Corporate Finance and CSR

A special issue of Journal of Risk and Financial Management (ISSN 1911-8074). This special issue belongs to the section "Economics and Finance".

Deadline for manuscript submissions: closed (31 October 2021) | Viewed by 12821

Special Issue Editor


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Guest Editor
Department of Accounting and Corporate Governance, Macquarie University, 1 Dora Street, Marsfield, Sydney, NSW 2122, Australia
Interests: green financing; microfinance; financial resilience; management controls; organisational culture; organisational dynamic capability; corporate social responsibility; organisational performance; strategic outcome

Special Issue Information

Dear Colleagues,

This Special Issue pays attention to the topic of “Corporate Finance and Corporate Social Responsibility (CSR)”. Criticism of unethical business practices has intensified in recent years due to a series of industrial accidents, including the deadliest collapse of the Rana Plaza in Bangladesh back in 2013, corporate scandals, and financial allegations including the breach of the Anti-Money Laundering and Terror Financing Act 2006 by the Commonwealth Bank of Australia from 2012‒2018. While different stakeholders include governments, global business leaders, international organisations, and corporate professionals who keep trying to enhance ethical and socially responsible business practices around the globe, it is of critical concern to observe an increase of unethical business practices under the shadow of so-called socially responsible business practices across different sectors, including the financial sector through investing into, and financing from, socially and environmentally harmful industries/projects. Consequently, researchers and corporate leaders have been paying a growing amount of attention to studying, in detail, the area of corporate paradoxical behaviour of greenwashing practices through irresponsible finance and investment decisions under the shadow of CSR practices. Therefore, this Special Issue calls for papers within the broad field of corporate finance and CSR practices to draw a broad picture on the motivation for, consequences of, and ways to minimise corporate irresponsible finance practices.

This Special Issue welcomes empirical, theoretical, and conceptual papers with novelty within the area of corporate finance and CSR practices, including, but not limited to:

  • Investment decisions and environmental CSR practices/performance.
  • Financing decisions and sustainable business practices.
  • Socially ir/responsible finance and organisational performance.
  • Factors motivating socially irresponsible corporate finance practices.
  • Social and economic impact of socially irresponsible corporate finance practices.
  • Ways of/approaches to socially responsible corporate finance practices.
  • Islamic finance and investment and socially responsible corporate finance practices.
  • Responsible use of organisational financial resources and CSR practices.
  • NGOs accountability towards responsible financing.
  • Responsible finance and investment practices and responsibility to shareholders.
  • Corporate greenwashing in developing and developed country context.
  • Corporate greenwashing and government and corporate accountability.

Dr. Faruk Bhuiyan
Guest Editor

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Keywords

  • Corporate social responsibility
  • Corporate finance
  • Greenwashing
  • Organisational performance
  • Financial institutions

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Published Papers (4 papers)

