Growing research about CSR has foun

Growing research about CSR has found in the study of the relationship between CSR and business performance an important field since, in modern times, a broader set of stakeholders seems to be able to influence firm strategic management. However, no conclusive answers have yet been found so as to clarify if CSR affects business performance or vice versa, and, research on the topic has been concentrated in developed economies.
This work has analysed the CSR-CFP relationship in Brazil using financial and CSR data of 78 non-financial listed companies in the period 2001-2006. Three aspects of CSR have been considered separately and were used to create a three dimensional measure of CSR which, together with the use of different business performance measures, allowed the finding of important results about the CSR-CFP relationship in Brazil.
The estimation of a set of econometric models has provided results that exhibit a trend toward a negative effect of CSR on firm value in Brazil. This negative influence, in turn, appears to be strongly influenced by social action relative to the relation with employees and environmental concerns. Indeed, these two social actions have shown to be the ones Brazilian firms are more focused in. Furthermore, considering specifically the financial accounting performance, the study did not identify any significant material effect of CSR on financial accounting performance, except for the relationship with employees on which a negative effect was observed. Besides, no effect of financial accounting performance on CSR was observed, contrary to the predictions of the slack resources theory. Additionally, there also seems to be sectors that are more inclined to undertake social action, as is the case of the financial sector.
We consider this work as a contribution to CSR literature since it presents an investigation of the CSR-CFP relationship in Brazil, an emerging market with increasing international visibility, where such kind of research is still absent.
Finally, we consider that this paper may have implications for academics, managers and other stakeholders. For academics, the work broadens the analysis of the CSR-CFP relationship once it investigates it in an emerging market making use of CSR indexes relative to three social action segments. Results indicate that in Brazil CSR is value decreasing for firms and has no relation with financial accounting performance being one more result to the literature. We also consider that more research is needed in Brazil and other developing economies.
For managers, CSR isultimately an investment decision that should be treatedin the firm’s budgeting process. Presumably it is a strategic decision to undertake it. Perhaps, such actions should be better publicised so that firm image might gain with it in medium and long term once this seems to be aprocessinvolving firm and society. At the present moment, maybe external stakeholders in general are not completely aware of firms’ CSR in Brazil so as to have theirdecisions of consumption or investment positively influenced for it in a way to generate benefits to the firm. Indeed, the ideal positive effects of CSR to the firm, found in some other works in differentdevelopedeconomies, maybe consequence of a longprocess of firms’social actions. Perhaps in developing economies this process may be even longer once firms are more prone to face financial limitations.

Results (Indonesian) 1:

Tumbuh penelitian tentang CSR telah menemukan dalam studi hubungan antara bisnis dan CSR kinerja dari-bidang penting karena, di zaman modern, satu set yang lebih luas pemangku kepentingan tampaknya mampu influence berlandaskan strategi manajemen. Namun, tidak ada jawaban yang konklusif namun telah ditemukan untuk memperjelas jika CSR mempengaruhi bisnis kinerja atau sebaliknya, dan penelitian pada topik telah berkonsentrasi dalam mengembangkan ekonomi.Karya ini telah dianalisis CSR-CFP hubungan di Brasil menggunakan financial dan CSR data 78 non-financial terdaftar perusahaan pada periode 2001-2006. Tiga aspek CSR telah dipertimbangkan secara terpisah dan digunakan untuk membuat tiga dimensi ukuran CSR yang, bersama dengan menggunakan ukuran kinerja bisnis yang berbeda, memungkinkan finding hasil penting tentang hubungan CSR-CFP di Brasil.The estimation of a set of econometric models has provided results that exhibit a trend toward a negative effect of CSR on firm value in Brazil. This negative influence, in turn, appears to be strongly influenced by social action relative to the relation with employees and environmental concerns. Indeed, these two social actions have shown to be the ones Brazilian firms are more focused in. Furthermore, considering specifically the financial accounting performance, the study did not identify any significant material effect of CSR on financial accounting performance, except for the relationship with employees on which a negative effect was observed. Besides, no effect of financial accounting performance on CSR was observed, contrary to the predictions of the slack resources theory. Additionally, there also seems to be sectors that are more inclined to undertake social action, as is the case of the financial sector.We consider this work as a contribution to CSR literature since it presents an investigation of the CSR-CFP relationship in Brazil, an emerging market with increasing international visibility, where such kind of research is still absent.Finally, we consider that this paper may have implications for academics, managers and other stakeholders. For academics, the work broadens the analysis of the CSR-CFP relationship once it investigates it in an emerging market making use of CSR indexes relative to three social action segments. Results indicate that in Brazil CSR is value decreasing for firms and has no relation with financial accounting performance being one more result to the literature. We also consider that more research is needed in Brazil and other developing economies. For managers, CSR isultimately an investment decision that should be treatedin the firm’s budgeting process. Presumably it is a strategic decision to undertake it. Perhaps, such actions should be better publicised so that firm image might gain with it in medium and long term once this seems to be aprocessinvolving firm and society. At the present moment, maybe external stakeholders in general are not completely aware of firms’ CSR in Brazil so as to have theirdecisions of consumption or investment positively influenced for it in a way to generate benefits to the firm. Indeed, the ideal positive effects of CSR to the firm, found in some other works in differentdevelopedeconomies, maybe consequence of a longprocess of firms’social actions. Perhaps in developing economies this process may be even longer once firms are more prone to face financial limitations.