Can mandated adoption of corporate social responsibility (CSR) improve firm value? Most CSR adoption is purely voluntary. However, governments regularly encourage CSR adoption with soft regulations that vary from simply endorsing and symbolically supporting CSR to requiring the adoption of specific practices. Governments have resisted fully mandating CSR because there is some concern universally that mandated CSR may reduce firm value. There is, however, no empirical clarity as to whether mandated CSR impedes or improves firm value. We address this uncertainty (...) by analyzing the effects of the mandated adoption of CSR that the government of India legislated in 2014. Drawing on a sample of 1,526 publicly traded firms and deploying a combinative analytical framework comprising an event study, regression discontinuity design, and a difference-in-differences technique, we conclude that India’s CSR mandate did, in fact, increase value for all firms bound by the mandate. This value-enhancing effect was greater for foreign firms relative to domestic firms. Our results refute previous research showing that India’s CSR mandate diminished firm value. (shrink)

This study examines the relationship between corporate philanthropy (CP) and audit fees. Using corporate donation data from China, our investigation finds that CP is significantly positively associated with audit fees. Resource-seeking purpose and the enhanced publicity effect may be plausible channels behind this relationship. We further find that the frequency and intensity of donations reinforce this positive association. Additional analysis reveals that the resource-seeking effect exists in any type of enterprise, while the enhanced publicity effect only exists in non-SOEs. Our (...) main results remain robust to a battery of additional tests. Overall, our findings suggest that by increasing audit workload and prospective audit risk, CP could make auditors more conservative such that they charge a higher audit fee. This article emphasizes the dialectic institutional stakeholder perspective in understanding the economic consequences of CP. Both the theoretical contributions and practical implications of these findings are discussed. (shrink)

Despite ample research on corporate governance (CG) and corporate social responsibility (CSR), there is a lack of consensus on the nature of the relationship between these two concepts and on how this relationship manifests across institutional contexts. Drawing on the national business systems approach, this article systematically reviews 218 research articles published over a 27-year period to map how CG–CSR research has evolved and progressed theoretically and methodologically across different institutional contexts. To shed light on the full gamut of the (...) CG–CSR relationship, we categorize and explore the nature of this relationship along two strands: (a) CSR as a function of CG and (b) CG as a function of CSR. Through this review, we identify key themes where CG–CSR research has lagged and account for under-explored contexts in this domain. Finally, we put forth a comprehensive agenda for progressing future research in the field. (shrink)

Business and Society Review, Volume 127, Issue 1, Page 127-143, Spring 2022.

To date, the value of corporate social responsibility (CSR) activities has primarily been measured through the company’s reputation, with little attention given to exploring whether there are internal influences between CSR and other management practices. We argue that the efficacy of CSR extends beyond a company’s reputation for managing social and environmental concerns; in particular, it can influence other business practices such as risk management. Our results suggest that (a) overall, firms with better CSR performance are more likely to adopt (...) integrated risk management practices and (b) CSR activities that target both primary stakeholders and secondary stakeholders are equally important in facilitating the adoption of such risk management practices. Theoretically, we contribute to the CSR literature by providing a possible mechanism for risk reduction and insurance-like effects of CSR. Practically, we provide managerial implications demonstrating that the efficacy of CSR should not be viewed in isolation of other business practices. (shrink)

An extensive work has been done on corporate social responsibly practices that mainly emphasized the larger firms within developed nations. Nonetheless, still work is needed to observe the importance of CSRPs’ and ethical cultural practices in terms of sustainable competitive performance that garnered far less attention by the existing literature. This study explores the impact of CSRPs on SACP with the mediating role of ECL from SMEs of two emerging nations, i.e., China and Pakistan based on stakeholders’ theory and practices. (...) The results using SEM affirmed the positive linkages of CSRPs—environment responsibility, community responsibility, customers' responsibility, suppliers responsibility, employee responsibility, and Govt. rules & regulations’ responsibility —on SACP. It found that CSRPs have positive relationships with ECL whereas ECL further positively correlated with SACP in the context of both countries. The findings revealed the positive mediating influence of ECL between CSRPs and SACP, respectively. This study furnishes insightful information for management on how firms may achieve sustainable performance by incorporating ethical cultural practices and corporate social responsibility practices as the strategic tools. The study reports numerous implications for management together with lines for future directions. (shrink)

Business Ethics: A European Review, EarlyView.

