The Study On The Influence Of Listed Companies’ Social Responsibility On The Internal Control Of Beijing-tianjin-hebei Based On The Financial Perspective

With the continuous progress of the economic society, the market competition isbecoming increasingly fierce. The phenomenon of companies’ lack of social responsibilityoccurs frequently and then causes public concern gradually. Corporate SocialResponsibility (CSR) affects the corporate operation and management, and the internalcontrol is an indispensable part of operation and management. Thus, discussing therelationship between corporate social responsibility and the internal control is importantfor the development of the corporate operation and management.The purpose of this paper is to discuss the correlation between different variables ofcorporate social responsibility and the internal control of listed companies ofBeijing-Tianjin-Hebei region under the stakeholder theory which based on the financialperspective. The study gives suggestions on the reasonable and effective development ofcorporate social responsibility so as to improve the internal control and enterprise valueunder the combined action. The methods used in this paper are literature research method,comparative analysis method, entropy method and multiple regression analysis.Firstly, the paper introduces the background and significance and summarizes thecurrent research at home and abroad, Based on that, the paper discussed the concepts andrelated theories of corporate social responsibility&internal control in detail respectively.Next, the paper analyzes current disclosure status of corporate social responsibility&internal control among listing companies within Beijing-Tianjin-Hebei region, pointed outthat, the main problems focused on three aspects: the insufficiency of disclosure in thoselisting companies’ related reports; the need for a unified standardization of these reports,and the lacking of measurable data. Then the paper offers a general guidance to solvethese problems.Thirdly, this paper samples215A-share listed companies of Beijing-Tianjin-Hebei,establishes the index variable for corporate social responsibility&internal control andcalculates the social contribution value and internal control index using the entropymethod. Then the paper makes assumptions on the correlation between social contribution value, seven stakeholders’ social responsibility and internal control levels. According tothe SPSS, there came out a conclusion that: there is a positive correlation between a firm’scorporate social responsibility and its internal control level, and there is a significantpositive correlation between a firm’s social contribution value and the level of corporatesocial responsibility and internal control of its stockholders, employees and thegovernment. However there is a negative correlation between a firm’s social contributionvalue and the corporate social responsibility and internal control level of its creditors andcustomers.At last, based on the conclusion, the paper offers some suggestions to improvecorporate social responsibility in order to improve internal control from both internal andexternal of the company.