Cheng, Ioannou, and Serafeim (2014)

Cheng, Beiting, Ioannis Ioannou, and George Serafeim. “Corporate social responsibility and access to finance.” Strategic Management Journal, 2014.

From the authors’ abstract: “[W]e investigate whether superior performance on corporate social responsibility (CSR) strategies leads to better access to finance... Using a large cross-section of firms, we find that firms with better CSR performance face significantly lower capital constraints. Moreover, we provide evidence that both of the hypothesized mechanisms, better stakeholder engagement and transparency around CSR performance, are important in reducing capital constraints… [W]e show that the relation is driven by both the social and the environmental dimension of CSR.”

SSRN Link: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=1847085

Link to published paper: https://onlinelibrary.wiley.com/doi/abs/10.1002/smj.2131