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Corporate Governance and Corporate Social Performance: The Influence of Boards, Ownership and Institutions

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Listed author(s):
  • Kurt A. Desender
  • Mircea Epure

Abstract

We analyze how ownership concentration and type, and board independence are related to corporate social performance (CSP). Drawing from agency and team production theories, we argue that the distribution of costs and benefits to shareholders and other stakeholders is crucial to understand what drives CSP. We analyze an international panel of listed firms and reveal that CSP is negatively related to ownership concentration, but positively to board independence. Furthermore, the ownership type and the business context matter. Ownership concentration is negatively related to CSP more strongly in shareholder-oriented societies. This negative relationship is weaker in egalitarian societies.

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File URL: http://www.barcelonagse.eu/sites/default/files/working_paper_pdfs/730.pdf
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Paper provided by Barcelona Graduate School of Economics in its series Working Papers with number 730.

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Date of creation: Oct 2015
Handle: RePEc:bge:wpaper:730
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Keywords: Corporate Governance; corporate social performance (responsibility); ownership; boards; institutions; Culture;

Find related papers by JEL classification:

  • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
  • G3 - Financial Economics - - Corporate Finance and Governance
  • M0 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - General
  • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration
  • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility
  • M4 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting
  • M41 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Accounting - - - Accounting

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