IDEAS home Printed from https://ideas.repec.org/a/taf/jenpmg/v65y2022i14p2631-2656.html
   My bibliography  Save this article

Different kettles of fish: corporate social performance, media legitimacy, and corporate financial performance of Chinese firms

Author

Listed:
  • Jun Xie
  • Hammad Riaz
  • Xiaolin Li
  • Su Xu
  • Tahir Mumtaz Awan

Abstract

Employing stakeholder signaling theory and legitimacy theory, this study seeks to resolve the nexus between corporate social responsibility (CSP) and corporate financial performance (CFP). This study focuses on the investors’ response and assumes that investors may read the CSP reports through various media and obtain the cognition and attitudes of the firms involved. Therefore, media legitimacy works as an important mediator between CSP and CFP. This paper categorizes CSP into three dimensions: market CSP, environmental CSP, and social CSP. In addition, we categorize media legitimacy into two dimensions: visibility and valence (tone). We study the mediating effects of both visibility and valence for 86 listed firms in China’s markets. The results show that media legitimacy does mediate the relationship between CSP and CFP. Furthermore, the mediating mechanisms differ among market CSP, environmental CSP, and social CSP. The results have important implications for theory and practice.

Suggested Citation

  • Jun Xie & Hammad Riaz & Xiaolin Li & Su Xu & Tahir Mumtaz Awan, 2022. "Different kettles of fish: corporate social performance, media legitimacy, and corporate financial performance of Chinese firms," Journal of Environmental Planning and Management, Taylor & Francis Journals, vol. 65(14), pages 2631-2656, December.
    • Handle: RePEc:taf:jenpmg:v:65:y:2022:i:14:p:2631-2656
    DOI: 10.1080/09640568.2021.1975105
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/09640568.2021.1975105
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/09640568.2021.1975105?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    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:taf:jenpmg:v:65:y:2022:i:14:p:2631-2656. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/CJEP20 .

    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.