Revisiting the Effects of Corporate Social Responsibility on Financial Performance: Organizational Culture as a Moderating Variable

Abstract

This research aims to examine the influence of corporate social responsibility on financial performance and explore the role played by organizational culture as a moderating variable. It used banks listed on the Indonesia Stock Exchange (IDX) in 2017-2022 as its sample. The corporate social responsibility was measured using content aided with a checklist. Meanwhile, the financial performance was measured using return on assets (ROA). The test in this research used multiple regression and moderated regression analysis (MRA). Using purposive sampling, 114 observations were obtained during the research period. The research results showed that corporate social responsibility did not affect financial performance. Clan and adhocracy cultures strengthened the relationship between corporate social responsibility and financial performance. Finally, market culture weakened the relationship between corporate social responsibility and financial performance.