The impact of contextual influences on human resource management and management more generally has been the focus of much scholarly interest. However, we still know very little about how context impacts on the practice of ethical HRM specifically. Therefore, drawing on 59 in-depth interviews with HR practitioners in Brazil, Colombia and the UK, this paper theorizes how they perceive the ethical dimensions of their roles within their respective national contexts and how the way they act in relation to them is (...) informed, shaped and directed by the institutional context. In doing so it provides an important insight into three key themes: first, the views of HRM practitioners and managers about ethical HRM and how they articulate what it means to be ethical; second, how they respond to perceived ethical dilemmas; and third, how their responses are influenced by institutional forces and associated beliefs, values and scripts. In addition to providing an ‘emic’ perspective of this increasingly important topic and theorizing the experience and practice of ethical HRM, the paper answers calls for more international comparisons of ethical HRM practice in contemporary organizations. (shrink)

This study examines CSR engagement by Zimbabwean SMEs through their practices and procedures. A qualitative approach was adopted, involving 16 in-depth interviews with key decision makers of ICT SMES in Zimbabwe. The study makes finds that Understanding of CSR by SMEs is patchy, their approach to selecting and executing CSR activities is ad hoc, unstructured and not supported by dedicated budgets while decision making rests solely with the CEO who values and upbringing plays a defining role in this process. The (...) study presents useful insights from a developing world context on CSR characteristics by SMEs. (shrink)

This study empirically examines the relationship between wide-ranging board diversity and the quality of corporate social responsibility disclosure variables in Malaysia. We extend prior literature covering broader dimensions of board diversity and their impact on CSR after controlling for board and audit committee characteristics. Using 200 listed firms in Bursa Malaysia during 2009–2013 and applying both OLS and 2SLS instrumental variables approaches, we document significant positive effect of board education level and board tenure diversity on the quality of CSR disclosure. (...) Further analysis using robust regression also shows positive association between gender diversity and CSR disclosure. Our findings also demonstrate that the quality of CSR disclosure is significantly negatively associated with board age and nationality diversity. These results remain consistent with using alternative measures for board diversity, and characteristics for board of director and audit committees as well as split samples between large and small firms. Additional tests exhibit complementary relationship of education level and nationality with gender, while substitutive relationship of age and tenure with gender in influencing CSR. These findings provide useful insights into the policy makers in setting regulations in respect of board diversity in Malaysia and other emerging economies in the Asian region. Our evidence is also useful for listed companies in setting the criteria to identify directors who can support their strategic decisions. (shrink)

This study aims to contribute to the understanding of business news coverage of corporate social responsibility within a comparative international context by investigating two business newspapers, The Wall Street Journal from the United States and The Financial Times from the United Kingdom. Drawing on the news framing research and the implicit and explicit CSR framework of Matten and Moon, this content analysis shows that business news coverage of CSR in the United States and in the United Kingdom differs in terms (...) of news framing, motive attributions of CSR as a concept, motive attributions of referenced companies in relation to CSR, general tone toward the concept of CSR, and the general tone toward referenced companies in relation to CSR. Most significantly, findings suggest that business news plays different roles in constructing and legitimizing CSR in the two countries. In the United States, CSR’s legitimacy and its conceptual positivity may be more implied through the coverage of singular events or actors, whereas in the United Kingdom, CSR’s illegitimacy and its conceptual negativity may be more exposed for further discussion through the coverage of larger societal contexts. Other theoretical as well as practical implications are also discussed. (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)

Business Ethics: A European Review, EarlyView.

