Does family ownership moderate the relationship between board characteristics and corporate social responsibility? Evidence from an emerging market

IF 1.9 Q2 ETHICS

Asian Journal of Business Ethics Pub Date : 2022-12-05 DOI:10.1007/s13520-022-00164-z

Muhammad Farooq, Amna Noor, Muhammad Naeem

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引用次数: 4

Abstract

The current study looked at the impact of board of director characteristics on corporate social responsibility (CSR) in the Pakistani setting. The study further added to the body of knowledge by comparing the impact of board characteristics in family versus non-family businesses in an emerging market. The study’s sample consists of 139 non-financial Pakistan Stock Exchange (PSX) listed firms from 2008 to 2019. The level of CSR among sample firms was assessed using a multidimensional financial approach. The random-effect model was employed to test the study’s hypotheses. The findings support the dysfunctional view of the role of the board of directors’ in family-owned businesses. Overall, board size and CEO duality have a significant negative impact on CSR, whereas board independence has a significant positive impact. While these findings applied to both family-owned and non-family-owned businesses. It was discovered that among family-owned businesses, boards tend to look after the interests of family members, and thus are less likely to support CSR. The findings of this study will assist regulatory authorities, investors, and financial analysts in understanding CSR practices in Pakistani firms, allowing them to review the role of the board of directors in CSR among family and non-family-owned firms.

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家族制是否调节了董事会特征与企业社会责任之间的关系？来自新兴市场的证据

摘要本研究着眼于巴基斯坦背景下董事会特征对企业社会责任的影响。该研究通过比较新兴市场中家族企业与非家族企业董事会特征的影响，进一步丰富了知识体系。该研究的样本包括2008年至2019年期间139家巴基斯坦证券交易所(PSX)非金融上市公司。使用多维财务方法评估样本公司的企业社会责任水平。采用随机效应模型对研究假设进行检验。研究结果支持了董事会在家族企业中角色失调的观点。总体而言，董事会规模和CEO二元性对企业社会责任具有显著的负向影响，而董事会独立性对企业社会责任具有显著的正向影响。虽然这些发现适用于家族企业和非家族企业。研究发现，在家族企业中，董事会更倾向于照顾家族成员的利益，因此不太可能支持企业社会责任。本研究的结果将有助于监管机构、投资者和金融分析师了解巴基斯坦企业的企业社会责任实践，使他们能够审查董事会在家族企业和非家族企业的企业社会责任中的作用。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Asian Journal of Business Ethics ETHICS-

CiteScore

2.60

自引率

38.50%

发文量

期刊介绍： The Asian Journal of Business Ethics (AJBE) publishes original articles from a wide variety of methodological and disciplinary perspectives concerning ethical issues related to business in Asia, including East, Southeast and South-central Asia. Like its well-known sister publication Journal of Business Ethics, AJBE examines the moral dimensions of production, consumption, labour relations, and organizational behavior, while taking into account the unique societal and ethical perspectives of the Asian region. The term ''business'' is understood in a wide sense to include all systems involved in the exchange of goods and services, while ''ethics'' is understood as applying to all human action aimed at securing a good life. We believe that issues concerning corporate responsibility are within the scope of ethics broadly construed. Systems of production, consumption, marketing, advertising, social and economic accounting, labour relations, public relations and organizational behaviour will be analyzed from a moral or ethical point of view. The style and level of dialogue involve all who are interested in business ethics - the business community, universities, government agencies, non-government organizations and consumer groups.The AJBE viewpoint is especially relevant today, as global business initiatives bring eastern and western companies together in new and ever more complex patterns of cooperation and competition.