Corporations and investors are responding to recent major ethical scandals with increased attention to the social impacts of business operations. In turn, business colleges and their international accrediting body are increasing their efforts to make students more aware of the social context of corporate activity. Business education literature lacks data on student attitudes toward such education. This study found that postscandal business students, particularly women, are indeed interested in it. Their interest is positively related to their past donation, volunteerism, and (...) non-profit organization membership activities, whether limited or extensive. Some evidence supports the proposition that education can modify internal principles over time. We offer suggestions for classroom and program uses of these findings in hopes of enriching the vision of future business managers. (shrink)

The literature acknowledges a distinction between immoral, amoral and moral management. This paper makes a case for the employee (at any level) as a moral agent, even though the paper begins by highlighting a body of evidence which suggests that individual moral agency is sacrificed at work and is compromised in deference to other pressures. This leads to a discussion about the notion of discretion and an examination of a separate, contrary body of literature which indicates that some individuals in (...) corporations may use their discretion to behave in a socially entrepreneurial manner. My underlying assumption is that CSR isn’t solely driven by economics and that it may also be championed as a result of a personal morality, inspired by employees’ own socially oriented personal values. A conceptual framework is put forward and it is suggested that individuals may be categorized as Active or Frustrated Corporate Social Entrepreneurs; Conformists or Apathetics, distinguished by their individualistic or collectivist personal values. In a discussion of the nature of values, this paper highlights how values may act as drivers of our behavior and pays particular attention to the values of the entrepreneur, thereby linking the existing debate on moral agency with the field of corporate social responsibility. (shrink)

Corporations and investors are responding to recent major ethical scandals with increased attention to the social impacts of business operations. In turn, business colleges and their international accrediting body are increasing their efforts to make students more aware of the social context of corporate activity. Business education literature lacks data on student attitudes toward such education. This study found that postscandal business students, particularly women, are indeed interested in it. Their interest is positively related to their past donation, volunteerism, and (...) non-profit organization membership activities, whether limited or extensive. Some evidence supports the proposition that education can modify internal principles over time. We offer suggestions for classroom and program uses of these findings in hopes of enriching the vision of future business managers. (shrink)

This paper explores the relationship between the Islamic religion and the level of socially responsible business conduct (SRBC) of Islamic entrepreneurs. The authors find that the common ideas of SRBC correspond with the view of business in Islam, although there are also some notable differences. They also find that Muslim entrepreneurs attach a higher weight to specific elements of SRBC than do non‐Muslims. However, they also find that Muslims are less involved with applying SRBC in practice than non‐Muslim managers.

This paper explores the relationship between religious denomination and individual attitudes to Corporate Social Responsibility (CSR) within the context of a large sample of over 17,000 individuals drawn from 20 countries. We address two general questions: do members of religious denominations have different attitudes concerning CSR than people of no denomination? And: do members of different religions have different attitudes to CSR that conform to general priors about the teachings of different religions? Our evidence suggests that, broadly, religious individuals do (...) not prioritise the responsibilities of the firm differently, but do tend to hold broader conceptions of the social responsibilities of businesses than non-religious individuals. However, we show that this neither true for all religious groups, nor for all areas of CSR. (shrink)

In this paper, we examine the relationship between Christian religiosity, attitudes towards corporate social responsibility, and CSR behavior of executives. We distinguish four types of CSR attitudes and five types of CSR behavior. Based on empirical research conducted among 473 Dutch executives, we find that CSR attitudes mediate the influence of religiosity on CSR behavior. Intrinsic religiosity positively affects the ethical CSR attitude and negatively affects the financial CSR attitude, whereas extrinsic religiosity stimulates the philanthropic CSR attitude. Financial, ethical, and (...) philanthropic CSR attitudes significantly affect some types of CSR behaviors. However, because religiosity has opposing effects on the three attitudes, the joint mediation effect of the three attitudes is negligible. Furthermore, we find a direct negative influence of intrinsic religiosity on diversity and a direct positive influence on charity. (shrink)

