IDEAS home Printed from https://ideas.repec.org/a/ris/amjoms/0066.html

Effect of Corporate Social Responsibility on financial performance of listed Fast-Moving Consumer Goods Firms in Nigeria

Author

Listed:
  • Oyedokun, Godwin Emmanuel

    (2Department of Management and Accounting, Faculty of Management and Social Sciences)

  • Ayeni Oluwatoyin Julianah

    (2Department of Management and Accounting, Faculty of Management and Social Sciences)

Abstract

This study examined the relationships between Community Empowerment Expenditure (CEE) and Societal and Environmental Expenditure (SEE) on financial performance of listed fast-moving consumer goods firms in Nigeria. The study adopted the ex-post facto research design. The population comprises of the twenty-one (21) consumer goods firms listed on the Nigerian Stock Exchange (NSE) that are relevant to the study. The study made use of a sample of nine (9) listed FastMoving Consumer Goods Firms for the period of 10 years (2011 – 2020) based on purposive sampling technique thus giving 99 observations. The study adopted the fixed effect regression analysis due to the results of the Hausman test. The findings revealed that Community and Empowerment Expenditure and Societal and Environmental Expenditure has no significant effect on financial performance of quoted consumer good firms in Nigeria. The study established the negative contribution of CEE towards performance of consumer goods firms, and it lends itself to the fact that expenditure directed towards communities to the extent that they are reported in the annual reports are insignificant in influencing the level of performance. The study recommended that managers need to evaluate carefully in totality the implications of CSR before implementing CSR activities and that firms should endeavor to generate revenue through sales of waste, bye products, recycling of waste and accounting for environmental performance and expenditure as this can support development and increase in profitability and overall performance.

Suggested Citation

  • Oyedokun, Godwin Emmanuel & Ayeni Oluwatoyin Julianah, 2022. "Effect of Corporate Social Responsibility on financial performance of listed Fast-Moving Consumer Goods Firms in Nigeria," Multidisciplinary Journal of Management Sciences, Association of Forensic Accounting Researchers (AFAR), vol. 4(3), pages 114-126.
    • Handle: RePEc:ris:amjoms:0066
    as

