The Relationship Between Corporate Social Responsibility and Financial Performance (A Case Study from Finland)

  • Mari KooskoraEmail author
  • Miia Juottonen
  • Katlin Cundiff
Part of the World Sustainability Series book series (WSUSE)


The impact of Corporate Social Responsibility (CSR) on the company’s performance has become an increasingly important issue among investors, companies and company’s management. Despite the fact, that many studies have been conducted on this topic, the relationship between CSR and financial performance is still unclear regarding the causality and different categories of CSR. Therefore, the aim of this paper is to study if corporate social responsibility (CSR) has an impact on financial performance (FP) and to find out, what the nature of the impact is. This study uses correlation and multiple linear regression models in order to examine the relationship between CSR and the financial variables. The sample consists of 30 publicly listed companies in Finland whose financial data and CSR activities during the years 2013–2016 are analyzed. The accounting based model of Return on Assets (ROA) and the market-based model of Earnings per share (EPS) are selected to measure financial performance and CSRHub rates to estimate the corporate social responsibility (CSR). The control variables: capital structure, risk, size and industry were chosen for this research, because of their tendency to have association with the financial performance.


Corporate social responsibility Financial performance Finland 


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Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  1. 1.Estonian Business SchoolTallinnEstonia
  2. 2.Drury UniversitySpringfieldUSA

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