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Corporate Philanthropic Disaster Response And Post Performance: Evidence From China

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  • Xiaodong Qiu

Abstract

This paper examines whether the decision and amount of firm charitable giving in response to catastrophic events are related to firm post-performance, and whether firm ownership type moderates this relationship. Using data on Chinese firms’ philanthropic response to the 2008 Sichuan earthquake, we find that firm future sales growth and ROA change are positively associated with both the probability and the amount of corporate giving. The results also indicate that this positive philanthropic giving-post performance relationship is more pronounced in non-state-owned firms as philanthropic donation is more strategically driven for those firms. This study thus provides evidence suggesting that corporate philanthropic giving furthers firms’ economic objectives, even in an emerging market setting.

Suggested Citation

  • Xiaodong Qiu, 2013. "Corporate Philanthropic Disaster Response And Post Performance: Evidence From China," International Journal of Management and Marketing Research, The Institute for Business and Finance Research, vol. 6(2), pages 39-51.
    • Handle: RePEc:ibf:ijmmre:v:6:y:2013:i:2:p:39-51
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    References listed on IDEAS

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    Cited by:

    1. Frederik Plewnia & Edeltraud Guenther, 2017. "The benefits of doing good: a meta-analysis of corporate philanthropy business outcomes and its implications for management control," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 28(3), pages 347-376, October.
    2. Christian M. Faller & Dodo zu Knyphausen-Aufseß, 2018. "Does Equity Ownership Matter for Corporate Social Responsibility? A Literature Review of Theories and Recent Empirical Findings," Journal of Business Ethics, Springer, vol. 150(1), pages 15-40, June.
    3. Xiaojuan Wu & Dana Dluhošová & Zdeněk Zmeškal, 2021. "Corporate Social Responsibility and Profitability: The Moderating Role of Firm Type in Chinese Appliance Listed Companies," Energies, MDPI, vol. 14(1), pages 1-12, January.

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    More about this item

    Keywords

    Catastrophic Events; Corporate Philanthropy; Corporate Social Responsibility; Post Performance; State-owned Firms;
    All these keywords.

    JEL classification:

    • G11 - Financial Economics - - General Financial Markets - - - Portfolio Choice; Investment Decisions
    • G12 - Financial Economics - - General Financial Markets - - - Asset Pricing; Trading Volume; Bond Interest Rates

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