Vol. 45 No. 1 (2023): A STUDY OF CORPORATE SOCIAL RESPONSIBILITY AND ITS DETERMINANTS

The relationship between Corporate Social Responsibility (CSR) and Corporate Financial Performance (CFP) or, simply put, Profitability, has been a subject of investigation for some time now. However, there are very few studies that explore the impact of different financial variables of a company on the types of CSR it undertakes, especially, in the case of developing nations like India. The present study focuses on the impact of company specific financial variables on the type of CSR undertaken by the companies using data of top 100 listed on the Bombay Stock Exchange (BSE). The data of financial variables is secondary data from Prowess database (of CMIE). It has been collected for a period of 2 years (2014-15 & 2011-22). The relationship was empirically examined using the method of fractional regression. Empirical results indicate that net profitability impacts the CSR regarding community involvement and diverse areas of CSR. However, no such relationship exists between NP and CSR in the field of environment and workplace.