A Study On The Impact Of Media Focus On Corporate Social Responsibility And Financial Performance

In the process of China’s rapid economic growth, there has been a series of social responsibility issues such as environmental pollution, food safety, financial fraud, and so on a series of social responsibility warn us to perform the social responsibility is important. SASAC issued Guidance in 2008 on the central corporate social responsibility to cause the upper enterprise to perform social responsibility seriously, but also attract the attention of scholars. From the research content, most scholars study the relation between corporate social responsibility and corporate financial performance as the research key some positive, some negative, some believe that relationships are not clear, the academic community there have been no conclusions. With further research, scholars began to notice the power of the media, especially newspapers, television, network and other media play an important role in guiding public opinion and information intermediaries in the supervision of enterprises. Media will vigorously promote those who can actively fulfill the social responsibility of enterprises, so as to improve enterprise’s popularity. On the contrary if companies appear scandal of ignoring social responsibility, the media will be in the first time to report, the enterprise how to make effective improvement measures will become the focus of public concern. Many research have prove that media attention has a positive effect to corporate governance, some scholars believe that the media play a intermediary role between social responsibility and corporate financial performance which is always a correlation between the mediating effect. In this paper, based on the recent media exposure of drug safety incidents for background, from the the qi er drug event", "the shi-four-drug event", "poison capsule drug safety accidents, reveal how medicine manufacturing enterprise should strengthen the construction of social responsibility. Due to drug safety is directly related to human life and health, if the medicine manufacturing enterprise appear negative news will impact to consumers and the social, enterprise itself will also crack down, so no matter from the perspective of enterprise itself or the social overall development point of view, the subject has a certain practical significance. Research ideas are as follows:First, list corporate social responsibility and financial performance, the media attention in these areas relevant literature systematically. Second, followed by the theory based on corporate social responsibility, stakeholder theory, information is not symmetry theory and the theory of selective attention on corporate social responsibility to be divided and defined, analysis the relationship between corporate social responsibility and financial performance, media attention play an intermediary role, put up with rational and verifiable assumptions.Final reference variables in the existing literature design, design variables of this article, to the extent of the number of reports in the media reflect media attention, social responsibility index as a measure of corporate social responsibility, the total return on assets as a corporate financial performance measure indicators, model, test the relationship between corporate social responsibility and financial performance as well as media reports what kind of impact on the relationship empirically.With related data of medicine manufacturing enterprise proves that:medicine manufacturing enterprise social responsibility has a significant positive effect on financial performance; Previous media reports has a important role in regulating the effects of current corporate social responsibility to the current corporate financial performance, and a period before the media coverage intensity bigger, the effect of current corporate social responsibility to the current corporate financial performance will be enhanced.