The Research On Motive Factors Of Market Reaction To The Information Of CSR In China's Listed Companies

With proposed the concept of establishing a harmonious society, the voice that requires the corporations to undertake their social responsibilities is getting higher and higher. Since Shenzhen Stock Exchange issued "The corporate social responsibility guidelines" (hereafter Guidelines) in 2006, the information of corporate social responsibility (CSR) becomes the one which is disclosed voluntarily. After promulgating the "Guidelines", whether the information of CSR affects stock price in the capital market? What is the motive? To improve the quality of the information, which aspects should be perfected? This paper will answer these questions by empirical evidences.The research chooses all non-financial A-share in the Shenzhen Stock Exchange in 2006 for the study. We divided the samples into three parts by analyzing the financial reports of listed companies "full disclosed information of CSR", "simple disclosed information of CSR" and "non-disclosed information of CSR". The research methods are "event studies method" and "multiple linear regression method". Firstly, this paper inspects the reaction of the information of CSR in the capital market by event studies method. Then, on this basis, this paper focus on analyzing the motive of the result in the first part, especially analyses the disclose characteristics of CSR. The results are as follows: (1) Only full disclosure information of CSR can have a positive impact on the capital market; (2) the real and reliable information of CSR can have an impact on the capital market; (3) the information of CSR is more comprehensive, the impact on the capital market is more fiercely; (4) the information issued by an independent CSR report can affect the capital market fiercely.Research shows that after the "Guidelines" issued, the disclosed information of CSR displaying how listed companies undertake their social responsibilities is polarized seriously. The information of fully disclosed companies is more useful and comprehensive than the one of simple disclosed companies. The capital market only reacts to independent, relevant, reliable and comprehensive information. Therefore, Chinese government should better guide the list companies to improve their CSR information from the aspects of useful, comprehensive and the bearing themes.