Given the growing interest in religion and spirituality in the community and workplace, we consider what light one of the oldest sources of human ethics, the Torah, can throw on the vexing issues of contemporary employment ethics and social sustainability. We specifically consider the Torah because it is the primary document of Judaism, the source of all the basic Biblical commandments, and a framework of ethics. A distinctive feature of Jewish ethics is its interpretive approach to moral philosophy: that is, (...) immersion and sense making in a dense, lived-in, complicated moral world, which is particularly useful with regard to ethical analyses of the workplace. Rather than discover or create a new ethic for the employer–employee relationship, we seek to harness general principles and norms from the Torah to contemporary business conditions. In the spirit of sustainability, rather than plunder the new, we recreate from existing resources. Interpretations from the Torah provide a rich source of moral and practical guidance for contemporary business ethics while also responding to academic and popular interest in spirituality and business. These tenets, however, have not to date been specifically directed at current predicaments in employment. We redress this by deriving principles from the Torah and applying them to ethical issues in contemporary employment practices. Practical guidance for both research in and practice of employment ethics is also provided. (shrink)

This paper looks at whether the tenets of Islam are consistent with the 'Ten Principles' of responsible business outlined in the UN Global Compact. The paper concludes that with the possible exception of Islam's focus on personal responsibility and the non-recognition of the corporation as a legal person, which could undermine the concept of corporate responsibility, there is no divergence between the tenets of the religion and the principles of the UN Global Compact. Indeed, Islam often goes further and has (...) the advantage of clearer codification of ethical standards as well as a set of explicit enforcement mechanisms. Focusing on this convergence of values could be useful in the development of a new understanding of CSR in a global context and help avert the threatened "clash of civilisations". (shrink)

Lapses in ethical conduct by those in corporate and public authority worldwide have given business researchers and practitioners alike cause to re-examine the antecedents to personal ethical values. We explore the relationship between ethical values and an individual’s long-term orientation or LTO, defined as the degree to which one plans for and considers the future, as well as values traditions of the past. Our study also examines the role of work ethic and conservative attitudes in the formation of a person’s (...) long-term orientation and consequent ethical beliefs. Empirically testing these hypothesized relationships using data from 292 subjects, we find that long-term perspectives on tradition and planning indeed engender higher levels of ethical values. The results also support work ethic’s role in fostering tradition and planning, as well as conservatism’s positive association with planning. Additionally, we report how tradition and planning mediate the influence of conservatism and work ethic on the formation of ethical values. Limitations of the study and future research directions, as well as implications for business managers and academics, are also discussed. (shrink)

This paper explores the relationship between the Islamic religion and the level of socially responsible business conduct (SRBC) of Islamic entrepreneurs. The authors find that the common ideas of SRBC correspond with the view of business in Islam, although there are also some notable differences. They also find that Muslim entrepreneurs attach a higher weight to specific elements of SRBC than do non‐Muslims. However, they also find that Muslims are less involved with applying SRBC in practice than non‐Muslim managers.

Islamic financial institutions (IFIs) are emerging as prominent players in the financial world and are increasingly known for their conservative socially responsible investment (SRI). Being the Shari'a regulators and monitors of IFIs, the Shari'a departments are expected to implement the Islamic perspective of SRI – drawn from Shari'a principles – in their respective institutions. The purpose of this paper is to develop an SRI framework applicable to IFIs and other Shari'a compliant entities and assess its applicability within Shari'a departments of (...) two Islamic banks. This paper involves cross-case analysis based on interviews with Shari'a department officials in two settings differentiated by their respective independence. The proposed framework consists of required, expected and desired SRI aspects as applicable to IFIs. The findings reveal that the required aspects are uniformly observed by the two cases. There are, however, variations when it comes to observing the expected and desired ethical SRI aspects that may be driven by the independence of the Shari'a boards. This inconsistency and non-adherence of expected and desired aspects may lead to reputational risks in the long run. (shrink)

