Abstract:
This study investigates the capital structure as a mediating factor in the relationship
between uncertainty, CSR and financial performance. Uncertainty and Corporate social
responsibility (CSR) are the independent variables. And financial performance is as the
dependent variable. Capital structure as a mediator between the two variables.
Using a structured questionnaire, the data were collected from 54 chief financial officers
of seven selected banks and two telecommunications of service sector in Ampara District.
And the collected data were analyzed by using descriptive statistics, correlation,
regression and mediating analyses.
The findings reveal that the uncertainty, CSR, capital structure and financial performance
are in high level among the organizations of banks and telecommunication in service
sector. The analyses stated the strong negative relationship between the uncertainty and
financial performance, the strong negative relationship between uncertainty and capital
structure and the strong positive relationship between CSI{ and financial performance and
the strong positive relationship between CSR and capital structure and the strong
positive relationship between the capital structure and financial performance, capital
structure has been found to a partial mediating effect on the relationship between
Uncertainty , CSR and financial performance.
