An Empirical Study of the Relationship between Corporate Social Responsibility Disclosure and Organizational Performance: Evidence from Libya
International Journal of Management and Marketing Research, Vol. 5, No. 3, pp. 69-82 (2012)
14 Pages Posted: 28 Jan 2013
Date Written: 2012
This paper examines the relationship between corporate social responsibility disclosure (CSRD) and organizational performance in terms of financial performance, employee commitment and corporate reputation in Libyan companies through stakeholder’s pressures. The researchers have chosen the Libyan context as one of the world’s developing countries and it has undergone many changes over a short period of time in terms of economic, environmental and social changes. The empirical study was used to collect data relating to CSRD and organizational performance in Libyan companies, it was employed to analyse 110 annual reports of 40 firms that were gathered by using content analysis. This paper reveals that level of CSRD in the annual reports has a positive relationship with organizational performance in terms of financial performance and corporate reputation, while there is not significant relationship between level of CSRD and employee commitment. This paper contributes to the accounting literature by providing evidence from Libya that perceived the level of CSRD in annual reports can have an influence on level of both financial performance and corporate performance by stakeholder’s pressure.
Keywords: Corporate Social Responsibility (CSR), Corporate Social Responsibility Disclosure (CSRD), Financial Performance, Employee Commitment, Corporate Reputation and Stakeholder Theory
JEL Classification: C33, C83, M14, M41, L2, L11, K21
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