This article explores the substitution and complementary effects between political and social strategies on firm performance in the context of an emerging market (EM). Using in‐depth, historical case‐study approach, the article investigates how companies integrate political and social resources in this market. Corporate performance includes traditional measures, such as accounting performance and nonfinancial measures like the ease of doing business. The study finds that social strategies are stronger enablers of firm long‐term performance than political strategies. The latter have a short‐term (...) impact on performance, but their success over time is limited. The main drawback of reliance on political resources in EMs is the lack of political stability, fragmented polity, and weak political coalitions. We identify rather limited evidence of firms using these two strategies as complements. Thus, we suggest that firms should employ both these strategies in the EM. (shrink)

Socially responsible human resource management (SR‐HRM) is becoming increasingly important for academics and managers. The interface between HRM and corporate social responsibility (CSR) is the subject of analysis in this article. It adopts a contextual perspective to analyze whether the institutional context influences the implementation of socially responsible HRM (SR‐HRM). Considering the differences in the national institutional contexts across Europe, this study explores the different models of SR‐HRM in that region. The research is focused on a sample of 153 companies (...) headquartered in Germany, Spain, Sweden, and the United Kingdom. The findings evidence the influence exerted by the national institutional context on the implementation of SR‐HRM. Differences among country clusters suggest the existence of different models of SR‐HRM in Europe. However, these models do not correspond to the blocks on HRM or on CSR identified by the literature but instead provide a novel categorization. (shrink)

A survey study was conducted to look into the effect of Confucian ethics and the psychological foundations of morality on business managers' perspectives on corporate social responsibility (CSR). Using responses from 393 Chinese managers, we first conducted confirmatory factor analysis to assess the reliability and validity of the measurement model and then employed hierarchical regression to explore the relationships among Confucian ethics, moral foundations, and managers' shareholder value perspectives. The results indicate that both Confucian ethics and managers' moral foundations had (...) significant influence on shareholder value perspectives. In fact, moral foundations and Confucian ethics interacted and jointly affected managers' positions on the shareholder value model of corporate responsibility. This study demonstrates the importance of psychological foundations of morality to managers' CSR orientations and substantiates the persistent impact of Confucian ethics/cultural traditions on today' business practices. (shrink)

Cross-sector social partnership case-based theory and research have long argued that nonprofits that engage in more integrative and enduring cross-sector partnerships should increase their organizational capacity. By increasing their capacity, nonprofits increase their ability to contribute to systemic change. The current research investigates this claim in a large-scale empirical research study. In particular, this study examines whether nonprofits that have a greater number of integrated cross-sector partnerships have greater capacities for financial management, strategic planning, external communication, board leadership, mission orientation, (...) and staff management than nonprofits that have other types of interorganizational relationships. Moreover, it examines whether the length of these partnerships is associated with better capacity. Hierarchical multiple regression analysis drawn from surveys of 452 nonprofit organizations suggests that cross-sector collaboration is not systematically related to increased capacity. However, the results suggest that more enduring relationships between government and nonprofit organizations that extend beyond funder–recipient relationships are related to greater strategic planning capacity. Implications for CSSP research are drawn from the results, especially those concerned with the outcomes of CSSPs. (shrink)

This article examines multinational banks’ approaches to corporate social responsibility in developing countries’ subsidiaries, particularly in Latin America. Building on in-depth case studies of two MNBs that are based in Europe and market leaders in Latin America, we analyze their CSR motivations and outcomes in host countries. We examine institutional environments by applying the national business system framework, and we suggest missing categories in its financial and educational dimensions. We theorize how institutional necessity determines MNBs' CSR in developing countries. Finally, (...) we examine the CSR outcomes in Latin America, where banks’ responsible conduct has led to major improvements in educational levels and financial inclusion. These improvements alleviate poverty and enhance both country's social wellbeing and MNBs’ legitimacy, leading to mutual prosperity. (shrink)

