The role of social responsibility in improving the reputation of the bank through financial performance indicators
A comparative study of a sample of Jordanian and Canadian
For the period from (2005-2019)
Thesis submitted to
The Council of the College of Administration and Economics at the University of Karbala
It is part of the requirements for obtaining a doctorate degree philosophy in banking and finance
by the student
Hawraa Zaki Hameed Kazem
Under the supervision
Ass . Prof. Dr. Zainab Makki Al-Banaa
Ass . Prof. Dr. Kamal Kazem Jawad Al-Shamry
This study aims to show how social responsibility and its role in improving the reputation of the bank through the adoption of financial performance indicators in some Jordanian and Canadian banks and to come up with results and recommendations that help the management of banks to realize the nature of the relationship between the components of social responsibility and reputation through financial performance in Jordanian and Canadian banks, the study sample.
The study was conducted by selecting a sample of Jordanian and Canadian banking organizations represented by seven Jordanian banks (Jordan Kuwait Bank, Investment Bank, Jordan Commercial Bank, Bank of Jordan, Housing Bank, Cairo Amman Bank, Arab Corporation Bank) and four Canadian banks representing the foreign sector They are (TD Bank Group, Royal Bank, BMO Financial Group, Scotia bank).
As for the duration of the study, it was fifteen years for the period (2005-2019), according to the annual reports available for the sample banks.
The correlation coefficient (Pearson) was used to analyze the correlations through the statistical program (SPSS V.23), and to analyze the effect of the mediating variable, the statistical program (JASP 0.15) was used.
Thus, the study reached a set of theoretical and field conclusions, and based on the conclusions reached by the study, a set of recommendations consistent with these conclusions were presented.
The most prominent of these conclusions were:
1- With regard to the relationship between social responsibility and the reputation of the bank, it is clear from the results of the descriptive analysis of Jordanian banks that there is a positive and statistically significant correlation between social responsibility and the market value. However, it is not statistically significant. As for the relationship between social responsibility and market value to book value, it was negative and not statistically significant.
The most important recommendations were:
1 – The necessity for banks to strengthen their work in the field of social responsibility in order to improve the mental image of customers about banks, because this would create a good reputation for the customer about the services of the bank, thus increasing its financial performance.