Prior studies suggest that firms headquartered in areas with strong religious social norms have higher ethical standards. In this study, we examine whether the ethical standards associated with local religious norms influence the M&A announcement returns. We document that the M&A announcement returns of acquirer firms increase with the strength of religious social norms in the area surrounding firms’ headquarters. We also document that the relationship is attenuated when acquirer firms have strong corporate social responsibility credentials, is amplified when public (...) trust that firms act in the best interest of stakeholders suffers a negative shock and when the M&A deal has greater economic significance for the acquirer, and manifests predominantly in the lower tail of the distribution of M&A returns. Our findings are consistent with investor assessments of firms’ ethical standards driving the relationship between local religious social norms and M&A announcement returns. We find no evidence for the competing explanation—that investor assessments of firms’ risk preferences drive the documented relationship. (shrink)

In recent years, numerous researches have been conducted on CSR from various perspectives. From a survey of CSR literatures from spiritual and religious perspectives, there are some studies based on the Quran and the Bible made by scholars. However, the Bhagavad-Gita is yet to be explored in the context of CSR. This article is therefore timely and fills the gap in the CSR literature. In this article, the authors employs hermeneutics, a qualitative research methodology which involves the study, understanding and (...) interpretation of the BG particularly the concept of ‘dharma’ and ‘karma’ in the context of CSR. In a nutshell, the BG provides an inside-out approach to CSR, which is the development of individual leader’s self-conscience of his1 dharma and karma. Based on the BG’s insights, CSR should ideally begin with ISR and to go beyond CSR with GSR. These three social responsibilities are the essential dharma and karma of corporate leaders. The leaders and the role they play in corporations are crucial in ensuring transparency, good conduct and governance towards the ultimate aim of achieving CSR. This article is expected to provide a framework to the study of BG philosophy from other aspects of corporate management; such as corporate governance, corporate ethics and human resource management in the near future. (shrink)

This paper researches perceptions of the concept of price fairness in the Dutch coffee market. We distinguish four alternative standards of fair prices based on egalitarian, basic rights, capitalistic and libertarian approaches. We investigate which standards are guiding the perceptions of price fairness of citizens and coffee trade organizations. We find that there is a divergence in views between citizens and key players in the coffee market. Whereas citizens support the concept of fairness derived from the basic rights approach, holding (...) that the price should provide coffee farmers with a minimum level of subsistence, representatives of Dutch coffee traders hold the capitalistic view that the free world market price is fair. (shrink)

This paper explores the relationship between religious belief and the dilemmas Dutch executives confront in daily business practice. We find that the frequency with which dilemmas arise is directly related to various aspects of religious belief, such as the belief in a transcendental being and the intensity of religious practice. Despite this relationship, only 17% of the dilemmas examined involve a religious standard. Most dilemmas originate from a conflict between moral and practical standards. We also find that 79% of the (...) identified dilemmas stem from a conflict between two or more internalized standards of the executive. (shrink)

Despite the obvious link between spirituality, religiosity and ethical judgment, a definition for the nature of this relationship remains elusive due to conceptual and methodological limitations. To address these, we propose an integrative Spiritual-based model derived from categories presumed to be universal across religions and cultural contexts, to guide future business ethics research on religiosity. This article aims to empirically test in the context of Islam. It examines how different Muslims' views of God influence their ethical judgments in organizations, and (...) how this process is mediated by their religious practice and knowledge. Comprising focus group and vignette designs, the study was carried out with a random sample of 427 executives and management professionals from Saudi. After data collection, the study hypotheses were tested using structural equation modeling. The findings confirmed that a view of God based on hope might be more closely associated with unethical judgments than a view based on fear or one balancing hope and fear. Furthermore, religious practice and knowledge were found to mediate the relationship between Muslims' different views of God and their ethical judgments. These results provide unique theoretical insights into religiosity's influence on ethical judgment, with important implications for management. (shrink)

