Corporate Social Responsibility and Financial Performance: A Meta-Analysis

Abstract

This study aims to analyze the relationship between Corporate Social Responsibility (CSR) and financial performance through a meta-analytic approach. By synthesizing results from various prior studies, this research provides a more comprehensive understanding of the effects of CSR on financial performance. Based on an analysis of 52 studies comprising a total of 33,878 observations, the findings suggest that CSR has a positive and significant impact on a company’s financial performance, particularly when using accounting-based performance measures. Additionally, the study reveals that CSR reputation indices tend to have a stronger correlation with financial performance than other CSR indicators. This research thus makes a significant contribution to the understanding of the role of CSR in enhancing corporate financial outcomes.