The Relationship between corporate governance and corporate social responsibility on profitability of the listed companies on the stock exchange of Thailand, agro and food industry group

Abstract

This research aimed to study the relationship between Corporate Governance, Social Responsibility, and Profitability of 56 companies related to the agriculture and food industry and listed on the Stock Exchange of Thailand. Data was collected for 2015 to 2020 and analyzed using descriptive statistics such as frequency, percentage, mean, and standard deviation. Likewise, this research also used inferential statistics, including Pearson’s Correlation Analysis and Multiple Regression Analysis. The findings were Corporate Governance; Proportion of Independent Director (PID) had positively correlated with Profitability, including the Return on Total Assets (ROA), the Return on Equity (ROE), and the Gross Profit Margin (GPM). The correlations were statistically significant at 0.01 and 0.05 levels. Besides, Corporate Social Responsibility; the Environmental, Social and Governance (ESG), and the Disclosure of Corporate Social Responsibility Activity (DCSRA) had also positively correlated with Profitability, including the Return on Total Assets (ROA), the Return on Equity (ROE) and the Gross Profit Margin (GPM). The correlations were statistically significant at 0.01 and 0.05 levels.