Although it seems that ethics and religion should be related, past research suggests mixed conclusions on the relationship. We argue that such mixed results are mostly due to methodological and conceptual limitations. We develop hypotheses linking Cornwall et al.’s (1986, Review of Religious Research, 27(3): 266–244) religious components to individuals’ willingness to justify ethically suspect behaviors. Using data on 63,087 individuals from 44 countries, we find support for three hypotheses: the cognitive, one affective, and the behavioral component of religion are (...) negatively related to ethics. Surprisingly, one aspect of the cognitive component (i.e., belief in religion) shows no relationship. Implications for research and practice are discussed. (shrink)

Religion has been in general neglected or even seen as a taboo subject in organizational research and management practice. This is a glaring omission in the business and society and business ethics literatures. As a source of moral norms and beliefs, religion has historically played a significant role in the vast majority of societies and continues to remain relevant in almost every society. More broadly, expectations for responsible business behavior are informed by regional, national, or indigenous cultures, which in many (...) parts of the world are heavily influenced by religious belief systems and religious institutions. In this essay, we discuss examples of how religion has functioned as a macro social force affecting business and society, discuss some of the key questions and issues related to research in this domain, offer some observations about why religion may be problematic with regard to its effects on business, and conclude by summarizing the articles contained in the special issue. (shrink)

This study investigates potential differences in attitudes towards corporate social responsibility between Saudis and Muslims from other predominately Islamic countries. We propose that Saudi Arabia’s unique rentier-state welfare and higher education systems account for these distinctions. In evaluating our propositions, we replicate Brammer et al. :229–243, 2007) survey on attitudes towards CSR using a sample of Saudi undergraduate and graduate business students and compare the results against data from subjects in other majority Muslim countries. In addition, this work examines possible (...) differences within the Saudi sample with respect to sex and academic level. Our results indicate that our Saudi subjects maintain higher expectations for corporations’ social responsibility within their supply chain than the Brammer et al.’s sample. In contrast, Muslims in the Brammer et al.’s sample hold higher expectations for corporations in supporting societal development and poverty alleviation in comparison to the Saudi sample. We also find within the Saudi sample that females and subjects at higher academic levels are more inclined to hold corporations responsible for social issues related to CSR than males and subjects in lower academic levels. We examine these findings, explore their implications, and propose areas for future research. (shrink)

While there is a widespread acceptance of the link between religiosity and ethics, there is less certainty how this influence occurs exactly, necessitating further research into these issues. A main roadblock to our understanding of this influence from an Islamic perspective is the absence of a validated measurement tool. The purpose of this study therefore is to develop a Scale of Muslims’ Views of Allah. This article discusses how the SMVA was developed through the following five steps: establishment of content (...) and face validity; application of a cognitive interviewing technique to pretest the SMVA with sixteen participants; pilot testing of the SMVA with twelve participants; administration of the SMVA online to marketing and management professionals via a multi-stage cluster sampling process to verify the scale’s reliability and validity; and testing criterion-related validity. The results showed that the newly constructed 13-item scale had adequate psychometric properties. Finally, the implications for organisations, limitations and future research are discussed. (shrink)

Ethical behavior among businesses has gained significant prominence in recent years. Survey evidence shows that Asian consumers demand for greater social responsibility among businesses. Thus, a deeper understanding of the factors that contribute to such a demand is useful. This study examines the influence of religiosity and values on corporate social responsibility (CSR) support among consumers in Hong Kong and Singapore. Primary data collected among consumers in these cities point to a significant direct relationship between religiosity and CSR support. In (...) Hong Kong, this attitude is due both to altruistic as well as for egotistical (or face saving) reasons. In Singapore, this is mainly due to the latter. The results imply that different motivations should guide CSR strategies in these two cities. (shrink)

