Dynamic Relationship Between Csr And Corporate Performance. Evidence From Pakistan

Abstract

In today’s modern and technologically developed world Companies face pressure to modify operational strategies and follow environmental and socially responsible techniques while performing business activities. The current study tries to find out the dynamic relationship between Corporate social responsibility (CSR) and firm performance in non-listed companies of Pakistan. For this purpose, data was collected from 200 respondents having various specialties through adopted questionnaire. After evaluating missing values seventytwo percent respondent’s data was entered in SPSS and result were analyzed through smart PLS for validating reliabilities and validity of the adopted construct. Regression results depict that only two indicators namely “workplace performance” (β=0.310; p<0.05) and “community performance” (β=0.212; p<0.05) has significant relationship. While two other attributes (environmental performance and customer performance) of CSR did not evident any kind of significant relationship. Based on the findings it is recommended that in the current study data was obtained through single source at one stage sampling, hence future researcher may obtain the data before and after annual data publication of various firms. It will give details insight about the company/firm response. Future studies may investigate CSR attributes in other sector (SME’s, Hospitality, Health, Higher Education, financial Organizations, etc.) to get detail information’s about its relevant importance in respect of their application in these sectors.