THE EFFECT OF CORPORATE SOCIAL RESPONSIBILITY AND OWNERSHIP STRUCTURE ON FIRM VALUE: THE MEDIATING ROLE OF CORPORATE PERFORMANCE

Abstract

This study empirically examined the impact of corporate social responsibility and ownership structure on firm value with the meditating role of firm performance in Nigeria. Ex-post facto research design and secondary data comprising of eleven (11) deposit money banks were obtained for the period 2010-2019. Variables of cost of corporate social responsibility, total ownership concentration, book value to market value ratio, and return on equity were computed from the annual reports and accounts of the deposit money banks. Data obtained were analysed using a panel data econometric method (fixed effect regression). The result obtained showed that the independent variables (cost of corporate social responsibility, total ownership concentration, book value to market value ratio) have positive and significant impact on return on equity. Given the findings of the study, it was recommended among others that management should continue to support corporate social responsibility initiatives and activities since any organization that do not invest much in corporate social responsibilities, its long-run existence may be threatened.