This study examines consumers’ uses of corporate social responsibility communication channels, the relationship of such uses to consumers’ CSR awareness, and the mechanisms through which consumers’ CSR awareness can lead to their intention to participate in CSR activities. Specifically, we explored the mediation effects of consumers’ CSR associations with a company, consumers’ assessment of the company’s CSR credibility, and consumers’ perceptions of their relationship with the company, applying the conceptual frameworks of the uses and gratification theory, source credibility theory, and (...) organization–public relationship scholarship. We conducted an online survey of a company’s customers, and the results showed that their level of awareness of the company’s CSR activities was positively related to the degree of use of all communication channels through which they received CSR messages, except CSR reports. The degree of the customers’ awareness of the company’s CSR programs, however, did not always correspond to the customers’ intention to participate in the programs: a crucial condition mediating between the customers’ knowledge of CSR programs and their intention to participate in the programs was their associating the company with CSR. The CSR associations influenced CSR credibility and perceived OPR quality, which, in turn, led to CSR participation intention. We discuss the theoretical and practical implications of these findings. (shrink)

Proactive corporate social responsibility (CSR) involves business practices adopted voluntarily by firms that go beyond regulatory requirements in order to actively support sustainable economic, social and environmental development, and thereby contribute broadly and positively to society. This empirical study examines the role of the economic, social and environmental dimensions of proactive CSR on the association between three specific capabilities—shared vision, stakeholder management and strategic proactivity—and financial performance in small and medium enterprises (SMEs). Using quantitative data collected from a sample (...) of 171 Australian SMEs in the machinery and equipment manufacturing sector and employing structural equation modelling, we find that the adoption of practices in each CSR dimension by SMEs is influenced slightly differently by each capability, and affects financial performance differentially. The study also demonstrates the importance of the interaction between the three dimensions of proactive CSR in positively moderating the deployment of each individual CSR dimension to generate financial performance. Paying primary attention to the economic dimension of proactive CSR and selectively focusing on social and environmental elements of proactive CSR that drive and support the economic dimension are of key importance to sustainable long-term financial success for SMEs. (shrink)

This study aims to explore how CSR-related messages posted by CEOs on social media are beneficial in fostering social capital, which in turn impacts the FP and online reputation of the firm. The study also examines whether there is any difference in FP due to sharing of CSR-related messages by CEOs before and during the pandemic. Hierarchical regression is used to examine the influence of CEOs CSR related tweets on FP and online reputation. The study reveals that by posting CSR-related (...) messages on Twitter, CEOs can build social capital available on social media, which leads to better FP and online reputation. Findings also indicate that there is no statistically significant difference in FP and online reputation of the firm due to sharing of CSR-related messages by CEOs before and during the pandemic. Our research makes a significant addition to the empirical studies of CSR, social media and social capital theory. (shrink)

In this paper, I seek to build a theoretical framework that explains how effectively different firms can use different types of corporate social responsibility (CSR)to influence stakeholders perceptions of and reactions to different types of errors. CSR affects the errors stakeholders notice, how they frame them, how they respond to them, and how quickly any punishment wanes. Ex ante and ex post CSR decrease the likelihood that stakeholders will notice some errors, improve the framing of those errors that are noticed, (...) and decrease the magnitude and duration of stakeholder attacks sparked by those errors. (shrink)

In this paper, I seek to build a theoretical framework that explains how effectively different firms can use different types of corporate social responsibility to influence stakeholders perceptions of and reactions to different types of errors. CSR affects the errors stakeholders notice, how they frame them, how they respond to them, and how quickly any punishment wanes. Ex ante and ex post CSR decrease the likelihood that stakeholders will notice some errors, improve the framing of those errors that are noticed, (...) and decrease the magnitude and duration of stakeholder attacks sparked by those errors. (shrink)

This article examines the mediation effect of brand identification and the moderating effect of service quality (SQ) on the effects of corporate social responsibility (CSR) association on service brand performance. A survey of customers of mobile telecommunications services was conducted. The study finds, first, that both CSR and SQ have direct effects on brand identification and customer satisfaction and indirect effects on customer satisfaction (via brand identification) and on service brand loyalty (via customer satisfaction and via "brand identification/customer satisfaction"). (...) Second, SQ enhances the effect of CSR on brand identification. This study contributes to the literature by incorporating three perspectives of service brand performance — CSR association, SQ, and brand identification - into one general framework that stresses (a) the mediating role of brand identification in predicting customer satisfaction and service brand loyalty; and (b) the interactive effect of CSR and SQ in predicting brand identification. (shrink)

This paper argues for the existence of two levels of stakeholder dialogue: a micro and a macro level. The first is the one companies have with their own stakeholder groups, the second is a broader social debate among different agents about the role of business in society. The paper argues why the macro level matters for CSR and why it can be called a dialogue. It also underlines the importance of mutual perceptions in the macro-dialogue. For this purpose we present (...) a research done in Spain about how different stakeholder groups perceive each other in relation to CSR and how they perceive the dialogue process. (shrink)

