An empirical study on corporate social responsibility and corporate profitability

More and more enterprises begin to pay attention to social responsibilities and their disclosure. From all the listed companies on the Shanghai Stock Exchange in 2008, 156 companies were taken as study samples. Based on the data, the correlations and regression analysis were made between each index representative CSR and corporate profitability. The study shows that the CSR for government and staff has a significant positive correlation with corporate profitability. The CSR for investors and social welfare also has positive correlation with it, while the correlation coefficient is not significant. But the CSR for environment has a negative relationship with corporate profitability. So the corporate should bring more benefit to their stakeholders while getting more economic profits, especially to environment protection.