The Empirical Study Of Relationship Between Corporate Social Responsibility And Competitiveness

Recently, corporate social responsibility has become an increasing emphasis by business and management scholars. Enterprises can no longer disregard the issues of consumers, occupational safety, labor disputes and environmental pollution on their own development, while they must go to satisfy the interests and requirements of customers, employees, suppliers, communities, governments and other stakeholders. The modern corporates' practices of social responsibility have also proved that whether enterprises had achieved a certain standard of social responsibility or not, has become an important weight when competitiving in the international market. Foreign companies have also considered social responsibility as a long-term investment, and seen shouldering social responsibility as an important means to gain competitiveness.Corporate competitiveness is a comprehensive quality that can supply more products or services to market effectively than other companies do, and access profitability and their own development. The level of corporate competitiveness is directly related to success or failure of enterprises. Since the 80s of 20th century, theory horizen has done extensive research on how to establish and maintain competitiveness, of which contains school of market structure, resource school and capability school who have done much research on the origins of competitiveness from their own perspective. However, since the 90s of last century, with the social responsibility being recognized and supported by all community, corporate social responsibility is becoming an important component of competitiveness increasingly.The starting point of this paper begins on the analysis of fulfillment of China's corporate social responsibility and theoretical controversy of corporate social responsibility and competitiveness, and the carry out of study uses a combination of theoretical and empirical methods, which propose original assumptions of their relationship first, then verify its validity through quantitative studies whose data obtained from the annual reports. First, the text discuss the background of the research and the meaning of the researches, and points out that corporate social responsibility is an important influencing factor of competitiveness; Second, in the basic of the literature overview of corporate social responsibility and competitiveness, paper elaborate the influence of corporate social responsibility on competitiveness; Third, design the indicators of corporate social responsibility and competitiveness; Four, deal with the data and analysis the influence of corporate social responsibility and competitiveness. By using the statistics of 59 medical listed companies from 2003 to 2007 and empirical methods, we find that, first, corporate will significantly enhance their competitiveness by committing the responsibility of shareholders, government and suppliers, while committing creditors' responsibility is not relevant to competitiveness, and staffs responsibility will be less weaken the competitiveness of enterprises; Second, in short term, the more responsibilities the corporates take, the more competitiveness it would be; Third, considering previous period, the better corporate social responsibility performances in the previous periods would lead to greater competitiveness in the following time, especial that the latest three years' corporate social responsibility performance has greater influence. At the same time, according to the research on the controlled variables, we find that the larger the company size is, the better corporate social responsibility performance it would have; And also state-owned enterprises have better corporate social responsibility performance than those non-state industries. However, there is no confirmed relationship about the influence from the years of the company's foundation.