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The study aims to examine whether corporate social responsibility (CSR) disclosure does improve debt financing of listed firms with sustainable development agendas coupled with high chief executive officer (CEO) tenure in India.

Employing panel regression based on fixed effect and instrumental variable regression with fixed effect assumptions, the study examined data from the Bombay stock exchange from the period 2010 to 2019.

The study demonstrates that the disclosure of current exchange capital and moral capital cannot cause a firm to access short-term and long-term debt financing. However, lag investment in moral capital causes a positive effect on short-term debt financing. The second findings show that CEO tenure has a positive and statistically significant association with short-term debt financing and an insignificant association with long-term debt financing. The third findings show that the interaction of current CSR disclosure (moral and exchange capital) and CEO tenure is insignificant in affecting short-term and long-term debt finance. However, the interaction of lag CSR disclosure (moral and exchange capital) and CEO tenure positively affect short-term debt financing. The study addresses any endogeneity concerns arising from the CSR disclosure-debt financing association.

This study uses a single country to examine the inter-relationship between CEO tenure and debt financing and CSR measured by moral capital and exchange capital, thereby limiting the study's results for generalisation.

The observation is that moral capital investment and disclosure do not guarantee new entrants the chance to access debt financing, but subsequent and lag CSR disclosure ensures access.

No studies examine morality from CSR disclosure on debt financing. This study shows that decoupling CSR into exchange capital and moral capital in accessing debt financing presents new inputs for scholarly debate on CSR.

There is a current agitation by community leaders, global leaders and society on the morality aspect of corporate social responsibility (CSR) activities of firms. The change in policy raises the question of whether moral capital is affected. Therefore, this study aims to examine whether the shift from voluntary to mandatory reporting increases the moral capital of CSR and also whether moral capital affects the firm performance of listed firms in India.

This study examines 800 firm-year observations on the Bombay Stock Exchange (split into 320 firm-year observations for the voluntary period and 480 firm-year observations for the mandatory period). This study uses panel regression with random effect assumptions for data interpretation.

The first findings show that a shift from voluntary to mandatory policy on CSR increases the moral capital value of listed firms in India. The second and third findings show that voluntary reporting of moral capital has no significant association with market performance (stock price returns [SPR]) or firm value (Tobin’s q). The fourth findings show a negative and statistically significant association between mandatory reporting of moral capital and SPR but an insignificant association with Tobin’s q. This study conducted a robustness test, and results show that the previous year 1 and 2 moral capital for voluntary and mandatory periods has no association with SPR and Tobin’s q.

Although prior research has examined the effect of change in policy from voluntary to mandatory reporting on firm performance, little is known about the impact of moral capital on firm performance for the emerging economies, including India.

The purpose of this study is to examine the effect of moral and exchange capital of corporate social responsibility (CSR) disclosure on the financial distress likelihood of family management firms in India.

The constructed data set (i.e. Morgan Stanley Capital International) and Kinder, Lydenberg and Domini social performance rating data format) consists of 66 firms with 655 firm-year observations for family-managed firms that practise sustainability reporting on the Indian stock market from 2010 to 2019.

The first findings show that current and previous year-two CSR disclosure reduces family management firms’ financial distress. The second findings show that the exchange capital of CSR disclosure does not influence the financial distress likelihood of family management firms in India. The third findings show that moral capital of CSR disclosure of the current year, previous year-one and previous year-two more than likely reduce financial distress likelihood of family management firms in India. This study is robust due to the lagged variables of the dependent variables.

Management investment must be high in moral capital to accrue social capital, but the success is dependent on a policy of continuous support for establishing family-related businesses. Similarly, society can benefit as the firm becomes attractive to green consumers as additions to the consumers of a CSR-driven firm. The consequences can cause firms to be more philanthropic to the community.

The novelty shows that to the best of the authors’ knowledge, no studies examine CSR disclosure’s moral and exchange capital on financial distress likelihood in India. Also, there is no evidence from the perspective of family management studies in CSR-financial distress likelihood nexus.

This study aims to examine the effects of top management team (TMT) heterogeneity and corporate social responsibility (CSR) on the firm risk of Bursa Malaysia listed firms. Also, this study examines the moderating effect of CSR between TMT heterogeneity and firm risk.

This study uses panel regression models to test the hypotheses. The sample of this study is Bursa Malaysia non-financial listed firms from 2013 to 2017 with 3,055 observations.

This study finds significant effects of TMT age and tenure heterogeneities on total risk. Effects on idiosyncratic risk are evident only within age heterogeneity. Further, this study finds negative effects of CSR on total and idiosyncratic risks. CSR significantly moderates the relationship between total TMT heterogeneity and firm systematic risk.

This study reduces the literature gap by providing useful insights on the effects of CSR activities and TMT heterogeneity on firm risk. The findings can also provide hints to investors to assist them in assessing firm risk based on TMT heterogeneity and firms’ CSR. This study can also benefit shareholders in their attempts to mitigate the risk of their portfolio by investing in firms that are socially responsible as firms with high CSR suffer lower total and idiosyncratic risks.

Previous studies have emphasised on the influence of TMT characteristics and CSR on firm performance. However, studies that investigate the effects of TMT heterogeneity and CSR on firm risk are limited in the context of Malaysia.

The study attempts to examine the impact of mandatory corporate social responsibility (CSR) spending and inclusion of firms into the environment, social and governance (ESG) index of BSE India on the performance of firms constituting firms under the Bombay Stock Exchange (BSE) 100 Index.