Although interest in Corporate Social Responsibility (CSR) in emerging markets has increased in recent years, most research still focuses on developed countries. The scant literature on the topic, which traditionally suggested that CSR was relatively underdeveloped in emerging markets, has recently explored the context specificity, suggesting that it is different and reflects the specific social and political background. This would particularly apply to local companies, not so much to foreign subsidiaries of multinationals active in emerging markets. Thus far, empirical research (...) that systematically documents a range of CSR activities of local companies and their performance has been scarce. This paper reports the results of a survey conducted among companies in the Mexican auto industry. CSR performance was investigated across three dimensions: environmental, labor, and community, using measures from existing research and global, ' Western' standards of practice, to identify the type of CSR activities and the level of CSR performance that exists, if at all, in the emerging-market context. Results show that local companies do engage in the type of CSR activities commonly associated with CSR in developed countries. To the extent that comparisons could be made, our findings also indicate that CSR activities and levels among the sample are comparable to what is known about CSR in developed-country settings. Moreover, six of the nine CSR dimensions are intercorrelated, which suggests that CSR in the Mexican auto parts industry is more structural than incidental. (shrink)

This study examines to what extent different types of CEOs in family firms influence external and internal stakeholder-related CSP as compared to CEOs in nonfamily firms. Linking family CEO and nonfamily CEO with CSR outcomes, we provide evidence that family CEOs are positively associated with both external and internal CSR, whereas nonfamily CEOs within family firms tend to be negatively associated with both external and internal CSR. We show that the incumbent CEO’s age moderates the above relationships, indicating the existence (...) of shifting family priorities and suggesting a tendency toward CSR conformity as the salience of succession concerns increases. (shrink)

We posit a key goal of firms’ corporate social responsibility efforts is to influence reputation through carefully crafted communicative practices. This trend has accelerated with the rise of social media such as Twitter and Facebook, which are essentially public message networks that organizations are leveraging to engage with concerned audiences. Given the large number of messages sent on these sites, only some will be effective and achieve broad public resonance. Building on signaling theory, this paper asks whether and how messages (...) conveying CSR-related topics resonate with the public and, if so, which CSR topics and signal qualities are most effective. We test our hypotheses using data on public reactions to Fortune 500 companies’ CSR-focused Twitter feeds, using the retweeting of firms’ messages as a proxy for public resonance. We find resonance is positively associated with messages that convey CSR topics such as the environment or education, those that make the topic explicit through use of hashtags, and those that tap into existing social movement discussions. (shrink)

What drives Chinese MNEs’ global CSR integration and local CSR responsiveness? Drawing on institutional theory, we argue that both antecedents reflecting globally isomorphic patterns of adaptation and antecedents mirroring the distinct characteristics of China’s institutional context are relevant. We support our argument using fuzzy-set qualitative comparative analysis on a sample of 29 of China’s globally most influential companies. We find that state influence and global CSR associations affect global CSR integration, whereas presence in the West and internationalization through mergers and (...) acquisitions predict local CSR responsiveness. Our study thus suggests that home-country characteristics are an important co-determinant of the CSR approaches of emerging-market MNEs. We further find that multicultural experience in top management teams is associated with both global CSR integration and local CSR responsiveness, supporting notions of transnational CSR. (shrink)

Given the increasing importance attached to both corporate social responsibility (CSR) and corporate governance, this study investigates the association between these two complimentary mechanisms used by companies to enhance relations with stakeholders. Consistent with both legitimacy and stakeholder theory and controlling for industry profile, firm size, stockholder power/dispersion, creditor power/leverage, and economic performance, our analysis of the annual reports for a sample of 222 listed companies suggests that firms providing more CSR information: have better corporate governance ratings; are larger; (...) belong to higher profile industries; and are more highly leveraged. Our findings support the limited prior research suggesting a link between corporate governance quality and CSR disclosure in company annual reports and suggest that, rather than mandating specific disclosures, regulators might be better served focussing on corporate governance quality as a way of increasing CSR disclosures. (shrink)

We seek to add to the Corporate Social Responsibility (CSR) and Sustainable Development (SD) literature through the empirical study of Latin American firm membership in the United Nations Global Compact (GC) and Global Report Initiative (GRI). Within an institutional-based framework, we explore through three filters – commercial, state-signaling, and distinguished peers – the impact of normative and mimetic pressures associated with GC/gri membership. Our sample includes 207 public firms from six Latin American countries (Argentina, Brazil, Chile, Colombia, Mexico, and Peru). (...) Our results suggest Latin American firms from countries with a greater European influence (normative pressure) are twice as likely to be enrolled in the GC/gri. Additionally, we find that Latin American firms listed on the NYSE (mimetic pressure) are also twice as likely to sign up under the GC/gri. Hence, the normative and mimetic pillars of institutional theory are found to be significant factors for Latin American firms adopting sustainability initiatives. (shrink)

