An Empirical Study On Philanthropy And The Financial Performance

In recent years,with the development of the economy and awakening of civic responsibility,the public is increasingly concerned about the implementation of corporate social responsibility.As one of the most important ways to fulfill social responsibility,corporate charitable donations are highly regarded by the public and the media.As a for-profit organization,donation activities will obviously increase the cost of the enterprise,reduce the resources available to enterprises and damage the interests of shareholders.So why do companies have to make charitable donations? Is it because of the ethical oppression of the public,or the government's ?persuasion behavior?? Does the corporate charitable donation have an impact on its performance? If it exists,is the impact of charitable giving on business performance short-term or long-term? This paper discusses the relationship between charitable giving and corporate performance in this context.Trying to use equity nature and media attention as their Moderators,discuss whether the impact of charitable donations of state-owned enterprises and non-state-owned enterprises on corporate performance is different,and whether the charitable donations of companies with high media attention have a greater impact on performance.First of all,the author analyzes the relevant literatures on charitable donations and corporate performance at home and abroad.According to stakeholder theory,social responsibility theory,resource dependence theory and strategic charitable donation theory,the author discusses the theoretical basis of the impact of corporate charitable giving on performance.Based on the theoretical analysis,the research hypotheses of this paper are put forward.Finally,the hypotheses are tested by empirical analysis.Through filtering,this paper selects 175 sample companies from 2013 to 2017 for research,and establishes a multiple regression model.Empirical analysis was performed by using Eviews10 analysis software.The result shows that charitable donations are positively related to the financial performance.Charitable donations from non-state-owned enterprises have a greater impact on business performance.Media attention does not regulate the relationship between charitable donations and corporate performance.Finally,this paper proposes recommendations to managers and government departments.