Study on CSR Activities of Indian Pharmaceutical Companies in the Area of Public Health and Impact of CSR on the Market Risk of These Companies

Introduction: Corporate Social Responsibility is one of the key concerns in today's highly competitive business environment. Pharmaceutical companies in India are highly concerned and engaged in various CSR programs specially in the field of public health. Objectives: current study in conducted to study the impact of CSR on market risk of healthcare companies in India and to analyse CSR investment by healthcare companies in the area of public health. Originality: this area of CSR is still very less explored in our country and very less amount of work has been done to find out impact of CSR on market risk. Material & Method: data of CSR, market risk premium and market value at risk is analysed using panel data regression using e-views. Result & Discussion: There is a significant impact of CSR on market risk premium (Beta) and Market value at risk (VaR) of the company. Coefficient of regression is negative which means increase in CSR will decrease the Beta and VaR of the company. Hence it will reduce overall market risk of the company. Applications: Current study will help in understanding impact of CSR on market risk with reference to pharmaceutical companies in India. It will also help in extracting overall scenario of CSR with reference to public health in India. Conclusion: Pharmaceutical companies in India can reduce their market risk by increasing their involvement in CSR activities. It will help them in improving overall market performance.