We investigate the impact of women shareholders on corporate social responsibility (CSR) and how they interact with women directors to exert a greater influence on CSR activities. Little is known about how women's ownership can enhance their roles in CSR practices. Based on data from Omani-listed firms during 2016–2020 and using CSR budgeting and spending as proxies for CSR activities, firms with women shareholders allocate more CSR budgeting and spend more money on CSR activities. However, we also find that women (...) directors can only affect CSR budgeting and spending if their representation on the board is increased. Furthermore, we find that firms with women shareholders and directors have higher CSR budgeting and spending. Further analysis reveals that women shareholders are more likely to spend money on CSR activities within the budgeted amount and are less likely to be associated with gaps between CSR budgeting and spending. This analysis also shows that the type of ownership (family versus non-family) influences women shareholders' effects on CSR budgeting and spending. Our empirical findings provide critical insights into how woman shareholders influence CSR actions. (shrink)

Corporate social responsibility (CSR) is one of the ways through which companies gain legitimacy. However, CSR actions themselves are subject to public skepticism because of increased public awareness of greenwashing and scandalous corporate behavior. Legitimacy of CSR actions is indeed influenced by the actions of the company but also is rooted in the basic cultural values of a society and in the ideologies of evaluators. This study examines the legitimacy of CSR actions of publicly traded forest products companies as compared (...) to family-owned forest products companies. Results indicate a lower legitimacy for CSR actions of publicly traded companies than for family-owned companies. The study also examines the effect of social responsibility orientation (SRO) of evaluators on the legitimacy accorded to companies' CSR actions. We found that SRO was negatively associated with legitimacy, especially for women. Perceived profitability of companies was negatively associated with legitimacy of CSR actions for publicly traded but not for family-owned companies. (shrink)

Multiple pressures are today propelling the private sector towards corporate social responsibility (CSR) without detracting from the firm’s competitive advantage,profitability, and hence, its own sustainability. Achieving credible CSR is often a longterm process, taking years to fully develop, institute, and pay off financially, yet current research is limited by its ambiguity and methodological inconsistencies, and by the short time horizon of many studies. This paper responds to this gap by developing and testing a multifaceted, long-term model of firm sustainability practices. (...) The dataset we develop spans ten years, which to our knowledge is the first time such a cumulative long-term view has become possible in the study of CSR actions. Our findings reveal a number of significant relationships which together suggest the existence of a long-term “halo” effect in CSR-committed companies, whereby responsible behavior in the CSR arena is positively associated with other positive aspects of firm operations, including financial performance and a lack of evidence of “greenwashing.”. (shrink)

This study investigates how ownership concentration in European multinational firms is associated with these firms’ corporate social responsibility (CSR). We employ factor analysis on responsibility data from EIRiS and use a regression analysis. Using firm-level data for almost 700 European firms, we find that shareholder concentration is significantly related to such policies. That is, more concentrated ownership goes hand in hand with poorer CSR policies. In our analysis, we control for size, leverage, profitability, industry, and country of origin. We use (...) several indicators for ownership concentration. We also find that with more concentrated ownership, CSR of the firm gets worse. We suggest that especially with large shareholders, CSR would need to be included in their performance assessment. (shrink)

Theory development surrounding Corporate Social Responsibility has been ensconced in a rational economic logic, exploring both financial and ethicaljustifications . Venturing outside of this logic and viewing corporations as organizations from a positive organizational scholarship perspective provides an opportunity to broaden the exploration of CSR. Within POS, organizations are assumed to be driven by a need to contribute to human flourishing and well-being . This viewpoint does not preclude the importance of organizational performance or survival, but rather provides a reorienting (...) perspective to the study of organizations . In this paper, the concept of Virtuous CSR is proposed as part of a continuum of CSR theory ranging from strategic to virtuous. Virtuous CSR changes the lens through which organizations and CSR are studied. Specific attributes of Virtuous CSR are proposed. (shrink)

Some argue that managers over-invest in corporate social responsibility (CSR) activities to build their personal reputations as good global citizens. Others claim that CEOs strategically choose CSR activities to reduce the probability of CEO turnover in a future period through indirect support from activists. Still others assert that firms use CSR activities to signal their product quality. We find that firms use governance mechanisms, along with CSR engagement, to reduce conflicts of interest between managers and non-investing stakeholders. Employing a large (...) and extensive sample of firms within Russell 2000, S& 500 and Domini 400 indices during the 1993-2004 period, we find that consistent with the conflict-resolution hypothesis, the CSR choice is positively associated with governance characteristics, including board independence, institutional ownership, and analyst following. In addition, after correcting for endogeneity of CSR engagement, our results show that CSR engagement positively influences operating performance and firm value, supporting the conflict-resolution hypothesis as opposed to the over-investment and strategic-choice arguments. We find only a weak support of the product-signaling hypothesis as a major motive of CSR engagement. (shrink)

Today’s business students are tomorrow’s business leaders. To ensure they have skills in creating profitable, pro-social, ethical organizations, we need to consider alternative methods of teaching CSR. In this proposed symposium, we will present different approaches to international CSR/Service-Learning.

