The Impact of Corporate Social Responsibility on Financial Performance: A Study on BORSA Istanbul (BIST30)

Abstract

This article aims to establish a clear connection between corporate social responsibility (CSR) and financial performance. Through this research, we aim to conclusively demonstrate how a company's corporate social performance impacts its financial success. Utilizing data from Turkish BIST30 index companies for the years 2010 to 2022, our findings indicate a negative association between corporate social responsibility disclosure and return on assets, implying a potential trade-off. Furthermore, the existence of CEO duality has got a positive influence on the return on assets. The findings underline the significance of a balanced strategy that considers both social and economic aims. By incorporating social responsibility into their operations, companies may contribute to a more sustainable and inclusive future while still attaining financial success.