Graduation Year
2018
Document Type
Dissertation
Degree
Ph.D.
Degree Name
Doctor of Philosophy (Ph.D.)
Degree Granting Department
Finance
Major Professor
Jared Williams, Ph.D.
Committee Member
Jianping Qi, Ph.D.
Committee Member
Daniel Bradley, Ph.D.
Committee Member
Ninon Sutton, Ph.D.
Committee Member
Dahlia Robinson, Ph.D.
Keywords
Corporate Social Responsibility, Growth options, Corporate governance
Abstract
I find evidence to support the negative impact of growth options on corporate social responsibility (CSR). I propose that attention-constrained managers reduce corporate goodness to focus on growth opportunities. The effect is more pronounced for well-governed firms, for financially-constrained firms, and for capital-intensive social dimensions. Firms reduce their research and development (R&D) and capital expenditures, and experience lower annual buy-and-hold abnormal returns (BHAR) subsequent to significant increases in their social performance. I also report value implications of CSR investments. The empirical evidence suggests that managerial choices to divert attention from growth projects toward CSR hurt shareholders.
Scholar Commons Citation
Thompson, Linh, "Growth Options and Corporate Goodness" (2018). USF Tampa Graduate Theses and Dissertations.
https://digitalcommons.usf.edu/etd/7584
