Corporate Social Responsibility Disclosure and Firm’s Operational, Financial and Market Performance: A Study of Content Analysis of Firms Listed at Pakistan Stock Exchange

Abstract

Developing economies like Pakistan, still struggling to promote the emerging concept of Corporate Social Responsibility (CSR), so this research aims to investigate the impact of CSR Disclosure (CSRD) on a Firm’s Performance (FP). This study is based on conceptual aspects of CSRD and is different because FP is measured with three different types of proxies, i.e., operational, financial and market performance. The empirical results of this research show the positive and significant impact of CSRD on a firm’s operational and financial performance but insignificant in the case of market performance. It is further concluded that firms disclosing CSR have better operational and financial performance. This study is a pioneer to uplift the importance of CSRD in Pakistan and therefore an addition to existing literature, this paper also provides different new ways to assess the link between CSRD and FP.