Previously, Rodriguez & LeMaster (2007) recommended that the SEC issue a “CSR Seal of Approval” for companies that voluntarily disclose their corporate social responsibility (CSR) projects. That work lacks the strength of third or fourth-party accreditation. This paper recommends that the SEC issue an accreditation grade of A, B, B-, or C to provide strength to the “CSR Seal of Approval” and to help companies indicate the quality of company CSR programs. By issuing an accredited “CSR Seal of Approval,” all (...) stakeholders benefit because companies can incorporate CSR into their strategies and achieve recognition for their CSR projects. The premise of the accreditation concept support the original authors notion of letting CSR remain voluntary and not legislated; thus, all companies (small, medium, large, foreign or domestic) maintain competitive advantage by not incurring additional regulated costs. (shrink)

This paper develops propositions on the added value for SMEs of normatively based, employee-oriented corporate social responsibility (CSR). We suggest that not only motives but also the skills of the owner/manager as an institutional entrepreneur are critical in dealing with institutional variance. Also, the transfer of employee-oriented CSR can have positive results for SMEs that could imply that globalisation is not only a race to the bottom.

This paper investigates the roles that Danish government has played in the development of corporate social responsibility (CSR). Denmark has emerged as a first mover among the Scandinavian countries when it comes to CSR. We argue that government has played a pivotal role in making this happen, and that this reflects strong traditions of regulation, corporatism and active state involvement. However, there is no unitary “Danish model of CSR” being promoted by government. Although Danish society is often associated with a (...) model of consensus, our claim is that Danish government policy on CSR is characterized by a lack of common direction and that we need to approach it on such terms. In order to provide a critical account of ‘the Danish model’ we apply a governmentality perspective that allows us to stress political difference. We argue that Danish government policy consists of three distinct regimes of practice and show how they subject CSR to different modes of rationalization and action. We conclude that the problem with public policy being split into three is not different as such, but the failure of each regime to recognize the value of the others. As a result, government tends to add to the confusion and opaqueness of CSR. (shrink)

Almost no literature exists, both in Japanese and English, when it comes to the CSR activities of Japanese MNEs operating outside Japan, especially in developing countries. This exploratory research will try to fill this gap of literature by examining CSR activities of Japanese MNEs in one of the developing Asian countries, the Philippines.

Proactive corporate social responsibility (CSR) involves business strategies and practices adopted voluntarily by firms that go beyond regulatory requirements in order to manage their social responsibilities, and thereby contribute broadly and positively to society. Proactive CSR has been less researched in small and medium enterprises (SMEs) compared to large firms; and, whether SMEs are ideally placed to gain competitive advantage through such activity therefore remains a point of debate. This study examines empirically the association between three specified capabilities (shared (...) vision, stakeholder management and strategic proactivity), proactive CSR and financial performance in SMEs. Using quantitative data collected from a sample of 171 SMEs in the machinery and equipment sector of the Australian manufacturing industry, we find that all specified capabilities are positively associated with adoption of proactive CSR by SMEs, and that proactive CSR is, in turn, associated with an improvement in firm financial performance. Evidence of a fully mediating role for proactive CSR on the association between capabilities and financial performance presented in this study aligns with RBV theory that suggests adoption of value-creating strategies that make the most effective use of a firm’s capabilities is essential to financial success. The study contributes to the CSR literature by demonstrating a case for SMEs being able to maximise financial returns whilst proactively making progress towards CSR. (shrink)

This study examines the dimensional consequences of having positive prior corporate associations and negative prior corporate associations in times of product-harm crisis by applying two dimensions of corporate associations. The findings indicate that the disadvantages of having negative prior corporate ability associations are bigger than having negative corporate social responsibility associations in times of product-harm crisis, whereas the advantages of having positive prior CSR associations are bigger than having positive CA associations. This study also provides directions for how to manage (...) reputational strengths and weaknesses prior to a crisis as part of reputation and crisis management. (shrink)

Some institutional investors are exposed to social norms and public scrutiny. Prior research indicates that these norm-constrained institutions engage in negative screening and invest less in firms operating in ‘sin’ industries. We examine whether social norms also motivate these institutions to engage in positive screening—where they invest more in firms with better corporate social responsibility performance—and CSR-related activism—where they promote improvements in the CSR of existing investees. We find that firms with superior CSR performance have greater ownership by norm-constrained institutions, (...) consistent with positive screening, and we use a natural experiment to establish causality. We also find that increases in the shareholdings of norm-constrained institutions are associated with subsequent improvements in CSR, consistent with activism. Further, we rule out an alternative explanation for our results where the positive screening and activism are ‘profit-driven’ rather than driven by social pressure. Thus, our results suggest that the influence of social norms on stock markets is more pervasive than documented in the prior literature. (shrink)

