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Does CSR Improve Organization Financial Performance? Evidence from Nigeria Using Triangulation Analysis

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  • Taiwo Adewale MURITALA

    (Fountain University Osogbo, Nigeria)

Abstract

The study examines the impact of corporate social responsibility (CSR) on organizational financial performance of some selected banks in Nigeria using time series of annual data of ten banks over the period of 1990 to 2010. Pearson Correlation coefficient was used to analyse the correlation that exist between CSR and organization performance while collected data were regressed using Ordinary Least Square technique. Findings indicate a positive relationship between CSR cost and Profit after Tax (PAT). The study therefore recommends that top management in an organization must ensure prudence in its spending and get committed to any social activity it wants to embark upon and allow the members of the public to associate such an activity or activities.

Suggested Citation

  • Taiwo Adewale MURITALA, 2013. "Does CSR Improve Organization Financial Performance? Evidence from Nigeria Using Triangulation Analysis," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 3, pages 41-46.
    • Handle: RePEc:ddj:fseeai:y:2013:i:3:p:41-46
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    References listed on IDEAS

    as
    1. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    2. Peter Wright & Stephen P. Ferris, 1997. "Agency Conflict And Corporate Strategy: The Effect Of Divestment On Corporate Value," Strategic Management Journal, Wiley Blackwell, vol. 18(1), pages 77-83, January.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Corporate social responsibility; Financial performance; Pearson correlation regression; Nigeria;
    All these keywords.

    JEL classification:

    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • O55 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Africa

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