Empirical Study On The RAelationship Between Coprorte Social Responsiblity And Finacial Prfeomance Of China Medicing Manufacturing Enetprise

With the development of economic globalization, corporate social responsibility hasattracted extensive attentions of domestic and international society. Although thepharmaceutical manufacturing industry is of strategic significance relating to the nationaleconomy and public welfare industry, but business is still essentially an economicorganization. Is there anything relation between corporate social responsibility and theenterprise's financial performance? The question can not be avoided for the study of corporatesocial responsibility. The study of the paper is based on situations of the China'spharmaceutical manufacturing companies. Using a combination of theoretical and empiricalapproach and qualitative and quantitative analysis method, the questions are analyzed in thearticle. The mind of the paper is put forward on the basis of the analysis on the questionswhich is why to be responsibility for the society, which responsibilities to perform and whichrelations to rely on between the corporate social responsibility and financial performance.Firstly, the studies on the relations of the domestic and international corporate socialresponsibility and financial performance of the literature is summarized, and then based onthe theory of social responsibility, stakeholder theory and the theory of sustainabledevelopment and characteristics of pharmaceutical manufacturing enterprises in our country,it is proved it is the need to perform corporate social responsibility. It is introduced in detailthat what is the main social responsibility context for corporate to perform to stakeholder andcircumstance. It is analyzed the effectiveness of corporate social responsibility will passthrough the various stakeholders on the financial performance of the enterprise and lead tofinancial performance improvement. While a good financial performance will provide astrong guarantee for the corporate to perform social responsibility. Subsequently, the articletakes the 65 listed companies'normal data as the sample to put forward the researchhypotheses and test model, then the index system is build according the data of the enterpriseannual and Social Responsibility Reports . Further, the correlation analysis, multiple linearregression test section data and panel data model test is carried on in the article.According to the empirical results, it is concluded that it is positive effect, but notsignificant for most of the variables of corporate social responsibility to the financial performance. To further the use of panel data regression results show that there are morevariables on the financial performance of social responsibility has a positive influence, andalso increased significantly, which reflects positively influence about the social responsibilityto the financial performance of a certain long-term and lag. If adapting the socialresponsibility of the enterprise comprehensive score as the dependent variable and financialperformance indicators as the independent variable, the equation shows it is positiveinfluence to the financial performance to the social responsibility, which displays that it ishelpful for the better financial performance of pharmaceutical companies to improve theirsocial responsibility performance. This indicates that the two are interrelated and influenceeach other, mutually reinforcing relationship.Finally, based on theoretical analysis and empirical findings the suggestions is putforward for the pharmaceutical manufacturing companies how and why to perform corporatesocial responsibility from pharmaceutical manufacturing companies, government and otherparties .