The aim of this study is to analyse how secondary stakeholders influence managerial decision-making on Corporate Social Responsibility disclosure. Based on stakeholder salience theory, we empirically investigate whether differences in environmental disclosure among companies are systematically related to differences in the level of power, urgency and legitimacy of the environmental non-governmental organisations with which these companies are confronted. Using proprietary archival data for an international sample of 199 large companies, our results suggest that differences in environmental disclosures between companies are (...) mainly associated with differences between their environmental stakeholders’ legitimacy. The effects of power and urgency are of an indirect nature, as they are mediated by legitimacy. This study improves our understanding of CSR disclosure by demonstrating that, next to the well-documented effect of company characteristics, stakeholder characteristics are also important. Besides, it provides scarce empirical evidence that not only primary stakeholders, but also secondary stakeholders are influential with regards to management decision-making. And more specifically, it offers insight into why some stakeholder groups are better able to influence disclosure decisions than other. The results also have important practical implications for managers of both environmental NGOs and large companies. For managers of environmental NGOs the results provide evidence of the most successful tactics for having their environmental information demands satisfied by companies. For company management the results provide insights into the most important stakeholder characteristics, on the basis of which they may develop strategies for proactively disclosing environmental information. (shrink)

The accelerated growth in the number of multinational corporations (MNCs) and the global scope of their operations have drawn increasing attention to corporate social responsibility (CSR) considerations. MNCs are under increasing pressure and public scrutiny for socially responsible behavior across the spectrum of their operations. However, global patterns of CSR remain less understood, particularly in developing countries, as evidenced by the scant literature available on the topic. This exploratory study seeks to examine the CSR initiatives of a sample of MNCs (...) in a developing country context. Capitalizing on a stakeholder approach to CSR, the research will shed light on the principles motivating MNC-CSR behavior, the nature and scope of their CSR activities, and whether they are really practicing differentiated CSR at their local sites in response to diverse stakeholder expectations and local CSR requirements. Ofparticular interest is the extent to which MNCs are reconciling multiple push and pull forces including consistency with parent firm philosophy, attention to global policy regimes and standards of global CSR performance as well as consideration of local CSR expectations. (shrink)

This article examines the conceptualisation of corporate social responsibility (CSR) in the context of mining multinationals (MNCs) in Argentina. It explores the suitability of CSR for addressing social, environmental and economic issues associated with mining in the country. The study is based on interviews with four stakeholder groups in the country: government, civil society, international financial organisations, and mining industry. These are analysed using content and interpretative techniques and supplemented by the content analysis of secondary data from headquarters of mining (...) MNCs. Using the concept of corporate social responsibility orientation (CSRO), the study contrasts the perceptions of major stakeholders and examines adaptation of mining companies’ CSRO to local context. It reveals that the CSRO of mining managers in Argentina differs from CSRO developed by global headquarters; and in Argentina companies “negotiate” economic, environmental and legal dimensions of CSR with the government. Although companies “negotiate” philanthropic responsibilities with the communities, ethical responsibilities are defined by the headquarters and not negotiated locally. The analysis suggests that environmental duties are the critical element of CSR in the mining sector in Argentina. This study treats environment as a separate dimension of corporate responsibility defined as to do “what is safe for the environment”. (shrink)

Corporate social responsibility (CSR) has emerged as an effective way for firms to create favorable attitudes among consumers. Although prior research has addressed the direct influence of proactive and reactive CSR on consumer responses, this research hypothesized that consumers’ perceived organizational motives (i.e., attributions) will mediate this relationship. It was also hypothesized that the source of information and location of CSR initiative will affect the motives consumers assign to a firms’ engagement in the initiative. Two experiments were conducted to test (...) these hypotheses. The results of Study 1 indicate that the nature of a CSR initiative influences consumer attribution effects and that these attributions act as mediators in helping to explain consumers’ responses to CSR. Study 2 suggests that the source of the CSR message moderates the effect of CSR on consumer attributions. The mediating influence of the attributions as well as the importance of information source suggests that proper communication of CSR can be a viable way to inculcate positive corporate associations and purchase intentions. (shrink)

The instrumental benefits of firm’s CSR activities are contingent upon the stakeholders’ awareness and favorable attribution. While social media creates an important momentum for firms to cultivate favorable awareness by establishing a powerful framework of stakeholder relationships, the opportunities are not distributed evenly for all firms. In this paper, we investigate the impact of CSR credentials on the effectiveness of social media as a stakeholder-relationship management platform. The analysis of Fortune 500 companies in the Twitter sphere reveals that a higher (...) CSR rating is a strong indicator of an earlier adoption, a faster establishment of online presence, a higher responsiveness to the firm’s identity, and a stronger virality of the messages. Incidentally, the higher CSIR rating is also found to be associated with the stronger virality. Our findings also suggest that socially responsible firms can harvest proactive stakeholders’ participation without investing more resources. As the first study that conceptualizes the social media as a proponent of CSR, this paper contends that “being socially responsible” makes more practical sense for firms with the rise of social media. (shrink)

This paper examines the association between level of economic development and corporate social responsibility (CSR) in a country, with speculations on howadvances in economic development may alter the scope and application of CSR activities. Through the empowerment of local communities and the intersection of ethical leadership approaches of business, local governments and civil society, remedies are suggested for improved economic development management.

