CORPORATE SOCIAL RESPONSIBILITY DYNAMICS AND FINANCIAL PERFORMANCE: AN EMPIRICAL STUDY IN HO CHI MINH CITY'S COMMERCIAL BANKS
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Abstract
Corporate Social Responsibility (CSR) is a critical aspect of contemporary business practices, gaining increased attention globally. This study, conducted in 2022 with a sample of 160 respondents from 16 different banks in Ho Chi Minh City, Vietnam, aims to explore the relationship between CSR initiatives and financial performance in commercial banks. Despite the growing emphasis on CSR in recent years, this study highlights the need for a more nuanced understanding of how specific CSR initiatives contribute to or may not influence financial outcomes in the context of commercial banks. By employing EFA and multiple regression analyses, the research delves into the complexities of the relationship between CSR practices and financial performance. The study recognizes the evolving landscape of corporate responsibility in the Vietnamese banking sector and sheds light on the specific factors that may or may not translate into tangible financial benefits. However, the findings also indicate that not all CSR factors have a significant impact on business performance on bank sector. This research not only contributes to the existing literature but also provides practical insights for commercial banks in the research location, allowing them to refine their CSR strategies for optimal impact on business performance. The study serves as a valuable resource for academics, practitioners, and policymakers interested in the intersection of CSR and financial outcomes within the Vietnamese banking context.
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