Document Type: Original Article


1 Docent of Accounting, University of Al-Zahra, Iran

2 Student of Ph.D., University of Al-Zahra and Faculty member at the University of Payam Noor, Iran


The present article examines the relationship between corporate social responsibility and financial performance listed in the Tehran Stock exchange. In order to collect information pertaining to corporate social responsibility, a questionnaire was used containing questions on social responsibility regarding customers, employees, the environment and institutions within the society; corporate financial performance was measured using the Return on Assets (ROE). For this purpose 71 companies were examined in the time span from 2009 to 2013. To analyze the data, statistical regression was applied. Results of the research indicate the presence of a relationship between financial performance and the social responsibility towards customers and the environment, while no significant relationship was observed between the employees and social institutions. The present research shall assist managers in developing effective websites related to corporate social responsibility in order to achieve superior financial performance in the long term. It also provides a perspective, for companies, regarding the role of social responsibility in gaining future benefits.


Baratlou, Fatemeh. (2007). Corporate Social Responsibility. Research Seasonal, 44. 93-108.

Ehsan, S., Kaleem, A., & Jabeen, S. (2012). "Exploring the interaction between Financial Performance and Corporate Social Responsibility in Pakistani Firms". Journal of Basic and Applied Scientific Research 2 (10), 10431-10439.

Faal Ghayumi, Ali; Momeni, Mansoor. (2010). Statistical Analysis Using SPSS, Tehran,

Fernandez Sanchez, Jose Luis; Luna Sotorrio, Ladislao; Baraibar Diez, Elisa. (2010). The relationship between corporate governance and corporate social behavior: A structural equation model analysis. Journal of Corporate Social Responsibility and Environmental Management, 18 (2), 91-101.

Harjoto, Maretno A. (2011). Corporate governance and CSR nexus. Journal of Business Ethics, 100 (1), 45-67.

Holme, Richard; Watts, phil. (2000). Corporate social responsibility: Making good business sense. World business Council for Sustainable Development.

Huang, Chi-Jui. (2010). Corporate governance, corporate social responsibility and corporate performance. Journal of Management and Organization, 16(5), 641-655.

Johnson, Brian R.; Connolly, Eric; Carter, Timothy S. (2010). Corporate social responsibility: The role of fortune 100 companies in domestic and international natural disasters. Journal of Corporate Social Responsibility and Environmental Management, 18 (6), 352-369.

Jones, Thomas M. (1986). Corporate Social responsibility revisited, redefined. Journal of California Management Review, 22 (2), 59-67.

Lin,C.H.,Yang, H.L., Liou,D.Y.(2009). "The impact of Corporate social responsibility on financial performance: Evidence from business in Taiwan". Technology in Society 31, 56-63.

Lioui, Abraham; Sharma, Zeno.(2012). Environmental Corporate social responsibility and financial performance: disentangling direct and indirect effects. Ecological Economics, 78, 100-111. 

Mc Williams, Abagail; Siegel, Donald. (2000). Corporate social responsibility and financial performance: correlation or misspecification? Strategic Management Journal, 21 (5), 603-609.

Mohr, Lois A.; Webb, Deborah J. (2005). The effect of corporate social responsibility and price on consumer responses. Journal of Consumer Affairs, 39 (1), 121-147.

Nelling, Edward; Webb, Elizabeth. (2009). Corporate social responsibility and financial performance: The virtuous circle revisited. Review of Quantitative Finance and Accounting, 32(2), 197-209.

Poddi, L; Vergalli, S. (2009). "Does Corporate social responsibility Affect the Performance of firms?". FEEM Working Paper NO.52.

Poor Ali, Mohammadreza; Hojami, Mohaddaseh. (2013). The Impact of the Environment on the Financial Performance of Companies; Determining the Role of Social Responsibility Disclosure as the Intervening Variable. Second National Seminar on examining Management Promotion, Accounting and Industrial Engineering Techniques in Organizations.

Rahmawati; Setyaningtyas; Honggowati; Edy Supriyono. (2014). The Effect of Corporate Social Responsibility on Financial Performance with Real Manipulation as a Moderating Variable.  International Journal of Management, Economics and Social Sciences, 3(2), 59-78.

Samy, Martin; Odemilin, Godwin; Bampton, Roberta. (2010). Corporate Social responsibility: a steategy for sustainable business success. An analysis of 20 selected British companies, Journal of Corporate Governance, 10 (2), 203-217.

Sandhu, H S; Kapoor, Shveta. (2010). Corporate social responsibility initiatives: An analysis of voluntary corporate disclosure. South Asian Journal of Management, 17(2), 47-80.

Scholtens, B.(2008). "A note on the interaction between corporate social responsibility and financial performance". Ecological economics, 68, 46-55.

Simpson, W. Gary; Kohers, Theodor. (2002). The link between corporate social and financial performance: evidence from the banking industry. Journal of Business Ethics, 35 (2), 97-109.

The Standard and Industry Research Organization of Iran. (2010). ISO Standard 26000, 1-92.

Tsoutsoura, Margarita. (2004). Corporate social responsibility and financial performance. University of California at Berkeley, financial project.

Turban, Daniel B.; Greening Daniel W. (1996). Corporate social performance and organizational attractiveness to prospective employees. Academy of Management Journal. 40(3). 658-672.

Zaman Khan, Md. Habib. (2010). The effect corporate governance elements on corporate social responsibility (CSR) reporting. Journal of Law and Management, 52 (2), 82-109.