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The Relationship Between Corporate Governance and Corporate Social Responsibility Expenditure in Bangladesh: Moderating Role of Firm Value

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  • Md Sajjad Hosain

Abstract

This article aims at identifying the relationship between corporate governance (CG) and corporate social responsibility expenditure (CSRE) for the Bangladeshi banking sector. CG has been considered as the single independent variable divided into three components: board size (BS), gender diversity (GD) and board members’ interrelationship (BMI), and CSRE has been considered as the dependent variable. Further, a single moderator—firm value (FV) as been employed in order to test the moderating influence. Annual reports from 2015 to 2019 (5 years) of 35 banking firms have been used as samples. The study utilized Pearson’s correlation coefficient in order to test the direct relationships and regression analysis to test the moderating effects. The analysis has revealed that BS and GD are positively associated with CSRE while BMI has a negative association with CSRE. Furthermore, has been revealed that FV can moderate all the direct relationships. The study is expected to aid researchers in further empirical investigation over this important issue and guide policymakers to obtain more representative outcomes to make constructive decisions regarding CG and CSRE that would, in turn, increase FV.

Suggested Citation

  • Md Sajjad Hosain, 2020. "The Relationship Between Corporate Governance and Corporate Social Responsibility Expenditure in Bangladesh: Moderating Role of Firm Value," Indian Journal of Corporate Governance, , vol. 13(2), pages 190-209, December.
    • Handle: RePEc:sae:ijcgvn:v:13:y:2020:i:2:p:190-209
    DOI: 10.1177/0974686220965330
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    1. Mariasole Bannò & Emilia Filippi & Sandro Trento, 2023. "Women in top echelon positions and their effects on sustainability: a review, synthesis and future research agenda," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 27(1), pages 181-251, March.
    2. Farid Ahammad Sobhani & Amlan Haque & Shafiqur Rahman, 2021. "Socially Responsible HRM, Employee Attitude, and Bank Reputation: The Rise of CSR in Bangladesh," Sustainability, MDPI, vol. 13(5), pages 1-17, March.

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