BOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA

The purpose of this paper was to investigate the relationship between board independence and the firm performance of Chinese firms listed in the Shanghai Stock Exchange, under the moderating role of Corporate Social Responsibility (CSR). A total of 860 firm-year observations over a period of ten yea...

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Autores principales: Junainah Jaidi, Miao Wenhao, Rosle Mohidin
Formato: article
Lenguaje:EN
Publicado: Universiti Utara Malaysia 2021
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Acceso en línea:https://doaj.org/article/6ac97cf76cdd4470abe94235669faf36
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spelling oai:doaj.org-article:6ac97cf76cdd4470abe94235669faf362021-12-05T07:02:45ZBOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA10.32890/ijbf2022.17.1.51675-722Xhttps://doaj.org/article/6ac97cf76cdd4470abe94235669faf362021-12-01T00:00:00Zhttp://e-journal.uum.edu.my/index.php/ijbf/article/view/ijbf2022.17.1.5https://doaj.org/toc/1675-722XThe purpose of this paper was to investigate the relationship between board independence and the firm performance of Chinese firms listed in the Shanghai Stock Exchange, under the moderating role of Corporate Social Responsibility (CSR). A total of 860 firm-year observations over a period of ten years, that is from 2010 to 2019 was collected. The panel data regression technique was employed to analyze the data and determine the relationship between board independence and the firm performance of the Chinese firms under investigation. After a robustness check, the empirical results showed that the level of the CSR moderated (reduced) the positive relationship between board independence and firm performance. Therefore, the results seemed to imply that although the CSR has been seen as a useful business strategy, the level of the CSR in China still needed to be improved. In order to improve firm performance through practicing the CSR, the Chinese government and enterprises should be encouraged to continuously improve the level of the CSR. Junainah JaidiMiao WenhaoRosle MohidinUniversiti Utara Malaysiaarticleboard independencefirm performancecsrpanel data regressionchina stock marketFinanceHG1-9999ENInternational Journal of Banking and Finance, Vol 17, Iss 1, Pp 109 -130 (2021)
institution DOAJ
collection DOAJ
language EN
topic board independence
firm performance
csr
panel data regression
china stock market
Finance
HG1-9999
spellingShingle board independence
firm performance
csr
panel data regression
china stock market
Finance
HG1-9999
Junainah Jaidi
Miao Wenhao
Rosle Mohidin
BOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA
description The purpose of this paper was to investigate the relationship between board independence and the firm performance of Chinese firms listed in the Shanghai Stock Exchange, under the moderating role of Corporate Social Responsibility (CSR). A total of 860 firm-year observations over a period of ten years, that is from 2010 to 2019 was collected. The panel data regression technique was employed to analyze the data and determine the relationship between board independence and the firm performance of the Chinese firms under investigation. After a robustness check, the empirical results showed that the level of the CSR moderated (reduced) the positive relationship between board independence and firm performance. Therefore, the results seemed to imply that although the CSR has been seen as a useful business strategy, the level of the CSR in China still needed to be improved. In order to improve firm performance through practicing the CSR, the Chinese government and enterprises should be encouraged to continuously improve the level of the CSR.
format article
author Junainah Jaidi
Miao Wenhao
Rosle Mohidin
author_facet Junainah Jaidi
Miao Wenhao
Rosle Mohidin
author_sort Junainah Jaidi
title BOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA
title_short BOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA
title_full BOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA
title_fullStr BOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA
title_full_unstemmed BOARD INDEPENDENCE, CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE: EVIDENCE FROM CHINA
title_sort board independence, corporate social responsibility and firm performance: evidence from china
publisher Universiti Utara Malaysia
publishDate 2021
url https://doaj.org/article/6ac97cf76cdd4470abe94235669faf36
work_keys_str_mv AT junainahjaidi boardindependencecorporatesocialresponsibilityandfirmperformanceevidencefromchina
AT miaowenhao boardindependencecorporatesocialresponsibilityandfirmperformanceevidencefromchina
AT roslemohidin boardindependencecorporatesocialresponsibilityandfirmperformanceevidencefromchina
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