Corporate Social Responsibility and Corporate Financial Performance: Analyzing If It Pays To Be Socially Responsible In The US Informational Technology Industry

Author

Annabel E. WalshFollow

Graduation Year

2021

Document Type

Campus Only Senior Thesis

Degree Name

Bachelor of Arts

Department

Economics

Second Department

Organizational Studies

Reader 1

Roberto Pedace

Reader 2

Barbara Junisbai

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Terms of Use for work posted in Scholarship@Claremont.

Abstract

This study explores the relationship between corporate social responsibility and corporate financial performance in the U.S. listed informational technology companies from 2015 to 2019. Specifically, this analysis utilizes four fixed effects regression models to assess the relationship between CSR, measured by ESG scores, and CFP, measured by return on assets. The results indicate no statistical significance between the ESG coefficient and ROA, meaning that the ESG effect on ROA is not robust. Despite the inability to establish a concrete relationship between CSR and CFP, I argue that there are key limitations to this study that serve as possible explanations.

Recommended Citation

Walsh, Annabel E., "Corporate Social Responsibility and Corporate Financial Performance: Analyzing If It Pays To Be Socially Responsible In The US Informational Technology Industry" (2021). Scripps Senior Theses. 1724.
https://scholarship.claremont.edu/scripps_theses/1724