Is corporate social responsibility a value-increasing investment? Evidence from antitakeover provisions

Shahbaz Sheikh

Global Finance Journal, 2018, vol. 38, issue C, 1-12

Abstract: This study empirically tests whether corporate social responsibility (CSR) is a value-increasing investment by estimating the effect of antitakeover provisions on CSR. Results indicate that managerial entrenchment measured by the G-index of antitakeover provisions is negatively associated with CSR. However, this negative effect is driven by CSR strengths; G-index has no significant effect on CSR concerns. Overall, this study supports the stakeholder theory of CSR by showing that CSR is a value-increasing strategic investment, as entrenched managers tend to reduce CSR instead of overinvesting in it.

Keywords: CSR; Antitakeover provisions; Managerial entrenchment; Firm value (search for similar items in EconPapers)
JEL-codes: G32 G34 G38 (search for similar items in EconPapers)
Date: 2018
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (6)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1044028317301941
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:glofin:v:38:y:2018:i:c:p:1-12

DOI: 10.1016/j.gfj.2017.08.002

Access Statistics for this article

Global Finance Journal is currently edited by Manuchehr Shahrokhi

More articles in Global Finance Journal from Elsevier
Bibliographic data for series maintained by Catherine Liu ().