Does Corporate Social Responsibility Reduce Operational Risk? Evidence from Chinese Listed Companies

DOI

10.2991/978-94-6463-724-3_31How to use a DOI?

Keywords

Corporate Social Responsibility; Operational Risk; Chinese Listed Companies

Abstract

This study investigates the impact of corporate social responsibility (CSR) on the operational risk of Chinese listed companies, using CSR rating scores from Hexun.com (2010-2020) and operational risk data from the CSMAR database. Specifically, it tests two hypotheses: (1) CSR is significantly negatively correlated with operational risk, suggesting that companies with higher CSR engagement face lower operational risks; and (2) different dimensions of CSR have varying effects on operational risk, with shareholder responsibility having the most significant impact. Empirical analysis based on Hexun.com’s CSR rating scores supports these hypotheses. The results show that Chinese listed companies that actively fulfill their CSR obligations can effectively reduce their operational risk to some extent. Furthermore, this study highlights the importance of considering CSR’s multidimensional nature, as each dimension contributes differently to risk mitigation. These findings provide valuable insights for corporate managers and policymakers, emphasizing the role of CSR in promoting sustainable business practices and reducing risk exposure.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Haomin He
PY  - 2025
DA  - 2025/05/26
TI  - Does Corporate Social Responsibility Reduce Operational Risk? Evidence from Chinese Listed Companies
BT  - Proceedings of the 2025 5th International Conference on Informatization Economic Development and Management (IEDM 2025)
PB  - Atlantis Press
SP  - 311
EP  - 318
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-724-3_31
DO  - 10.2991/978-94-6463-724-3_31
ID  - He2025
ER  -