CORPORATE SOCIAL RESPONSIBILITY AND FIRM PERFORMANCE OF MTN NIGERIA (A CASE STUDY OF SOKOTO BRANCH)

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ABSTRACT


The research was carried out to assessed the impact of corporate social responsibility on firm performance of MTN Nigeria a case study of Sokoto branch (2007-2013).Primary data were obtained from pretested questionnaire administered to forty (40) respondents (stakeholder and MTN staff). Secondary data on the annual reports of the company (2007 - 2013) were examined. Data were analyzed using appropriate descriptive and inferential statistics at P<0 .05="" act="" add="" affect="" afforded="" also="" amount="" an="" and="" annual="" aside="" be="" being="" boost="" bound="" budgetary="" business="" companies="" company="" concluded="" csr="" despite="" does="" edge="" elevated="" eventually="" expectations="" expenditure="" firms.="" foundation="" further="" giving="" goodwill="" huge="" image="" in="" increase="" increasing="" involved="" issues="" it="" level.="" mtnf="" not="" obtained="" of="" on="" other="" ought="" over="" patronage="" performance="" policy="" pressure="" profiles.="" provisions="" responsible="" results="" reviewed.="" setting="" should="" shows="" significant="" social="" socially="" span="" spent="" study="" that="" the="" their="" them="" there="" thereby="" through="" to="" which="" worth="" years="">


CHAPTER   ONE


1.1        BACKGROUND TO STUDY


It is becoming increasing apparent that organizations in the telecommunication industry are constantly looking for new strategies to gain a positional advantage over their competitors’ in order to increase their customer base and enhance their financial performance. One of these strategies is the adoption of corporate social responsibility practices.  Mohr,  Webb  and  Harris  (2001)  describe corporate social responsibility as a firm’s commitment to minimize or eliminating any harmful influence and maximizing its long- run beneficial impact on society. For example, one could observe that in recent times MTN Nigeria and other telecommunication industry are embarking on a number of social intervention programmes in area of health, education, and general community development. This concept of corporate social responsibility (CSR) which has long been established in academic literature as both a business philosophy and practice is seemingly much more prevalent, timely and important in this millennium, as firms attempt to be seen as being sustainable or socially responsible in nature due to demands of target stakeholders. The stakeholders are requesting that firms act responsibly and behave            ethically  and            are  therefore, expected to respond to the changing beliefs and values of the target audiences.


There were several researches on corporate social responsibility; however, majority of such researches concentrated on financial performance, consumer behavior and effects on environment. For example, Stanwick and Stanwick, Mc William and Siegel and others have studied the effect of corporate social responsibility on financial performance. Financial performance may be defined as the results of a firms policies and operations in monetary terms. These results are reflected in the firm’s return on investment, return on assets, net profit margin, and return on equity e.t.c. Most of these surveys however, were base on international data and in context of developed markets with contradictory finding. For example, while Mc Williams and Siegel in their analysis of extant literature argued that there been mixed results of the financial impact of CSR on short and long – run profitability on the organization.... 


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