Contents

Ethical commitment, financial performance, and valuation: An empirical investigation of Korean companies

Choi, Tae Hee / Jung, Jinchul

Abstract

A variety of stakeholders including investors, corporate managers, customers, suppliers, employees, researchers, and government policy makers have long been interested in the relationship between the financial performance of a corporation and its commitment to business ethics. As a subject of research, the relations between business ethics and corporate valuation has yet to be thoroughly quantified and investigated. This article is an effort to amend this inadequacy by demonstrating a statistically significant association between ethical commitment and corporate valuation measures. Consistent with anecdotal evidence, we have found a significant association between the ethical commitment of Korean companies and their valuation on the Korean stock market. However, the result reveals that the association between ethical commitment and financial performance is not significantly supported.

Issue Date
2008-08
Publisher
SPRINGER
Keywords
CORPORATE SOCIAL-RESPONSIBILITY; BUSINESS ETHICS; VALUE-RELEVANCE; ENVIRONMENTAL PERFORMANCE; ACCOUNTING RESEARCH; STAKEHOLDER THEORY; DECISION-MAKING; POLICY PROCESS; REPUTATION; EARNINGS
Citation
JOURNAL OF BUSINESS ETHICS, v.81, no.2, pp.447 - 463, 2008
DOI
10.1007/s10551-007-9506-1
Journal Title
JOURNAL OF BUSINESS ETHICS
Start Page
447
End Page
463
ISSN
0167-4544
Language
English
Files in This Item:
    There are no files associated with this item.

Click the button and follow the links to connect to the full text. (KDI CL members only)

qrcode

Items in DSpace are protected by copyright, with all rights reserved, unless otherwise indicated.