Empirical Study On The Relationship Between Social Responsibility And Financial Performance Of Listed Real Estate Enterprises

There are more and more appeal of corporate to undertake social responsible, because the corporate show more impact on social development since the twentieth century. Now corporate fulfills social responsibility has become the trend of harmonious development of corporate and society and it is a spot that how to enhance the initiative of corporate to undertake social responsibility. With the economy development, the real estate corporate has been one of the fastest growing and biggest scaled industries in the word, playing the role of bridge and link, but they have caused many social problems,such as the production safety accidents, housing quality, the disorder of estate market, poor awareness of environmental protection and energy, damaging the interests of employees and so on, these problems not only affect the healthy development of real estate corporate but also affect the development of the national economy. At present, our research on corporate social responsibility are mostly qualitative research, so lack of quantitative research, and empirical research on the real estate industry is particularly less.Therefore, whether the real estate corporate should undertake the corporate social responsibility and how undertaking the will influence financial performance and what is the mechanism of the influence? They are the main research contents.Taking the theory of social responsibility, theory of modern property ownership and stakeholder theory as the starting point, this paper reviewed the literature of firm’s responsibility home and abroad. According to stakeholder theory, the author picked stockholder, creditor, employee, client, supplier, government and community as the seven major stakeholders of real estate corporate and proposed hypothesis, and analyzed the status quo of the real estate corporate fulfilling the social responsibility, and constructed evaluating indicators about corporate social responsibility and financial performance. Finally, The investigation bases on the data from a sample of 115 companies from 2011 to 2013,and empirical research has been done verify the above-mentioned theoretical hypothesis using correlation analysis and regression testing.Based on these analyses, the author made the following conclusions:(1) The relationship between current corporate social responsibility and current financial performance is more significant than between the corporate social responsibility and late financial performance. What’s more, the longer interval between corporate social responsibilit Y and financial performance, the weaker the relationship is.(2) There is a direct correlation relationship between the social responsibility and financial responsibility of the real estate corporate, and the relationship has hysteresis quality.(3)There is a direct correlation between company’s size and enforcement of social responsibility. The larger the enterprise is, the better fulfill social responsibility fulfills, the better financial performance is.Overall, corporate social responsibility and the goal of maximizing corporate performance are complement with each other to promote the healthy development of enterprises.Corporate social responsibility should be regarded as the integral part of strategic objectives and corporate must establish a good relationship with all parties for a harmonious living environment.