TY  - CHAP
AB  - Abstract This study examines share price reaction to the enrollment by companies in the Children’s Food and Beverage Advertising Initiative. We find that, on average, in the month of enrollment, shareholders of companies that join the CFBAI experience abnormal return of −3% and so do the shareholders of the immediate competitors that do not join the initiative. However, over the subsequent five years, while the shareholders of companies enrolled in the initiative experience an average abnormal return of +16.6%, that of non-enrolled competitors experience a further abnormal return of −34%. The abnormal returns for the two groups (at the time of enrollment and over the subsequent five years) are uncorrelated and so benefitting at the expense of competitors does not appear to be the motive for enrolling in the CFBAI. The study also provides comparison of number of employees and other important financial ratios before and after enrollment in the CFBAI for the two groups.
VL  - 19
SN  - 978-1-78635-165-4, 978-1-78635-166-1/1569-3732
DO  - 10.1108/S1569-373220160000019001
UR  - https://doi.org/10.1108/S1569-373220160000019001
AU  - Gondhalekar Vijay
AU  - Lehnert Kevin
PY  - 2017
Y1  - 2017/01/01
TI  - Financial Performance and the Competitive Effects of Corporate Social Responsibility
T2  - Global Corporate Governance
T3  - Advances in Financial Economics
PB  - Emerald Publishing Limited
SP  - 1
EP  - 21
Y2  - 2024/04/25
ER  -