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Title: Impact of Corporate Social Responsibility on Firm Profitability: Evidence from Automobile Industries of Pakistan
Authors: Muhammad Hamza Haroon, Izhar Ahmad
Journal: Global Management Sciences Review (GMSR)
Publisher: Humanity Publications
Country: Pakistan
Year: 2024
Volume: 9
Issue: 3
Language: English
DOI: 10.31703/gmsr.2024(ix-iii).04
<jats:p>Since, the 20th century, corporate social responsibility(CSR), an essential idea, has grown in the global economy. Its quick development, spread in various nations. CSR is also important in emerging nations like Pakistan. Numerous studies linked CSR to both financial and non-financial corporate profitability. The present study also checks the link, if any, between CSR aspects and profitability. CSR characteristics are independent and profitability-dependent variables. Profitability, annual turnover sales, and earnings per share were employed. The data was processed using panel data analysis and cross-sectional data. Factor Analysis(FA),Confirmatory Factor Analysis(CFA),and Simple Linear Regression Model(SLRM)check the dependent-independent relationship. Based on the Housman test, FEM and SEM were used to analyze panel data. The results show that CSR boosts EPS and annual turnover sales. It appears that Companies with more CSR commitment have better EPS and ATS. Evidence also implies that size improves EPS and ATS and age reduces the influence of CSR.</jats:p>
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