The Effects Of Social Responsibility On The Choice Of Corporation Financial Goals

Social responsibility as an emerging concept and financial goals in the study of corporate governance has occupied a very important position. With in-depth study of the theory of social responsibility, social responsibility can help to improve the efficiency of corporate governance, this is a serious problem. Current theorists of the company’s financial goals recognize there is a big difference. How many financial goals, select a target to guide the scientific activities of corporate finance, governance for companies to improve efficiency, enhance the company’s operating performance has an important role. In this paper, the problem is the social responsibility of the company’s financial target selection effects, is intended to identify the social responsibility and the relationship between financial goals.Firstly, this paper defined the concept of social responsibility and financial goals, and introduced the theories of social responsibility and financial goals, followed by manufacturing listed companies in China, using descriptive statistics analyzed manufacturing listed companies data, and then combined with the analysis of the factors of social responsibility on the choice of financial goals, established the correlation coefficient matrix model. Subsequently, we selected792sample data from264A shares listed manufacturing companies between2008-2010, an empirical analysis on the selected company financial goals of social responsibility; This article draws on previous research in the selection of corporate social responsibility indicators results, respectively, selected seven indicators on behalf of the shareholders’ responsibility, environmental responsibility, and charitable responsibility, and other factors as explained variable, net profit growth of4indicators as explanatory variables; then use the correlation matrix analysis of the seven indicators and four the correlation of the indicators of financial goals, according to the results of the analysis, we can draw the two correlation. Finally, on the calculation of the contribution and the contribution rate the degree of social responsibility the company’s financial goals, choose, and the overall empirical analysis of the results.The empirical results show that:In Chinese listed companies, social responsibility will certainly affect the choice of the corporate financial objectives, the companies carried out different levels of social responsibility will focus on the different financial goals. Specifically, the companies try to avoid to fulfill staff responsibility, consumer responsibility, environmental responsibility tend to choose the financial goals of profit maximization; pay more attention to the choice of the financial goals of maximizing earnings per share to fulfill shareholders’ liability, employee social responsibility and public welfare. Public welfare responsibility is their importment social responsibility, with the object of maximizing shareholder wealth have in common; the third model-the shareholder wealth maximization model, the less attention to fulfill staff responsibilities, suppliers responsibility and environmental responsibility in the field, and more to fulfill other aspects of social responsibility; in the model of the company value maximization, concerned about the responsibility of the supplier is low, generally a more comprehensive manner to fulfill the parties to the social responsibility and this behavior is worthy of recognition. Finally, based on empirical results from two levels of internal and external put forward to improve the social responsibility to the choice of corporate financial goals.