Whereas extant literature has examined the overall effect of corporate social responsibility (CSR) on innovation, it is argued that CSR is a multidimensional concept encompassing both progressive activities concerning a firm’s engagement in the social domain, as well as rational aspects pertaining to corporate governance practices and the protection of shareholder rights. This study integrates organizational hypocrisy with the knowledge-based view literatures to examine how different forms of CSR engagement affect the rate of new product introductions (NPI). Results suggest that (...) the mechanisms by which progressive and rational CSR are associated to increases in the rate of NPI differ. Specifically, while progressive CSR positively affects the rate of NPI and such effect is deemed stronger for firms that are more vertically integrated, the effect of rational CSR on the rate of NPI is conditional on a firm’s level of absorptive capacity. (shrink)

In 2004, the United States Sentencing Commission amended the Federal Sentencing Guidelines to allow firms that create “effective compliance and ethics programs” to receive better treatment if prosecuted for fraud. Effective compliance and ethics, however, appear to be limited to activities focused on complying with the firms’ internal legal and ethical standards. We explored a potential connection between the firms’ external corporate social responsibility (CSR) behaviors and internal compliance: Is there an organizationally valid relationship between these two firm activities? That (...) is, when organizations demonstrate CSR with behaviors external to the firm, such as employee volunteerism, are their employees more likely to demonstrate uncompromised legal and ethical compliance behavior internally? We collected data from 164 working professionals enrolled in a top-tier MBA program in the southeastern United States regarding their employer-sponsored volunteer activities and their intentions to comply in various organizational compliance vignettes. We found that employer-sponsored volunteerism is associated with uncompromised compliance choices in one of the three vignettes. This finding indicates preliminary support for further inquiry into the relationship within the firm between external CSR behaviors and policies regarding organizational compliance. Post hoc analyses suggest that employer-sponsored volunteerism is strongly associated with a positive organizational identity, but organizational identity is not associated with the significant compliance vignette. This evidence suggests that the underlying mechanism that connects external CSR behaviors and internal compliance intentions is complex and requires future study. (shrink)

This study sets out to explore what a diverse selection of New Zealand organizations are saying on their websites regarding socially responsible businesspractices in relation to employees. We take an inductive, phenomenological oriented approach to investigate the rich content of organizations’ website communications about employee-related CSR issues and practices. We find that all firms communicated some information regarding employees but this was often sparse and lacking in detail. Amongst the most common types of information organizations relayed were statements regarding the (...) work environment, including the nature of work and learning and development opportunities. We also respond to concerns over the descriptive and atheoretical nature of many stakeholder-based CSR studies by applying Brickson’s (2007) identity framework to explore linkages between organizational identity orientation and particular clusters of employee-related CSR practices uncovered in our content analysis. Our results provide tentative support for the thesis that how organizations conceive themselves as relating to stakeholders is associated with particular clusters of employee-related CSR practices. (shrink)

This study sets out to explore what a diverse selection of New Zealand organizations are saying on their websites regarding socially responsible businesspractices in relation to employees. We take an inductive, phenomenological oriented approach to investigate the rich content of organizations’ website communications about employee-related CSR issues and practices. We find that all firms communicated some information regarding employees but this was often sparse and lacking in detail. Amongst the most common types of information organizations relayed were statements regarding the (...) work environment, including the nature of work and learning and development opportunities. We also respond to concerns over the descriptive and atheoretical nature of many stakeholder-based CSR studies by applying Brickson’s (2007) identity framework to explore linkages between organizational identity orientation and particular clusters of employee-related CSR practices uncovered in our content analysis. Our results provide tentative support for the thesis that how organizations conceive themselves as relating to stakeholders is associated with particular clusters of employee-related CSR practices. (shrink)

Even though the link between perceived corporate social responsibility fit and corporate reputation has received much attention from scholars, this tradition has ignored that the underpinnings of this association vary depending on the particular characteristics of each industry under study. To delve into this matter, we investigate in the increasingly relevant context of controversial industries how PCSR-fit could enhance corporate reputation and which are the mediating mechanisms of this association. Our academic contribution is twofold. First, we find that (...) controversial sectors indeed can increase corporate reputation through CSR activities. However, we find that to achieve this goal, the nature of PCSR-fit should be different than what extant literature indicates, because companies in these settings should directly focus on avoiding or reducing their inherent controversial harm or impact. Second, we evidence that “CSR initiatives' legitimacy” and “situational skepticism” mediate the PCSR-fit and corporate reputation relationship in CIs. Therefore, we further unravel the underpinnings of this association to advance what we know on the matter and aid practitioners in this particular context. (shrink)

