Is the relationship between CSR activities and financial performance of organizations a short term result? An answer with a panel data analysis ¿Es la relación entre las actividades de responsabilidad social corporativa y el desempeño financiero de las organizaciones un resultado de corto plazo? Respuesta con un análisis de datos de panel Academic Article in Scopus

© 2019 Universidad Nacional Autonoma de Mexico. All rights reserved.For many years, research on the profitability of activities related to Corporate Social Responsibility (CSR) has been conducted, where different results have been obtained. However, few is known about whether this relationship is maintained over time, especially in developing economies. The purpose of this paper is to evaluate if there is a relationship between CSR activities and the financial performance of organizations, and if this relationship is maintained over time. In order to accomplish this goal, different statistical models were employed to add robustness to the results Some of the statistical models employed were univariate tests and panel data models. Our results indicate that there is a positive relationship between CSR activities and the financial performance of the company. Due to the time restriction, it is not possible to suggest that this relationship is maintained in the long term, but only in the short and medium terms. These results could provide strong evidence that could foster managers of Mexican companies to initiate or increase CSR activities.

Overview