Real Estate industrycharacteristics from the perspective of stakeholders. According to the index system,we can get the degree of importance of each indicate through the questionnaire surveyon the CSR behaviors. And then calculate the relative weights of the18indicatorsusing the analytic hierarchy process（AHP）. Second, the article selects the dates of83listed Real Estate companies from2007to2010to test the relationship betweencorporate social responsibility and corporate value (measured by economic valueadded). The empirical results indicate that: the pre-CSR and firm size are bothsignificantly positively related to EVA. The current corporate social responsibilityliabilities have negative relationship with EVA, but not significantly. Thenon-state-owned Real Estate companies can gain more from CSR investing than theState-Owned Real Estate companies.In the long term, corporate social responsibility can increase the corporate value,so the companies should consider Corporate Social Responsibility into their corporatestrategy. At the same time, the government departments must establish a CorporateSocial Responsibility market for a win-win situation.