Is doing good good for you? how corporate charitable contributions enhance revenue growth

The relationship between corporate social responsibility and shareholder value: an empirical test of the risk management hypothesis

“…Over the last decade, the quality of management hypothesis has been used as an alternative explanation for the presence of observed positive CSR-CFP relationships (see Lev et al, 2006). In its strongest form, the quality of management thesis argues that CSR has no inherent value; the apparent value comes as investors interpret CSR engagement as a signal of the quality of the underlying management team.…”

“…1 The overall orientation has been to argue and show that CSR activities generate CFP. Most often the generation of financial performance occurs through some type of resource-based process, such as the creation of stronger exchange relationships with customers (Brown and Dacin, 1997) or employees (Turban and Greening, 1997), the co-option or forestallment of government intervention (Neiheisel, 1995), or the enhancement of future revenue growth (Lev, Petrovits, and Radhakrishnan, 2006).…”

Corporate Philanthropic Responses to Emergent Human Needs: The Role of Organizational Attention Focus

“…Extant research typically explains corporate philanthropy as a function of societal expectations (Adams and Hardwick 1998;Brammer and Millington 2004;Crampton and Patten 2008;Galaskiewicz and Burt 1991;Marquis et al 2007) or in terms of reputation and financial management strategies (Brammer and Millington 2005;Lev et al 2010;Saiia et al 2003;Su and He 2010). Most research emphasizes structural institutional factors that explain variance in firms' overall levels of annual giving.…”

The Value Relevance of Corporate Social Responsibility: Focusing on Donation Expenditure

“…However, other papers reveal that donation activities significantly increase firm value because of the good reputation created through an act of charity (Anderson & Frankle, 1980;Cochran & Wood, 1984;Aupperle et al, 1985;Soloman & Hansen, 1985;Ullmann, 1985;McGuire et al, 1988;Shaker et al, 1993;Waddock & Graves, 1997;Balabanis et al, 1998;Fombrun et al, 2000;Hillman & Keim, 2001;Goll & Rasheed, 2002;Joyner & Payne, 2002;Carden & Darragh, 2004;Fishman et al, 2006;Lev et al, 2006;Brown et al, 2006;Parket & Eilbirt, 2006;Bird et al, 2007).…”

“…They have used donation cost as a proxy variable of CSR and investigated the empirical relationship with firm value (Vance, 1975;Alexander & Bucholz, 1978;Anderson & Frankle, 1980;Cochran & Wood, 1984;Aupperle, Carroll, & Halfield, 1985;Ullmann, 1985;McGuire, Sundgren, & Schneeweis, 1988;Waddock & Graves, 1997;Fombrun et al, 2000;Brown, Hellan, & Smith, 2006;Fishman, Heal, & Nair, 2006;Lev, Christine, & Suresh, 2006;Parket & Eilbirt, 2006;Bird, Hall, Momentè, & Reggiani, 2007). In those previous studies, firm value is usually defined as market value of equity, calculated by summing all of the company's outstanding shares.…”