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العنوان
An Examination of the Impact of Corporate
Responsibility on Financial Performance
throughout the Life Cycle /
المؤلف
Abdelmoaty, Laila Gamal Mohamed.
هيئة الاعداد
باحث / ليلي جمال محمد عبد المعطي
مشرف / هيام حسن وهبه
مشرف / طارق الدمياطي
تاريخ النشر
2022.
عدد الصفحات
638 P. :
اللغة
الإنجليزية
الدرجة
الدكتوراه
التخصص
الأعمال والإدارة والمحاسبة (المتنوعة)
تاريخ الإجازة
1/1/2022
مكان الإجازة
جامعة عين شمس - كلية التجارة - قسم ادارة الاعمال
الفهرس
Only 14 pages are availabe for public view

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Abstract

The socially responsible role of companies in society is an age-old debate between practitioners and academics. The issue of corporate responsibility (CR) is as pertinent now as it was in the 1960s and 1970s. Companies’ urge for financial growth causes environmental and societal difficulties such as dangerous workplaces, chemical exposure, and urban decay. Companies now view internal and external corporate responsibility and sustainability as a crucial business strategy for survival and Competitive. However, since their effect on companies’ financial Performance always yielded inconclusive results, knowing the firm lifecycle stage may help understand business actions, especially regarding sustainability programs, CR investments, and associated economic outcomes. Grounded by stakeholder theory and the Resource-based view of the firm and Firm Lifecycle Theory, this dissertation aims to contribute to the sustainability management, ESG, and Corporate Responsibility literature by empirically examining the relationship between Corporate Responsibility (CR) (Proxied by Corporate Sustainability Performance) and Firm Lifecycle. Second, it aims to statistically investigate the impact of Corporate Responsibility (CR) on a firm’s financial performance (proxied by profitability, firm value, and Firm Growth Potential) throughout the firm lifecycle. The research sample included 420 firm-year observations for companies listed in the S&P / EGX ESG index lifecycle from 2013 to 2018 aggregated into two firm lifecycle stages, namely Growth Stage and Maturity stage, using two-step cluster analysis. The results indicate that all hypotheses are supported with 95% confidence. Using descriptive and inferential statistics, the findings show a significant relationship between CR and Firm Lifecycle stages, especially for firms in the Growth stage of the firm lifecycle. The impact of CR on CFP is negatively or positively moderated by Firm lifecycle, and our empirical results indicate that this relationship is not monotonic. During each stage of the firm’s lifecycle, a positive relationship between CR and CFP was substantial at the growth and mature phases, with the mature stage being the most significant. Additionally, whereas the amount of CSP was greatest during the growth stage, the sensitivity of CR to CFP was greatest during the mature stage. These findings indicate that the extent to which CR efforts impact profitability and firms’ growth potential differs over different Firm Lifecycle stages. Finally, even after correcting for the endogeneity of CSP and CFP, the link indicated above remains constant. Consequently, the findings were robust when CR and CFP were considered to be endogenous. Consequently, the firm life cycle has incremental explanatory power for CR levels beyond the previously established literature as it affects CR both directly and by moderating the relationship between CSP and financial performance. Thus, academics may utilize Firm Lifecycle to forecast organizational structures, stakeholder interests, and CR actions. Businesses may use CR to create long-term value and development depending on the firm’s lifecycle stage. Our results enlighten regulators and standard setters in emerging nations, notably Egyptian regulators (such as the S&P EGX ESG Index). The government’s ESG advocacy may help listed companies. The ESG index will enable investors to assist corporations in improving transparency, information disclosure, and reporting requirements especially due to the growing importance of Corporate Responsibility after the COVID-19 pandemic.