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CSR and firm value: is CSR valuable during the COVID 19 crisis in the French market?

Author

Listed:
  • Imen Khanchel

    (Manouba University
    University of Tunis)

  • Naima Lassoued

    (Manouba University)

  • Rym Gargoury

    (Carthage University)

Abstract

This study examines the impact of the COVID-19 outbreak on the French stock market and investigates whether companies with a commitment to corporate social responsibility (CSR) were less affected. Examining a sample consisting of 464 French firms, we separate firms that have implemented CSR activities around the event period (considered as active CSR adopters) from CSR-adopters (firms that did not indulge in CSR activities around that period) and non-CSR adopters. The empirical results indicate that active CSR adopters were less affected as some positive returns have been observed around the event date, indicating that their stock prices were relatively resistant to the crisis. The multivariate analysis shows that the French market reacted significantly to CSR strategy and that active CSR adopters are the least affected.

Suggested Citation

  • Imen Khanchel & Naima Lassoued & Rym Gargoury, 2023. "CSR and firm value: is CSR valuable during the COVID 19 crisis in the French market?," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 27(2), pages 575-601, June.
    • Handle: RePEc:kap:jmgtgv:v:27:y:2023:i:2:d:10.1007_s10997-022-09662-5
    DOI: 10.1007/s10997-022-09662-5
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    More about this item

    Keywords

    Corporate social responsibility; Firm value; Stock returns; COVID-19; Event study;
    All these keywords.

    JEL classification:

    • M20 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - General
    • G10 - Financial Economics - - General Financial Markets - - - General (includes Measurement and Data)
    • G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies; Insider Trading
    • G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill

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