An Empirical Examination of the Relationship between Corporate Social Responsibility and Profitability

Although there has been considerable research into the relationship between corporate social responsibility and profitability, it has frequently reflected either an ideological bias or limited methodological procedures. Research has also been impeded by the difficulty of adequately measuring corpora...

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Bibliographic Details
Published in:Academy of Management journal 1985-06, Vol.28 (2), p.446-463
Main Authors: Aupperle, Kenneth E., Carroll, Archie B., Hatfield, John D.
Format: Article
Language:English
Subjects:
Annual reports
Business management
Business risks
Business structures
Corporate profits
Corporate responsibility
Corporate social responsibility
Investment risk
Profitability
Profitable firms
Social ethics
Social responsibility
Stock prices
Studies
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Summary:Although there has been considerable research into the relationship between corporate social responsibility and profitability, it has frequently reflected either an ideological bias or limited methodological procedures. Research has also been impeded by the difficulty of adequately measuring corporate social responsibility. This study, using an elaborate, forced-choice instrument administered to corporate CEOs, did not find any relationship between social responsibility and profitability. Specifically, varying levels of social orientation were not found to correlate with performance differences.
ISSN:0001-4273
1948-0989
DOI:10.5465/256210