Research On Relationship Between CSR And Financial Performance

In recent years, China’s food security issue has been the focus that the media, the publicand government is concerned about. How to strengthen the management of the food industryand restore public confidence in the food companies is a priority. Food companies fulfillcorporate social responsibility that can promote companies to strengthen management, reducefood safety problems, maintaining stakeholder interests and enhance corporate image. TheFormulation, implementation and monitor of corporate strategy are all affected by corporategovernance structure. The improvement of the corporate governance structure can promptcompanies to consider the importance of stakeholders when formulating corporate strategy.Whether the improvement of the corporate governance structure can promote corporate socialresponsibility and how to improve is the main issue of this paper.Through the elaboration of the theory of corporate social responsibility, corporategovernance and stakeholder, as well as the summarization of domestic and internationalresearch on the relationship between corporate governance and corporate social responsibility,it provides a theoretical basis. Based on the theoretical analysis, it presents researchhypotheses from the equity structure, board structure and managers. From the perspective ofcorporate equity structure, it selects equity concentration, equity restriction, institutional blockholder, individual block holder. From the perspective of Board of directors, strategiccommittee, the proportion of shareholding directors, the proportion of independent directorsare selected. From the perspective of managers, managerial ownership are selected. Corporatesocial responsibility indicator is the dependent variable. Corporate governance index isindependent variable. The index of return on assets and firm size are control variables.This paper adopts descriptive statistical analysis, correlation analysis, regression analysisabout the2009-2012listed food companies by SPSS17.0software. Regression result showsthat corporate governance has a significant impact on corporate social responsibility,especially ownership concentration, institutional block holder, individual block holder, theStrategic Committee, the proportion of shareholding directors and corporate socialresponsibility is a significant positive correlation. Combining empirical analysis and actualsituation, this paper proposes suggestions from the external and internal environment.On theone hand, this paper puts forward to optimize the ownership, create specialized committeesand so on. On the other hand, it propose government and other stakeholders to strengthen thesupervison and management and so on. All the recommendations are to promote foodcompany to fulfill corporate social responsibily actively.