This study investigates the impact of media exposure of corporate social irresponsibility (CSI) events on firm performances. Using unique data from an emerging market, we find that CSI events trigger significant and negative cumulative abnormal returns (CARs). Negative CARs are more profound for environment and safety issues as well as illegal violations. The existence of CSI events has negative impact on the subject firm's long-term operating and financial performances due to reputation damage and extra costs for regulatory compliance and rebuilding reputation. Furthermore, the number of CSI reports is negatively associated with firm performance and positively correlated with stock price crash risk. The negative effect is more profound for CSI events reported by the media than those self-reported by subject firms due to regulations. Our findings support the conjecture that media can serve as an external corporate governance mechanism, especially in emerging markets where well established governance structure is not yet available.

本研究调查了企业社会不负责任 (CSI) 事件的媒体曝光对公司绩效的影响。使用来自新兴市场的独特数据，我们发现 CSI 事件会触发显着的负累积异常回报 (CAR)。负 CAR 对环境和安全问题以及非法违规行为的影响更大。由于声誉受损以及监管合规和重建声誉的额外成本，CSI事件的存在对标的公司的长期经营和财务业绩产生负面影响。此外，CSI报告的数量与公司业绩呈负相关，与股价崩盘风险呈正相关。由于法规的原因，媒体报道的CSI事件的负面影响比主体公司自我报道的更为深刻。