Effects of corporate social responsibility performance (CSR) on stock prices: Empirical study of listed manufacturing companies in Nigeria

Solomon Adeoluwa Zaccheaus, Oyerogba Ezekiel Oluwagbemiga, Olaleye Michael Olugbenga
2014 IOSR Journal of Business and Management  
This study investigates the effect of Corporate Social Responsibility Performance on stock prices of Nigerian listed manufacturing companies .The objective of this study is to carry out an empirical study of the relationship between Corporate Social Responsibility Performance and stock prices of listed manufacturing companies in Nigeria. We attempt to measure the perception and reaction of financial markets to the companies' socially responsible behaviors, and try to find out if an improvement
more » ... n firm corporate social responsibility(CSR) actions has effects on stock prices. In our empirical analysis, we carried out tests that revealed the relationship between firms' corporate social responsibility performance(expenditure) and its influence on stock prices . Our empirical analysis revealed evidence of no relationship between corporate social responsibility performance and stock prices and evidence of no significant effect on stock prices of listed manufacturing companies in Nigeria We measured corporate social responsibility performance in terms of monetary contributions made or expenditure incurred by companies in respect of their social responsibility activities concerning environment, community and employment activities. Our findings show that listed manufacturing companies ', in Nigeria ,Corporate Social Responsibility Performance(CSRP) has no effect on their stock prices and it further revealed a negative non-significant correlation between stock prices and corporate social responsibility( CSR) activities ..
doi:10.9790/487x-1682112117 fatcat:bf5dgmkp7bbx3eyjnh5u4rje2q