Individualism leading to more consumerism seems to be a bit of truism nowadays in the media. The USA is particularly indicted for being too individualistic and consumerist. Past research has mostly indicated a positive relationship between the two. However, past research has not suggested a negative association between individualism and consumerism. This paper offers support for such a negative relationship by showing that an individual’s ethical values can temper the consumerist nature of individualists. Data were collected in the USA and (...) Taiwan. Structural equation models demonstrate that our hypothesized model fits our data well. A key result over the global sample is the stability of the linear path from individualism to work ethic to consumer ethic to consumerism. The two-nation comparison also supports differences in how Taiwanese and Americans differ in their belief that consumption benefits society. (shrink)

Using a sample of Chinese listed firms in polluting industries for the period of 2008–2010, we empirically investigate whether and how Buddhism, China’s most influential religion, affects corporate environmental responsibility (CER). In this study, we measure Buddhist variables as the number of Buddhist monasteries within a certain radius around Chinese listed firms’ registered addresses. In addition, we hand-collect corporate environmental disclosure scores based on the Global Reporting Initiative (GRI) sustainability reporting guidelines. Using hand-collected Buddhism data and corporate environmental disclosure scores, (...) we provide strong and robust evidence that Buddhism is significantly positively associated with CER. This finding is consistent with the following view: Buddhism can serve as social norms to evoke the consciousness of social responsibility, and thereof strengthen CER. Our findings also reveal that the positive association between Buddhism and CER is attenuated for firms with higher law enforcement index. The results are robust to various measures of Buddhism and a variety of sensitivity tests. (shrink)

Using a sample of Chinese listed firms for the period of 2004–2010, this study examines the impact of religion on corporate philanthropic giving. Based on hand-collected data of religion and corporate philanthropic giving, we provide strong and robust evidence that religion is significantly positively associated with Chinese listed firms’ philanthropic giving. This finding is consistent with the view that religiosity has remarkable effects on individual thinking and behavior, and can serve as social norms to influence corporate philanthropy. Moreover, religion and (...) corporate philanthropic giving have a significantly weaker (less pronounced) positive association for state-owned enterprises than for non-state-owned enterprises. The results are robust to a variety of sensitivity tests. Our results highlight religious influence on corporate philanthropic giving in contemporary China, an old traditional country with a typical communist economy. (shrink)

We develop a theoretical model involving religiosity [intrinsic (I), extrinsic-social (E s), and extrinsic-personal (E p), Time 1], Machiavellianism (Time 2), and propensity to engage in unethical behavior (Time 2) to investigate direct and indirect paths. We collected two-wave panel data from 359 students who had some work experiences. For the whole sample, intrinsic religiosity (I) indirectly curbed unethical intentions through the absence of Machiavellianism, the bright side of religiosity. Both extrinsic-social (E s) and extrinsic-personal (E p) directly, while extrinsic-social (...) (E s) indirectly, exacerbated unethical intentions, the dark side of religiosity. Multiple-group analyses across gender, college major, and income showed that the bright side existed directly for low-income students, but indirectly for males and females, business majors, and low-income students. Our novel finding showed that E p undermined unethical intentions indirectly for females. For the dark side, E s incited unethical intentions directly for males, business students, and low-income individuals, but indirectly for females, psychology majors, and low-income people. The Machiavellianism–unethical intentions relationship was the strongest for high-income participants. Religiosity had the highest number of significant paths for low-income individuals and the strongest dark side for males and high-income students, but the highest bright outcome for females. Our novel, original findings foster theory development and testing, add new vocabulary to the conversation of religiosity and unethical intentions, and improve practice. (shrink)