The stock prices of the firms were collected from the official website of BSE India for a total of 32 firms and the System Generalized Method of Moments (GMM) model was utilized for analyzing the data for the present study.

The study found that the investors in the Indian market do consider the CSR spending and ESG listing as a factor while framing the investment strategy; however, ESG listing is least preferred. Among the other variables, AGE, DPS, EPS and BVPS have a significant positive bearing on the firm's performance, while SIZE has a significant negative impact on the firm's performance.

Further investigation is needed to understand the factors that influence investment decision-making, including why investors tend to overlook CSR and environmental protection. Future research can identify ways to increase the importance of these factors in investment decision-making. Future research can explore the long-term impact of investing in socially responsible companies, including whether such investments lead to better long-term performance.

There is a need for increased awareness of the importance of CSR among investors. Educational programs and campaigns can be used to inform investors about the potential benefits of considering social responsibility factors in investment decision-making. Companies that prioritize CSR and environmental protection should distinguish themselves from competitors in the eyes of investors. This can lead to higher investment and potentially higher returns for these companies.

Since mandatory CSR expenditure and the launch of the ESG index by the BSE have been introduced in India recently, hardly any study in India has examined the impact of the same on the firm's performance.

The paper aims to explore how Porter and Kramer’s “Creating shared value” (CSV) framework supports the multinational corporation’s business model to turn social problems into business opportunities in two contextually different international markets.

Conceptually, the paper uses the CSV framework to argue that evaluation of business models in different societal contexts (geographically, culturally and economically) might be able to shed more light on the firm-societal needs. Empirically, the paper conducts a comparative content analysis of the business models of an international brand of a three-wheeler vehicle – Piaggio Ape – in Italy and India since its launch right after World War II. The content for qualitative analysis was identified using the Nexis Uni database.

Findings reveal that CSV outlines the strategy for firms to integrate societal concerns uniquely into their business models, rather than solving them in isolation. However, the business model performances resulting from these firm–society linkages may vary in an emerging market and a developed market. Regulatory fit is yet another factor that decides how well CSV could be applied.

Given CSV’s contradictory perception in corporate governance literature, the study empirically establishes its theoretical value in explaining the actions and success of strategic decisions that large multinational firms take. The interactions between the underlying attributes of four CSV strategies, the regulatory fit and business model success are articulated in the form of propositions and an integrated CSV framework. Given the paper’s two-case comparative analysis, the generalizability of the identified attributes of the four CSV strategies is limited and therefore calls for future research using larger samples of firms practicing shared value perspectives.

Corporate and international business managers can use the study findings and the proposed framework to comprehend scenarios beyond business systems and to apply CSV as a tool to address market needs in concurrence with addressing environmental and societal concerns.

The paper is one of the initial attempts to evaluate and extend the “CSV” perspective in the international business context and, thus, promises a broad future research scope.

The paper aims to examine how Indian non-financial service sector companies’ financial performance is influenced by their corporate social responsibility (CSR) expenditures. The paper also analyses whether family ownership has a moderating role in the CSR expenditure–financial performance association.

The study includes 288 non-financial service sector companies listed in India with 3,456 firm-year observations. Panel data regression analysis using data for 12 years, starting from 2010 to 2021, is carried out.

The study reveals a positive influence of CSR spending on financial performance measures (Tobin’s Q and return on assets). Mandatory CSR policies also influence the company’s performance. Additionally, family ownership has a positive moderating effect on CSR expenditure–financial performance (Tobin’s Q).

The study gives insights to the managers on how CSR expenditures can be used to maximise their benefits by supporting social causes, particularly in the case of firms with ownership structures where family involvement is there.

The prior studies analysing family ownership effect on the CSR–financial performance relationship are fewer, and in a country like India, where corporate philanthropy is a part of the family business culture, there is a need to understand how CSR spending influences firm performance.

This paper aims to examine the effect of the corporate ethical approach on the cost of equity capital. This study is conducted on a large international sample on behalf of the world’s most engaged firms from an ethical point of view in 2015.

The multivariate linear regression model is used to meet the purpose of this study and research hypotheses are also examined using a sample of 80 of most ethical firms in the world during the year 2015. Moreover, three variables (i.e. business ethics, corporate social responsibility and executive compensation based on the achievement of sustainable development goals) are used to reflect the corporate ethical approach and the implied cost of equity capital is used for estimating the cost of equity. In this regard, equity cost estimation is the most appropriate approach to test the effect of business ethics on the cost of financing firms.

Based on a sample of 80 firms emerging as the world’s most ethical firms in 2015, the results revealed that firms with better ethics scores are significantly associated with a reduced cost of equity capital. This paper also demonstrates that the executive incentive pays that are based on the objectives of sustainable development are able to explain different outcomes regarding the relation between corporate ethical behaviors and the cost of equity. These findings support arguments in the literature that firms with socially responsible practices have a higher valuation and lower risk.

This study provides implications for global regulators and policymakers when setting social reporting standards, suggesting that corporate ethical engagement reduces the cost of equity capital by decreasing the information asymmetry and thereby reducing the firms’ risk. Therefore, the findings may be informative to international managers and investors when considering the effect of business ethics on the firm’s ex-ante cost of equity. In this perspective, the voluntary disclosure of information makes it possible to mitigate the problems of asymmetry of information and conflict of interest between the firm and its main providers of capital, which could reduce the cost of equity.