Do The Charitable Donations Of Illegal Enterprises Have Value Effect

Many enterprises are actively fulfilling their social responsibility,and charitable donation is one of the main forms of fulfilling their social responsibility.At present,there are many well-known enterprises actively participate in charitable donation,which can not only build a responsible corporate image,but also conducive to the progress of the country,and cites stakeholder theory,insurance theory and signaling theory to try to study the impact of corporate charitable donations on corporate value in the context of violations.This paper first studies the impact of full sample corporate charitable donations on corporate value according to the purpose of this study.Then we select samples of violations to explore the value effect of charitable donations by illegal enterprises,and finally introduce the moderating variable of continuous donation,aiming to explore whether charitable donations by enterprises can really enhance corporate value under the circumstance of corporate violations.On the one hand,the research of this paper clarifies the influence mechanism of the charitable donation of illegal enterprises on enterprise value,and on the other hand,it provides a new perspective for exploring the relationship between charitable donation and enterprise value.The initial sample selected in this paper is the data of A-share companies listed on Shanghai and Shenzhen stock exchanges from 2009 to 2019,and the conclusions are tested for robustness and endogeneity through step-by-step regression analysis.The final conclusion of this paper is that in general,corporate charitable donations have a positive effect on corporate value.In violation cases,corporate charitable donations have no value effect.If the enterprise continued to donate before the violation,the charitable donation after the violation also has a positive effect on the value of the enterprise,that is,the continuous donation before the violation of the enterprise positively moderates the relationship between the charitable donation after the violation and the enterprise value.The possible innovation point of this paper is to introduce the situation of violation to explore whether the charitable donation of illegal enterprises will have an impact on the enterprise value,which enriches the research results on charitable donation to a certain extent and provides a partial theoretical basis for the practice of enterprises.