The Business Case for Effective CSR in India
In April this year, mandatory CSR contributions will come into action as the Company Bill 2012 becomes law in India.
... According to Professor Saurabh Mishra, Desautels School of Management at 香蕉视频, good CSR can directly affect the stock market price of a company. The professor says: 鈥淥ur findings show that firms that focused on positive CSR are expected to lower their idiosyncratic risk in the stock markets, whereas those engaging in negative CSR are expected to increase their idiosyncratic risk. Idiosyncratic risk forms an important component of the total volatility in the stock price of a firm, and a reduction (increase) in it can both instil greater (lower) confidence among investors as well as lower (raise) the cost of capital for firms. Together this implies that CSR is an important strategic tool for firms to manage their stock price and shareholder value.鈥�
Read full article: , February 13, 2014
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