Recent research on corporate social responsibility (CSR) is suggesting the need for filling the knowledge gap in the relationship between small and mediumsized enterprises (SMEs) and CSR. SMEs rarely use the language of CSR to describe what they are doing, but informal CSR strategies deeply characterize their businesses. The goal of this paper is to investigate whether a distinction exists between formal and informal CSR strategies, whereas formal CSR strategies should be a prerogative by large firms and informal CSR strategies (...) should be a condition of micro, small, and medium-sized enterprises. A sample of 3,626 Italian firms is used to investigate the research questions. Based on a multi-stakeholder framework, the analysis provides evidence that small businesses reveal their aptitude towards CSR through strategies with an important impact on the bottom line as an attempt to strengthen their license to operate in the communities; large firms are far away from integrating their CSR strategies with explicit management systems. (shrink)

CSR-PPPs are a new and especially relevant phenomenon in today’s world politics. Little is known, however, about the effects of this “New Mode of GlobalGovernance”. The paper addresses this deficit and presents a theoretical model from which hypotheses about the effects of CSR-PPPs can be deduced. It furthermore illustrates the applicability of the model by generating hypotheses about the effectiveness of CSR initiatives in the large retailer industry sector.

Recent research highlights the positive effects of organizational CSR engagement on employee outcomes, such as job and life satisfaction, performance, and trust. We argue that the current debate fails to recognize the potential risks associated with CSR. In this study, we focus on the risk of work addiction. We hypothesize that CSR has per se a positive effect on employees and can be classified as a resource. However, we also suggest the existence of an array of unintended negative effects of (...) CSR. Since CSR positively influences an employee’s organizational identification, as well as his or her perception of engaging in meaningful work, which in turn motivates them to work harder while neglecting other spheres of their lives such as private relationships or health, CSR indirectly increases work addiction. Accordingly, organizational identification and work meaningfulness both act as buffering variables in the relationship, thus suppressing the negative effect of CSR on work addiction, which weakens the positive role of CSR in the workplace. Drawing on a sample of 565 Swiss employees taken from the 2017 Swiss Public Value Atlas dataset, our results provide support for our rationale. Our results also provide evidence that the positive indirect effects of organizational CSR engagement on work addiction, via organizational identification and work meaningfulness, become even stronger when employees care for the welfare of the wider public. Implications for research and practice are discussed. (shrink)

This paper concerns the connection between perceived country risk and corporate social responsibility (CSR) strategies and the communication of CSR strategychoices to consumers. This study incorporates the idea of explicit (voluntary) and implicit (regulated) CSR and presents possible CSR strategies that managers might choose based on risk. Using a convenience sample, this study finds that as managers perceive greater country risk, managers choose predominately compliance based CSR strategies. The purpose of this study is to understand strategies that managers choose based (...) on perceived country risk and to recommend future research for CSR strategy implementation. (shrink)

This paper aims to take stock of the emerging international literature on the role of labor unions in corporate social responsibility (CSR). Where unions are discussed in the North American CSR literature at all, authors see them as foregrounding membership benefits over wider societal interests and hence contributing to systematic environmental degradation. In Europe, the managerialdiscretion of CSR clashes with the more regulated frameworks for employees and labor unions to influence corporate decision-making. Hence many European unions express a considerable degree (...) of skepticism of CSR. On the international scene, companies have become increasingly sensitive to how their labor management activities are perceived by the wider society, yet they may nevertheless continue with even highly controversial labor policies if they do not see a business case for changing these. In other words, CSR commitments by themselves would not seem to be sufficiently powerful to bring about systematic change in the management of labor. (shrink)

Little is known about when corporate social responsibility (CSR) leads to a sustainability case (i.e., to improvements in environmental and social performance). Building on various forms of decoupling, we develop a theoretical framework for examining pathways from institutional pressures through CSR management to sustainability performance. To empirically identify such pathways, we apply fuzzy-set qualitative comparative analysis (fsQCA) to an extensive dataset from 19 large companies. We discover that different pathways are associated with environmental and social performance (non)improvements, and that pathways (...) to success and failure are for the most part not symmetrical. We identify two pathways to improved environmental performance: an exogenous and an endogenous one. We find two pathways to improved social performance that both involve integrating social responsibility into the core business. Pathways to nonimprovements are multiple, suggesting that failure can occur in a number of ways, while there are only a few pathways to sustainability performance improvements. (shrink)

