THE GRANGER CAUSALITY OF THE RLATIONSHIP BETWEEN CORPORATE SOCIAL RESPONSIBILITY AND CORPORATE PERFORMANCE OF LISTED JORDANIAN COMPANIES

The purpose of this study is to look into the relationship between corporate social responsibility (CSR) and the success of Jordanian companies that are listed on public exchanges. It could either be bidirectional, unidirectional, or neutral. a representative sample of 65 annual reports from companies from 2019 to 2022. A corporate social responsibility index that includes evidence relating to Environment Items, Society Items, Employee Items, and Customer Items was employed to measure the social responsibility of companies in the present research. This index had previously been verified by the ASE. Moreover, by employing the Granger causality method. According to empirical findings, there are 40 companies that have unidirectional causation, 24 that have none, and one that has bidirectional causality. Making financial and investment decisions requires careful consideration of the potential impact that social responsibility may have on the future of a business's financial performance. Thus, social responsibility must be viewed as a possibility for investment rather than a cost if enterprises are to have a beneficial impact on environmental sustainability and increase financial performance.