Empirical Analyses of Corporate Governance and CSR

In recent years, corporate social responsibility (CSR) becomes an important part of corporate strategies. About 290 listed Chinese companies made a disclosure on CSR experiences in their 2008 Annual Reports, while 76 listed companies even disclosed "Value of social contribution per share" (VSCS). Although corporations are busy adopting and enhancing CSR practices, there are few empirical researches on impacts of CSR in the capital market. This paper investigates this issue by tracing the impact factors to VSCS from the aspect of corporate governance, recognized as a CSR benchmark, in 2008. The paper highlights two main findings: External governance environment has a significant effect on VSCS, irrespective of the kind of industries. Internal governance structure has some effect on VSCS, but not linear relation mutually, furthermore, the stockholding level of directors, supervisors and independent directors have no significant effect on VSCS, except for stock right concentration degrees.