CORPORATE SOCIAL RESPONSIBILITY AND ITS EFFECT ON FIRM FINANCIAL PERFORMANCE: A CASE OF UTILITY INDUSTRY IN VIETNAM

Abstract

A vast amount of research has been carried out to investigate the possible influence of Corporate Social Responsibility (CSR) on Firm Financial Performance, yet this particular link seems to be fictitious and inconsistent. The unsatisfactory findings suggest that researchers are unable to agree on a method to explain how and when Corporate Social Responsibility will influence Firm Financial Performance. Therefore, this research aims to inspect the current level of Corporate Social Responsibility relevance to Firm Financial Performance in Vietnam, how extensive is their connection. The companies in usage are those from VN30 during a 5-year period 2015 2019. Quantitative method is applied to test the hypothesis. To get the measure of Corporate Social Responsibility, return on equity, return on assets, content analysis of annual reports is conducted. Financial performance uses Tobin’s Q as proxies. Total assets and level of debts are also employed as proxies.