    Download full text from publisher

    File URL: https://www.afarng.org/wp-content/uploads/2023/01/Journal-of-Management-Science-Volume-4-Issue-3-December-2022_.pdf
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Barro, Robert J, 1979. "On the Determination of the Public Debt," Journal of Political Economy, University of Chicago Press, vol. 87(5), pages 940-971, October.
    2. Meltzer, Allan H & Richard, Scott F, 1981. "A Rational Theory of the Size of Government," Journal of Political Economy, University of Chicago Press, vol. 89(5), pages 914-927, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. A. Phiri, 2019. "Asymmetries in the revenue–expenditure nexus: new evidence from South Africa," Empirical Economics, Springer, vol. 56(5), pages 1515-1547, May.
    2. Solikin, Akhmad & Nizar, Muhammad Afdi, 2022. "Government Revenue and Government Spending Nexus: A Testing Hypothesis for Indonesia," MPRA Paper 118556, University Library of Munich, Germany.
    3. Hauwa Lamino Abubakar & Ruth A. Andah & Vincent Paul, 2022. "Deriving an Ideal Entrepreneurial Ecosystem for Entrepreneurial Development Success in Nigeria," Multidisciplinary Journal of Management Sciences, Association of Forensic Accounting Researchers (AFAR), vol. 4(3), pages 219-245.
    4. Daniel E. Ingberman & Robert P. Inman, 1987. "The Political Economy of Fiscal Policy," NBER Working Papers 2405, National Bureau of Economic Research, Inc.
    5. repec:prg:jnlpep:v:preprint:id:697:p:1-15 is not listed on IDEAS
    6. Nadeem Iqbal & Wasim Shahid Malik, 2010. "Budget Balance: Through Revenue or Spending Adjustment: Evidence from Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 49(4), pages 611-630.
    7. Ruth Angbazo Andah PhD, 2022. "Effect of Transformational Leadership Style on Job Performance in Nigerian Public Sector Organisations," Multidisciplinary Journal of Management Sciences, Association of Forensic Accounting Researchers (AFAR), vol. 4(3), pages 68-94.
    8. Francisco de Castro & José Manuel González-Páramo & Pablo Hernández de Cos, 2004. "Fiscal consolidation in Spain: dynamic interdependence of public spending and revenues," Investigaciones Economicas, Fundación SEPI, vol. 28(1), pages 193-207, January.
    9. Feld, Lars P & Kirchgassner, Gebhard, 2001. "Does Direct Democracy Reduce Public Debt? Evidence from Swiss Municipalities," Public Choice, Springer, vol. 109(3-4), pages 347-370, December.
    10. Mulligan Casey B & Gil Ricard & Sala-i-Martin Xavier X, 2010. "Social Security and Democracy," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 10(1), pages 1-46, March.
    11. Abel L. Costa Fernandes & Paulo R. Mota, 2011. "The Roots of the Eurozone Sovereign Debt Crisis: PIGS vs Non-PIGS," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 58(5), pages 631-649, December.
    12. Gyasi, Genevieve, 2020. "The Impact of Fiscal Deficit on Economic Growth: Using the Bounds Test Approach in The Case of Morocco," MPRA Paper 98925, University Library of Munich, Germany.
    13. Gilles Saint‐Paul & Davide Ticchi & Andrea Vindigni, 2021. "Engineering crises: Favoritism and strategic fiscal indiscipline," Economics and Politics, Wiley Blackwell, vol. 33(3), pages 583-610, November.
    14. Signe Krogstrup & Sébastien Wälti, 2011. "Women and Budget Deficits," Scandinavian Journal of Economics, Wiley Blackwell, vol. 113(3), pages 712-728, September.
    15. Stiassny, Alfred & Koren, Stefan, 1994. "Tax and Spend or Spend and Tax? An International Study," Department of Economics Working Paper Series 28, WU Vienna University of Economics and Business.
    16. Cukierman, Alex & Beetsma, Roel & Giuliodori, Massimo, 2009. "The Political Economy of Redistribution in the U.S. in the Aftermath of World War II and the Delayed Impacts of the Great Depre," CEPR Discussion Papers 7501, C.E.P.R. Discussion Papers.
    17. Karin Mayr, 2006. "Optimal budget deficits and immigration," Economics working papers 2006-19, Department of Economics, Johannes Kepler University Linz, Austria.
    18. Adejuwon Joshua Adewale & Aderibigbe Ayodele Adegbola, 2022. "Working Capital Management and Profitability of Selected Quoted Fast Moving Consumer Goods Manufacturing Firms in South-west Nigeria," Multidisciplinary Journal of Management Sciences, Association of Forensic Accounting Researchers (AFAR), vol. 4(3), pages 152-168.
    19. Ayesha Naz & Muhammad Zamir, 2024. "Tax-Spend or Spend-Tax Hypotheses: A Case Study of Pakistan using Threshold Cointegration with Asymmetric Adjustment," Journal of Economic Sciences, Federal Urdu University Islamabad, Department of Economics, vol. 3(1), pages 13-24, June.
    20. Viegas, Miguel & Ribeiro, Ana Paula, 2013. "Welfare-improving government behavior and inequality in a heterogeneous agents model," Journal of Macroeconomics, Elsevier, vol. 37(C), pages 146-160.
    21. Francisco de Castro & José M. González-Páramo & Pablo Hernández de Cos, 2001. "Evaluating the dynamics of fiscal policy in Spain: patterns of interdependence and consistency of public expenditure and revenues," Working Papers 0103, Banco de España.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ris:amjoms:0066. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Daniel Akanbi (email available below). General contact details of provider: https://edirc.repec.org/data/afarnea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.