Research On Effect Of Corporate Social Responsibility On Financing Constraints Of Listed Companies

Corporate social responsibility has received attention widely in China, and has been unavoidable responsibility for listed companies achieving sustainable development. Meanwhile, corporate social responsibility also began to have an impact on the investment and financing in the capital markets. Financial constraint caused by asymmetric information, agency costs has restricted the development of listed company in China. In this context, corporate social responsibility on the effect issue of financing constraints has become a necessary task. The study provides practical guidance on the listed company’s financing constraint, and urge company more consciously fulfill corporate social responsibility at the same time, further promote the development of corporate social responsibility in China.This study first described connotation of corporate social responsibility and financing constraints, and analysis systematically the effect relationship between performance of social responsibility and quality of social responsibility report disclosure on listed company financing constraints based on stakeholder theory, signaling theory and corporate reputation theory, while consider significantly difference of the effect in different equity nature and different market degree. Then research assumed that performance of corporate social responsibility and quality of social responsibility report disclosure can ease financing constraints.Secondly, construct of evaluation index of corporate social responsibility from the shareholders, creditors, employees, government, consumers, suppliers, community seven categories of stakeholders. And Application of entropy- right Method to empower. On the basis of cash-- cash flow sensitivity model( model of ACW) measured financing constraints, and set the performance of corporate social responsibility and the quality of social responsibility report as moderator, the introduction of Cross Keys, while consider the different equity nature and market degree, and bulid the model of the corporate social responsibility affect financing constraints of listed companies. Finally, select the 508 listed companies in Shanghai and Shenzhen markets from 2010 to 2014, an empirical analysis is completed after data is processed.The Empirical results show that cross coefficients is negative significantly. This explain that good performance of corporate social responsibility and high quality of social responsibility report disclosure can effectively alleviate the level of financing constraints faced by listed companies. In addition, When score of corporate social responsibility performance above 0.2021 and social responsibility report quality above 41.6 points in non-state-owned listed companies, the relief in the non-state-owned listed companies is more evident. Similarly, the same as higher market degree.