For a sample comprising 36,105 U.S. firm-year observations from 1985 to 2008, we find that firms located in more religious counties enjoy cheaper equity financing costs. This result is robust to a battery of sensitivity tests, including alternative assumptions and model specifications, additional controls for noise in analyst forecasts, and various approaches to addressing endogeneity. In another set of tests, we find that the equity pricing role that religion plays comes predominantly from Mainline Protestants. We also document that the effect (...) of religiosity on firms’ cost of equity capital is larger for firms (periods) lacking alternative monitoring (regulation) mechanisms as measured by lower institutional ownership (the pre-SOX era), implying that religion plays a corporate governance role. Finally, we find that the importance of religion to equity pricing is concentrated in firms that suffer lower visibility, which tend to be more sensitive to local social and economic factors. By examining the links between religiosity and valuation at the firm level, we provide strong, robust evidence supporting the perspective that religion facilitates economic development. (shrink)

This study investigates how managers in firms that have committed fraud strategically use socially responsible activities in coordination with their fraudulent financial reporting practices. Using propensity score matching to select control firms that have a similar probability of fraud in the pre-fraud benchmark period, we find that the corporate social responsibility performance of fraudulent firms in the fraud-committing period is significantly higher compared with the CSR performance of non-fraudulent control firms during this period, and compared with that during their own (...) pre-fraud benchmark periods. This higher CSR performance by fraudulent firms is achieved by means of investing in both stakeholder and third-party CSR categories and by improving in CSR strengths. Furthermore, the increase in CSR performance is more pronounced for fraudulent firms with a weak governance environment, and for firms located in high-religiosity states. Overall, our findings suggest that fraudulent firms strategically adjust their CSR performance to coordinate with their fraudulent financial activities. (shrink)

Family values are argued to enable ethical family business conduct. However, how these arise, evolve, and how family leaders articulate them is less understood. Using an ‘identity work’ approach, this paper finds that the values underpinning identity work: arise from multiple sources, evolve in tandem with the context; and, that their articulation is relational and aspirational, rather than merely historical. Prior research mostly understood family values as rooted in the past and relatively stable, but our rhetorical analysis unlocks a more (...) dynamic and promising research direction advancing family business ethics. (shrink)

This study explores the role that business schools have in developing favorable attitudes toward business involvement in corporate social responsibility. Two cohorts of incoming students from two internationally accredited MBA programs in Chile and two cohorts of graduating students from the same institutions were compared in terms of their attitudes toward the role of business in alleviating social ills and the role they assigned to business schools in preparing managers to effectively address social issues. The attitudes expressed by graduates of (...) the two programs changed after program completion. Faculty attitudes toward business involvement in CSR may play a role in the observed differences between the graduates of both institutions. (shrink)

Although CSR scholarship has highlighted how tensions in CSR implementation are negotiated, little is known about its normative and moral dimension at a micro-level. Drawing upon the economies of worth framework, we explore how spirituality influences the negotiation of CSR tensions at an individual level, and what types of justification work they engage in when experiencing tensions. Our analysis of semi-structured interview data from individuals who described themselves as Buddhist and were in charge of CSR implementations for their organizations shows (...) that spirituality influences how they compromise among competing moral values by identifying two forms of justification work: compartmentalizing work and contextualizing work, which help spiritual practitioners minimize moral dissonance. (shrink)

This paper aims to develop a better understanding of the influence of the social environment in which entrepreneurs reside on the success of the crowdfunding projects they propose. Specifically, this study investigates on the importance of local religiosity on the propensity to support cross-regional crowdfunding projects. We theoretically discuss and empirically document, using a dataset of 5841 contributions on three Swiss reward-based and donation-based platforms, that local religiosity affects cross-regional resource flows by creating social interactions and enhancing trust. Furthermore, we (...) find that cross-regional resource flows are more likely between regions sharing the same primary religion—whether Protestant or Catholic. (shrink)

