A Study on the Interrelationship between Diversity, Corporate Philanthropy and Competitive Advantage-Evidence from China

• Main Authors: Chao-Ying Wu, 吳昭瑩
• Other Authors: 郭樂平
• Format: Others
• Language: zh-TW
• Published: 2014
• Online Access: http://ndltd.ncl.edu.tw/handle/255f5u

碩士 === 淡江大學 === 會計學系碩士班 === 102 === This paper attempts to explore the motivations behind philanthropic giving among listed firms in China and the mediating role of philanthropic giving in the relations that competitive advantage. The research data comprise panel data of A-share listed firms in China during 2008-2011. This paper investigates the impact of diversity on corporate philanthropy. Our empirical evidence shows that these firms’ philanthropic giving increased significantly with the increase of their operational diversity. However, The ratio of insiders to outsiders, and the proportion of female were found to be negative and significantly associated with firms'' philanthropic giving, director to be positive and significantly associated with firms'' philanthropic giving. Finally, our evidence during 2008-2011 also shows that increasing philanthropic giving in prior period could lead to a greater revenue growth in the next, confirming the mediating role of philanthropic giving. In China, philanthropic giving is probably an effective approach to improving corporate image or creating some intangible assets that generate economic benefits.