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Evidence in Asian Food Industry: Intellectual Capital, Corporate Financial Performance, and Corporate Social Responsibility

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  • Cheng-Hung Tsai

    (Department of Business Administration, Cheng Shiu University, Kaohsiung 83347, Taiwan)

  • Eugene Burgos Mutuc

    (Postgraduate Program in Management, I-Shou University, Kaohsiung 840, Taiwan
    College of Business Administration, Bulacan State University, Malolos 3000, Philippines)

Abstract

Intellectual capital (IC) and corporate social responsibility (CSR) provide a strong link between the enterprise and stakeholders. These strategic approaches are responsible in value formation for better financial performance. This study investigates the mediating effects of corporate financial performance on the relationship between IC components (ICs) and CSR of firms from the food industry in Asia. We analyzed 308 firm-year observations of 44 listed firms from 2011 to 2017. The results of this study provided mixed findings regarding the effects of ICs and CSR. In addition, results vary from the disaggregated effects of each IC component on environmental, social, and governance pillars. The results also indicate that the combination of accounting and market-based estimates of financial performance was found to be significant mediating factor to explain the phenomenon which varies per ICs and dimensions of CSR. Lastly, the implications for sustainable business practices and investments in knowledge-based resources in the food industry are elaborated.

Suggested Citation

  • Cheng-Hung Tsai & Eugene Burgos Mutuc, 2020. "Evidence in Asian Food Industry: Intellectual Capital, Corporate Financial Performance, and Corporate Social Responsibility," IJERPH, MDPI, vol. 17(2), pages 1-21, January.
    • Handle: RePEc:gam:jijerp:v:17:y:2020:i:2:p:663-:d:310890
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