Not according to 167 studies conducted over the past 35 years. After reviewing those studies, academics Joshua Margolis and Hillary Anger Elfenbein concluded that social responsibility doesn't hurt. It doesn't diminish shareholder value. But, according to Margolis and Elfenbein, there is only a very small correlation between corporate behavior and good financial results. And that small correlation can be explained by the fact that companies that have performed well over a long period of time have enough money to contribute positively to society.

Importantly, though, corporate misdeeds, once they become known, do have a significant negative impact on financial performnace.

Of course, the good news is that so many actions that we generally consider to be "socially responsible" are now directly beneficial to the bottom line. Greening the company in ways that save energy costs is one such example. But putting a price on behavior that is detrimental to the common interest and rewarding behavior that is in the common interest may still be the strongest driver.

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