Does Corporate Social Responsibility Mediates the Relationship Between Corporate Governance and Firm Performance Empirical Evidence from Asian Countries

Abstract

The research is conducted to study the effect of CG on the firm performance(FP) in Asian countries while looking at the mediating effect of CSR on them. We used Thomson Reuters Eikon for collecting the data from 20 I 0 to 2019. In order to ensure a detailed analysis, this research will encompass various countries, namely Pakistan, India, Sri Lanka and Bangladesh. By using the Correlation and Regression model, we document; CSR does partially mediate significantly positive relationship between the corporate governance (CG) and firm performance (FP) in Asian countries. We also applied a fixed regression test, which further confirms our results. Our findings have further implications for stakeholders, suggesting CSR as an additional tool for enhancing firm performance, potentially making it a more attractive policy initiative than solely focusing on traditional governance measures. Additionally, the research can be conducted by examining other CSR metrics as potential mediators in the CO-performance relationship, exploring different methodologies to deepen understanding of the interplay between CG and performance. Investigating the potential for CG to mediate the relationship between CSR and firm performance in other Asian countries.