Across Europe, micro firms (SMEs with up to 10 employees) account for the vast majority of business activities. Supporting micro firms in the transition towards sustainability is essential: many small steps will result in a big leap. To this scope knowledge is needed on the specific challenges encountered by micro firms in the region they operate in. The research presented here offers a contribution to this knowledge. It explores the perception of Corporate Social Responsibility (CSR), its rewards and difficulties by (...) micro firms in Frisia, Groningen and Drenthe - the three Northern provinces of The Netherlands. (shrink)

In this article, we examine the empirical association between firm value and CSR engagement for firms in sinful industries, such as tobacco, gambling, and alcohol, as well as industries involved with emerging environmental, social, or ethical issues, i.e., weapon, oil, cement, and biotech. We develop and test three hypotheses, the window-dressing hypothesis, the value-enhancement hypothesis, and the value-irrelevance hypothesis. Using an extesive US sample from 1995 to 2009, we find that CSR engagement of firms in controversial industries positively affects (...) firm value after controlling for various firm characteristics. To address the potential endogeneity problem, we further estimate a system of equations and change regression and continue to find a positive relation between CSR engagement and firm value. Our findings support the value-enhancement hypothesis and are consistent with the premise that the top management of US firms in controversial industries, in general, considers social responsibility important even though their products are harmful to human being, society, or environment. (shrink)

This paper investigates the influence of the increasingly sustainable sourcing policies of many multinational companies on suppliers located in developing countries. Our research was conducted in Viet Nam and involved 25 Vietnamese enterprises. The results reveal, on the one hand, how CSR makes business sense even in a developing country and, on the other hand, the difficulties of maintaining sustainability as products move from northern consumers to Vietnamese suppliers. In more detail, we highlight the unsustainable process through which corporate responsibility (...) is being imposed on Vietnamese suppliers and how CSR might eventually turn into a new form of protectionism. Therefore, this process calls for more collaborative models of governance among the companies along the supply chain, local authorities, international players, and civil society at large. (shrink)

Researchers have explored important questions about employees’ prosocial motivation to impact others through their work and about employees’ engagement in corporate social responsibility (CSR) initiatives. Studies show that job seekers are attracted to CSR-engaged employers, but little is known about whether and why prospective employees are attracted by job roles that allow them to have positive social impact. We used prosocial motivation theory to develop hypotheses about processes through which a greater desire for social impact in work is associated with (...) being predisposed to it (due to trait-like prosocial motivation), being exposed to the possibility of it (through CSR-related educational choices), and both in partially mediated sequence. Analyses of data from 187 prospective employees provided support for most hypotheses. Our findings inform new directions for research on CSR and recruitment, the CSR education literature, and recruitment practices that leverage prospective employees’ desire for social impact through performing their regular work. (shrink)

Interest in corporate social responsibility (CSR) is gaining momentum in academic and managerial circles. However, prior work in the area has paid little attention to how CSR initiatives should be implemented inside the organization. Against this backdrop, this study examines the impact of CSR initiatives on an important stakeholder group—employees. We build and test a comprehensive multilevel framework that focuses on whether employees derive job satisfaction from CSR programs. The proposed model predicts that a manager’s charismatic leadership influences employees’ interpretations (...) about the motives underlying their companies’ engagement in CSR initiatives (intrinsic and extrinsic CSR-induced attributions) which, in turn, influence employee job satisfaction. Hierarchical linear modeling of data from 47 organizational units comprising 438 employees from three world-leading manufacturing organizations shows that when employees think that their manager possesses charismatic leadership qualities, they tend to attribute the organization’s motives for engaging in CSR activities to intrinsic values, which, in turn, are positively associated with job satisfaction. Also, the extent to which managers are perceived as charismatic leaders relates positively to job satisfaction. Interestingly, CSR-induced extrinsic attributions are neither explained by charismatic leadership nor do they predict job satisfaction. Implications for both theory and practice are discussed. (shrink)

The global spread of corporate social responsibility (CSR) practices is widely explained in institutional-isomorphic terms: Corporations worldwide adopt CSR in reaction to isomorphic pressures exerted on them by a pro-CSR global environment, including normative calls for CSR, activist targeting, civil regulation frameworks, and educational activities. By contrast, this article considers the proactive agency of corporations in CSR diffusion, which is informed by nonmarket strategies that seek to instrumentally reshape the political and social environment of corporations. Applying a “channels-of-diffusion” perspective, we (...) show that in the initial phase of CSR’s transnational diffusion—as exemplified by the cases of Venezuela (1962-1967) and Britain (1977-1981)—CSR traveled through learning exchanges between business elite “exporters” and “importers” whose engagement in diffusion addressed crisis-enhanced political threats and opportunities in the receiving country. The focal agents established national CSR business associations, which disseminated among local corporations CSR practices adapted to confront the challenges at hand. We identify the features of such “business-led cross-national diffusions of CSR”; formulate propositions regarding their conditions, dynamics, and effects; and suggest that further research of this mode of diffusion would advance a more nuanced and balanced understanding of CSR’s globalization. (shrink)