Title: Ownership concentration and corporate social performance - moderation impact of corporate governance in Indian firms

Authors: Ranjan DasGupta

Addresses: Indian Institute of Management Raipur, Kurru (Abhanpur), Atal Nagar, Raipur – 493661, Chhattisgarh, India

Abstract: The primary objective of this study is to examine the impact of ownership concentration on Indian firms' corporate social performance (CSP). Furthermore, it evaluates the moderation impact of firms' overall internal governance quality and each corporate governance mechanism separately to attenuate or strengthen shareholding's direct and differential impact on CSP. The study's findings show that the negative impact of board size is overwhelming in attenuating the impact of ownership concentration on firms' CSP, however, board meetings always act positively in motivating firms to explore more CSP. On the contrary, women directors always undertake excessive monitoring, thereby, discouraging firms to undertake more CSP. The policymakers and regulators should enforce more stringent regulations to monitor the firm's intentions and implementation practices in CSP regards, especially in an emerging market context like India.

Keywords: ownership concentration; OC; corporate social performance; CSP; principal-principal conflicts; corporate governance mechanisms; Indian firms.

DOI: 10.1504/IJCG.2024.136640

International Journal of Corporate Governance, 2024 Vol.14 No.1, pp.24 - 46

Received: 14 Feb 2023
Accepted: 21 Jul 2023
Published online: 12 Feb 2024 *