Does the Market Value Corporate Philanthropy? Evidence from the Response to the 2004 Tsunami Relief Effort

Journal of Business Ethics 81 (3):599-607 (2008)
  Copy   BIBTEX

Abstract

This study investigates the market reaction to corporate press releases announcing donations to the relief effort following the December, 2004 tsunami in Southeast Asia. Based on a sample of 79 U.S. companies, results indicate a statistically significant positive 5-day cumulative abnormal return. While differences in the timing of the press releases do not appear to have influenced market reactions, the amount of the donations did. Overall, the results appear to support Godfrey’s (Academy of Management Review 30, 777–798; 2005) assertion that philanthropic giving must be perceived as being a genuine manifestation of the firm’s underlying social responsiveness in order to increase firm value.

Links

PhilArchive



    Upload a copy of this work     Papers currently archived: 92,347

External links

Setup an account with your affiliations in order to access resources via your University's proxy server

Through your library

Similar books and articles

Corporate Philanthropy Research.Ann K. Buchholtz & Jill A. Brown - 2006 - Proceedings of the International Association for Business and Society 17:70-71.
A moral basis for corporate philanthropy.Bill Shaw & Frederick R. Post - 1993 - Journal of Business Ethics 12 (10):745 - 751.
Corporate Social Responsibility and Labor Policy in the Disunited States of America.Robbin Derry - 2011 - Proceedings of the International Association for Business and Society 22:142-150.
The Nature of Giving.Bryan Dennis - 2009 - Business and Society 48 (3):360-384.
Corporate Philanthropy.Tyron Love & Colin Higgins - 2006 - Proceedings of the International Association for Business and Society 17:118-120.
Resonance tropes in corporate philanthropy discourse.Crawford Spence & Ian Thomson - 2009 - Business Ethics, the Environment and Responsibility 18 (4):372-388.
Resonance tropes in corporate philanthropy discourse.Ian Thomson Crawford Spence - 2009 - Business Ethics, the Environment and Responsibility 18 (4):372-388.
Awareness: The Missing Link Between Corporate Social Performance and Performance.Naomi A. Gardberg & Donald H. Schepers - 2007 - Proceedings of the International Association for Business and Society 18:144-148.

Analytics

Added to PP
2009-01-28

Downloads
41 (#390,914)

6 months
11 (#245,876)

Historical graph of downloads
How can I increase my downloads?