Who Is the Beneficiary of Slack on Corporate Financial Performance and Corporate Philanthropy? Evidence from South Korea

This paper explores the complex relationships among corporate financial performance (CFP), corporate giving, and corporate social performance (CSP) in South Korea, differentiating between primary and secondary stakeholder relations. The study, using data from 52 firms, reveals that while CFP positively impacts only primary stakeholder relations, corporate philanthropy positively influences both primary and secondary stakeholder relations. It further observes that a high level of corporate philanthropy strengthens the overall influence of CFP on stakeholder relations. The findings suggest that a nuanced approach, distinguishing multiple stakeholder groups and recognizing the role of corporate philanthropy, provides a more valuable analysis of CSP antecedents.