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Research

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16 pages, 489 KiB  
Article
Predicting Insolvency of the Construction Companies in the Creditworthiness Assessment Process—Empirical Evidence from Poland
by Rafał Balina, Marta Idasz-Balina and Noer Azam Achsani
J. Risk Financial Manag. 2021, 14(10), 453; https://doi.org/10.3390/jrfm14100453 - 22 Sep 2021
Cited by 6 | Viewed by 2524
Abstract
Prediction insolvency is one of the most important issues during creditworthiness assessment, especially in the turmoil environment. That is why the problem of insolvency and bankruptcy prediction has been the subject of numerous studies focused on its causes, consequences, and prediction. The main [...] Read more.
Prediction insolvency is one of the most important issues during creditworthiness assessment, especially in the turmoil environment. That is why the problem of insolvency and bankruptcy prediction has been the subject of numerous studies focused on its causes, consequences, and prediction. The main goal of the study was to develop a prediction model that can be effectively used in practice to analyze and signal the risk of insolvency and bankruptcy of a construction firms. Also, the research must identify the key factors that would allow for early identification of the symptoms of the upcoming financial failure of companies from a construction sector. To reach the goal of the study discriminant analysis, logistic regression and classification trees were used. The final estimated models included nine variables related to the profitability; revenues; liquidity; asset’s structure; and dynamics of own and foreign capitals, some of which referred to the industry and market situation in a construct sector, which is a novelty compared to previous research. What is more, results show that the method chosen to estimate the insolvency prediction model could have an impact on both partial and general effectiveness in the process of creditworthiness assessment. Full article
(This article belongs to the Special Issue Corporate Finance and CSR)
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19 pages, 912 KiB  
Article
RETRACTED: The Relationship between CEO Psychological Biases, Corporate Governance and Corporate Social Responsibility
by Bassem Salhi
J. Risk Financial Manag. 2021, 14(7), 317; https://doi.org/10.3390/jrfm14070317 - 9 Jul 2021
Cited by 2 | Viewed by 4248 | Retraction
Abstract
Despite that the relationship between corporate social responsibility activities and real estate operations seems relevant, only some studies have been conducted to explore the reasons that drive these activities in real estate companies. This work presents the relationship between CEO personality traits and [...] Read more.
Despite that the relationship between corporate social responsibility activities and real estate operations seems relevant, only some studies have been conducted to explore the reasons that drive these activities in real estate companies. This work presents the relationship between CEO personality traits and corporate social responsibility (CSR) and shows whether corporate governance (CG) practices mitigate or enhance this relationship. This study uses a sample of 420 firm-year-observations using a sample of European real estate firms indexed on Stoxx Europe 600 Index from 2010 to 2019. To test the developed hypotheses, feasible generalized least square (FGLS) regression is applied. The results show that increased confidence in CEOs is an important factor in determining corporate incentives to undertake social responsibility activities. In addition, it has been shown that effective corporate governance practices lead significantly to moderate CEO behavior with regard to corporate social responsibility sharing. Since corporate governance can have a significant impact on CEOs’ behavior in relation to corporate social responsibility, the author recommends firms to improve corporate governance in listed European real estate companies. Full article
(This article belongs to the Special Issue Corporate Finance and CSR)
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19 pages, 1646 KiB  
Article
Why Do Countries Request Assistance from International Monetary Fund? An Empirical Analysis
by Ifrah Siddique, Muhammad Azmat Hayat, Muhammad Zahid Naeem, Abdullah Ejaz, Cristi Spulbar, Ramona Birau and Toni Calugaru
J. Risk Financial Manag. 2021, 14(3), 98; https://doi.org/10.3390/jrfm14030098 - 1 Mar 2021
Cited by 2 | Viewed by 3085
Abstract
This paper investigates the determinants behind persistent and prolonged stays under the International Monetary Fund (IMF) program and its effectiveness, using panel data consisting of 70 countries that have requested IMF support multiple times, during the period 1980–2018. By employing panel survival analysis, [...] Read more.
This paper investigates the determinants behind persistent and prolonged stays under the International Monetary Fund (IMF) program and its effectiveness, using panel data consisting of 70 countries that have requested IMF support multiple times, during the period 1980–2018. By employing panel survival analysis, we conclude that weak economic indicators, e.g., current account deficit, high debt service ratio, low GDP, are the main reasons that force a country to reach out to the IMF support program. We further extend our analysis to investigate the effectiveness of the IMF program by dividing our sample into two groups, based on income level. To overcome the issue of endogeneity, we implement the panel instrumental two-stage least squares (2SLS) fixed-effect model. In the light of our analysis, we find a contemporaneous positive impact of the IMF fund program on the economic growth of upper middle-income countries, while, for low-income countries, its contemporaneous impact is insignificant, but becomes visible over time. Full article
(This article belongs to the Special Issue Corporate Finance and CSR)
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1 pages, 145 KiB  
Retraction
RETRACTED: Salhi (2021). The Relationship between CEO Psychological Biases, Corporate Governance and Corporate Social Responsibility. Journal of Risk and Financial Management 14: 317
by Bassem Salhi
J. Risk Financial Manag. 2021, 14(11), 511; https://doi.org/10.3390/jrfm14110511 - 25 Oct 2021
Cited by 1 | Viewed by 1707
Abstract
The journal retracts the article “The Relationship between CEO Psychological Biases, Corporate Governance and Corporate Social Responsibility” (Salhi 2021), cited above [...] Full article
(This article belongs to the Special Issue Corporate Finance and CSR)
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