Corporate social responsibility has become a very common buzz word in the field of marketing since many years. This empirical paper assesses the attitude of devout and nondevout customers towards CSR in the context of a religious society. As making clear distinction between devout and nondevout customers may have associated measurement problems in a single-religion-dominated country, this paper initiates the discussion of peculiarity between two important religiosity measures, that is, observation based and solicited. A hypothetical story board with embedded CSR (...) information in a scenario supporting a religious cause is presented to the highly and less religious subjects in text written form. The scenario is followed by questions pertaining to their religious behaviors and attitude towards the company in question. The results illustrate that highly religious customers show slightly greater preference towards CSR as compared to less religious customers and the observation-based religiosity measure has a tendency of more reliability if the researchers have deep cultural and religious know-how about a specific society. Results of this study might help international marketers about choosing a particular cause under its umbrella CSR activities particularly when entering in a highly religious society dominated by a single religion. (shrink)

This paper researches perceptions of the concept of price fairness in the Dutch coffee market. We distinguish four alternative standards of fair prices based on egalitarian, basic rights, capitalistic and libertarian approaches. We investigate which standards are guiding the perceptions of price fairness of citizens and coffee trade organizations. We find that there is a divergence in views between citizens and key players in the coffee market. Whereas citizens support the concept of fairness derived from the basic rights approach, holding (...) that the price should provide coffee farmers with a minimum level of subsistence, representatives of Dutch coffee traders hold the capitalistic view that the free world market price is fair. (shrink)

This research investigates 266 business students' panel data across 4 time periods and tests a theoretical model involving intrinsic religiosity, the love of money, Machiavellianism, and propensity to engage in unethical behaviors. There was a short ethics intervention between Times 3 and 4. We identified good apples and bad apples using the PUB measure collected at Time 4. From Time 3 to Time 4, good apples became more ethical, whereas bad apples became less ethical after the ethics intervention. Moreover, for (...) the whole sample, intrinsic religiosity deterred unethical intentions not only directly but also indirectly through the absence of Machiavellianism. Before the ethics intervention, intrinsic religiosity curbed unethical intention directly for good apples but indirectly for bad apples. After the intervention, only the indirect effect was significant for bad apples. Intrinsic religiosity offers us hope to open the hearts of the lost sheep and bring them home. Research results were discussed in light of this study's theoretical, empirical, and practical contributions; Judeo-Christian ethics and values; challenging roles of educators and executives in educating Gen-Yers; creating a sea change of the ethical social norm in schools, organizations, and society, or ethical community building, and promoting ethical behavior; and future directions for research. (shrink)

Prior literature has demonstrated that religiosity is associated with a reduced acceptance of unethical business practices and financial reporting irregularities. On this premise, we examine whether religiosity, conceptualized as the degree of adherence to religious norms in the geographical area where a firm’s headquarters is located, has an impact on audit firms’ pricing decisions in the US. We measure the intensity of religiosity by the number of adherents relative to the total population in a county and demonstrate that increased religious (...) adherence operates as an institutionalized monitoring mechanism that decreases audit risk and audit costs, which is, in turn, reflected in reduced audit pricing. Additional tests suggest that the impact of religiosity on auditors’ pricing decisions is not differentiated by levels of auditor expertise but that audit fees are determined by an auditor’s relative location in a market sector and religious adherence. We conclude that religious adherence reduces the need for shareholders to bear the costs of monitoring agents, a finding which could be of importance for market participants and regulators. (shrink)

The purpose of this paper is to determine whether there is a relationship between a person's degree of religiousness and corporate social responsibility orientation. A total of 411 managers and 506 students from seven universities were surveyed. The statistical analysis showed that religiousness does influence students' orientation toward the economic, ethical, and philanthropic responsibilities of business. It does not, however, have a significant impact upon the managers' attitudes. When the "low religiousness" students and managers were compared, differences were found with (...) respect to the economic, ethical, and philanthropic components of corporate social responsibility. Similar results were obtained when the "high religiousness" students and managers were compared. The implications of these findings are discussed. (shrink)

