JUNE 14, 2022 (NewsRx) — By a News Reporter – Staff News Editor at Daily Insurance News — Researchers detail new data on risk management. According to reports from Aveiro, Portugal, by the editors of NewsRx, the research said: “The article aims to assess the role of corporate social responsibility (CSR) and innovation strategies as drivers of a company’s financial performance. The theoretical and empirical statement of this link aims to reinforce the importance of these strategic options both in the managerial field and in that of public policies.
Our press correspondents obtained a quote from the research of University of Aveiro“Highlighting the economic profitability of these practices will help managers make better strategic decisions. Policy makers will also capture the evidence needed to integrate CSR into policy packages. To answer the research question, data was collected from the Thomson Reuters Eikon Datastream covering the 1000 largest publicly traded companies in the world. Subsequently, hierarchical linear regressions were performed to produce the econometric results. Two periods (2015-2019) were compared to address spatio-temporal trends. Enrolling in CSR activities entails additional costs that can harm the company’s financial performance if not properly supported by public policies. Combining CSR and innovation appears to be the best strategy for companies seeking to improve their financial performance while being socially responsible.
According to the journalists, the research concluded: “The contribution of this study is three-fold: first, the analysis covers the top thousand operating companies in the world; on the other hand, the econometric results show that combining CSR and innovation has a positive impact on financial performance; and finally, the temporal comparison highlights a positive but slow evolution of the adoption of CSR. The article provides an applied perspective, useful to both managers and policy makers, on how they should approach and disseminate participation in these types of activities.
For more information on this research, see: The Impact of Corporate Social Responsibility and Innovative Strategies on Financial Performance. Risks, 2022.10(103):103. (Risks – http://www.mdpi.com/journal/risques). The Risks editor is MDPI SA.
A free version of this review article is available at https://doi.org/10.3390/risks10050103.
Our news editors report that more information can be obtained by contacting Joana CostaDEGEIT-Department of Economics, Management, Industrial Engineering and Tourism, University of AveiroUniversity campus of santiago3810-193 Aveiro, Portugal. Other authors of this research include Jose Pedro Fonseca.
(Our reports provide factual information on research and discoveries from around the world.)