Corporate Social Responsibility and Profitability: A Case Study on Dutch Bangla Bank Ltd

Suraiya Mahbuba () and Nusrat Farzana ()
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Suraiya Mahbuba: Lecturer, Stamford University Bangladesh
Nusrat Farzana: Lecturer, Stamford University Bangladesh

International Journal of Business and Social Research, 2013, vol. 3, issue 4, 139-145

Abstract: In Bangladesh, the banking sector has a glorious history of getting engaged themselves in different kinds of social activities which is formally known as CSR (Corporate Social Responsibilities). The paper examines the relationship between CSR and profitability of Dutch Bangla Bank Ltd (DBBL) which is the initiator of CSR activities in the banking sector of Bangladesh. The study used annual reports of DBBL for the year 2002 to 2011. Ordinary least square (OLS) model of regression was analyzed using SPSS 16. to assess the impact as well as test the hypothesis of the study whether there is a relationship and the extent of the relationship between the independent variable (corporate social responsibility expenditure) and the dependent variable (profit after tax). Above all, the analysis revealed that 90.7% of the variance of profit after tax of DBBL has been explained by the benefit accrued from corporate social responsibility. The hypothesis that was formulated was tested and the result shows that there is significant positive relationship between corporate social responsibility and profitability in case of DBBL.

Keywords: Corporate social responsibility; corporate financial performance; DBBL; profitability (search for similar items in EconPapers)
Date: 2013
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:lrc:larijb:v:3:y:2013:i:4:p:139-145

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