There is a consensus among scientists that climate change is an existing, growing, and human-made threat to our planet. The topic is a divisive issue worldwide, including among people of faith. Little research has focused on the relationship between (non)religious belief and climate change. Hence, in Studies 1 and 2, the authors explore the impact of religious/non-religious orientations: intrinsic (religion as an end in itself), extrinsic (religion as a means to an end), quest (a journey toward religious understanding), and non-religious (...) orientation (i.e., atheistic) on consumer attitudes toward the environment, focusing on recycling advertisements with (non)religious cues. Further, in Study 3, we examine the underlying causal mechanism of environmental identity and the moderating effect of political views on consumers’ lack of belief in climate change. The results show that religious people are less committed to the environment and climate change and that atheism positively affects recycling and climate change identity. The findings offer practical implications in that advertising campaigns need to be endorsed by religious leaders and channeled within the confines of the religious institutions they represent. (shrink)

This study uses a quasi-experimental design to investigate what happens to individual socially responsible attitudes when they are exposed to group dynamics. Findings show that group engagement increases individual attitudes toward social responsibility. We also found that individuals with low attitudes toward social responsibility are more likely to change their opinions when group members show more positive attitudes toward social responsibility. Conversely, individuals with high attitudes do not change much, independent of group characteristics. To better analyze the effect of group (...) dynamics, the study proposes to split social responsibility into relative and absolute components. Findings show that relative social responsibility is correlated with but different from absolute social responsibility although the latter is more susceptible than the former to group dynamics. (shrink)

Corporate social responsibility (CSR) is a phenomenon of increasing interest. Today, it is practiced in most countries around the globe and studied in various fields of academia. However, the focus still lies on Western developed countries, their understanding, and implementation of CSR. This paper focuses on the comparison of the orientation towards CSR in Germany and Qatar, thereby closing a research gap by providing insights from a Middle Eastern country. Based on a survey among 265 business students in both countries, (...) the research examines their perception of the economic, legal, ethical, and philanthropic responsibilities of a firm. Findings suggest that, next to economic obligations, Qataris appear more willing to support philanthropic activities of a business while Germans highly value ethical standards. Moreover, females in both countries value economic responsibilities less important than males do. (shrink)

This study explores the manifestation of Buddhism's conception in underlying entrepreneurial performance. The study is a qualitative research approach with a development direction that comes from successful Buddhist small business entrepreneurs in Bekasi, Indonesia. The interpretive paradigm is used to interpret social life in the reality of successful Buddhist small business entrepreneurs on entrepreneurial performance. Data collection using in-depth interviews with Buddhist small business entrepreneurs in an open-ended format. Data analysis was done in many stages, including domain analysis, taxonomy analysis, (...) component analysis, and theme analysis. The findings indicate that religion acts as an institution that legitimizes the formation of entrepreneurial performance. The performance of Buddhist small business entrepreneurs is manifest in their management of economic or material achievements, and their religious observance in a broad socio-economic context in the relationship of three aspects of human life, namely the individual, social, and environmental, as a form of entrepreneurial practice based on Buddhist values. This research reveals the embodiment of social responsibility for small business Buddhist entrepreneurs which is reflected in entrepreneurial performance through the manifestation of religious values. The findings provide theoretical relevance in institutional theory. (shrink)

This study examines corporate stakeholder orientation across industries and over time prior to the introduction of mandatory CSR. We argue that CSO is a legitimacy signal consciously employed by firms to demonstrate their shareholder and specific non-shareholder orientations in the midst of institutional pressures emerging from country and industry contexts. Using a 7-code index of CSO on CEO–shareholder communications from India, we find that in general large firms in India exhibit a pre-dominant, significant and rising trend of pro-shareholder orientation in (...) the six-year period immediately preceding the CSR law. Yet, we uncover significant industry differences in CSO potentially driven by four key factors: the degree of competitive dynamics, nature of products and services, extent of negative externalities and social activism, and exposure to international markets. Our findings support the view that while some minimum threshold of regulatory intervention is required to balance the interests of business with society, legislation raises questions in relation to the usefulness of a uniform one-size-fits-all CSR across all industries. (shrink)