TITLE:
The Impact of Corporate Participation in Poverty Alleviation under the Background of Rural Revitalization on Financial Performance
AUTHORS:
Lina Kan, Luoqi Song
KEYWORDS:
Corporate Participation in Rural Revitalization, Financial Performance, Financing Constraints, Propensity Score Matching
JOURNAL NAME:
American Journal of Industrial and Business Management,
Vol.13 No.9,
September
15,
2023
ABSTRACT: Corporations, as pivotal agents in rural economic
development, wield significant influence in the advancement of rural
revitalization. Their engagement in this process not only holds the potential
to stimulate the growth of distinctive agricultural industries within the
region and solidify the accomplishments in poverty alleviation, but also paves
new avenues for the fulfillment of their social responsibilities, thereby
enhancing their capacity to generate profits. Based on a sample of Chinese
A-share listed companies from 2018 to 2021, an Ordinary Least Squares (OLS)
model was employed to empirically examine the impact and mechanisms of
corporate participation in rural revitalization on their financial performance.
The research findings indicate that engaging in rural revitalization
effectively enhances the financial performance of companies. The mediating role
of financial constraints was identified in this relationship. Further
investigations reveal that the positive impact of corporate engagement in rural
revitalization on financial performance is particularly pronounced among
non-state-owned enterprises and within the central and eastern regions of the
country.