This study examined the association between employee perceptions of two foci of corporate social responsibility and work attitudes in different countries. Using data collected as part of a multinational research project with a core team in the United States, we found that perceptions of externally focused CSR enactment were positively associated with employee engagement and affective commitment. Perceptions of internally focused CSR enactment were positively associated with affective commitment but not with employee engagement. Analyses across countries revealed more cultural than (...) economic differences. For example, perceptions of internally focused CSR enactment were consistently associated with affective commitment across cultural contexts, indicating that they might serve as a general foundation for building commitment. Perceptions of externally focused CSR were more strongly associated with affective commitment in Anglo than in Confucian and Latin American countries, suggesting a need for country-specific tailoring. Based on these results, we provided recommendations for planning and implementation of CSR. (shrink)

This study explores why and how firms respond to social demands through philanthropic giving in the context of a severe natural disaster. Drawing on Marquis and Qian's organizational response model to government signals, we integrate resource dependence theory and institutional theory to build a two-step model of organizational response to social needs, in situations of disaster relief. We argue that firms depending more on the government for support are more likely to donate in disaster relief, while firms who receive more (...) scrutiny from the government and the general public and firms having more slack resources are likely to donate more. Evidence from Chinese listed companies' donations to the 2008 Sichuan earthquake largely supports our predictions. This study provides a more precise understanding of the corporate philanthropic decision process, decoupling the drivers of philanthropic giving, and those determining the amount given. Theoretical and practical implications are suggested. (shrink)

A theory of planned behavior framework was employed to investigate the impact of corporate social responsibility perceptions on the job choice intentions of American, Chinese, and Lebanese college students. Attitudes toward CSR, subjective norm, and perceived behavioral control explained moderate levels of the variance in job choice intention in all three countries. Attitudes toward CSR, which entailed individual evaluations of CSR, were positively related to job choice intentions among Lebanese and American respondents, but not Chinese respondents. Subjective norm, the importance (...) accorded the views of significant others, was most strongly related to job choice intentions among Chinese respondents. Perceived behavioral control, the perceived degree of control over one’s actions and outcomes, had the strongest relationship to job choice intentions among American respondents. The authors concluded that respondents in the three countries did not differ in the extent to which they intend to work for socially responsible firms but tended to derive their intentions in different ways. Implications for tailoring CSR and recruitment efforts across countries are derived based on the findings. (shrink)

Most research studying the corporate social performance –corporate financial performance link has utilized developed country samples. Also, this literature has generally focused on a wide variety of industries, ignoring the fact that certain sectors – such as controversial industries – have graver social and environmental issues. Hence, a gap exists in this tradition when it comes to emerging markets and controversial industries. This paper attempts to fill this void by providing preliminary evidence and insight on the matter. Based on an (...) exploration in six Latin American countries and five controversial industries, we find a negative bidirectional association between CSP and CFP. These results tend to contradict the mainstream conclusion of a positive bidirectional link, suggesting that institutional and market-level forces play a major role in shaping this relationship. (shrink)

Based on a survey and content analysis of 462 peer-reviewed academic articles over the period 1990–2014, this article reviews theories related to the external drivers of corporate social responsibility and the internal drivers of CSR that have been utilized to explain CSR. The article discusses the main tenets of the principal theoretical perspectives and their application in CSR research. Going beyond previous reviews that have largely failed to investigate theory applications in CSR scholarship, this article stresses the importance of theory-driven (...) explanations of CSR and the complementarity of different theories. The article demonstrates that the current mainstream theorizing of CSR is dominated by theories related to the external drivers of CSR and is less developed with regard to the internal dynamics. The article outlines several productive avenues for future research: the need for multi-theory studies and more research at multiple levels of analysis, particularly at the individual level of analysis. It suggests that CSR scholarship can benefit from combining theoretical insights from a range of established theoretical lenses such as institutional theory and RBV, and can gain new insights from theoretical lenses such as Austrian economics and micro-level psychological theories. (shrink)

This study provides evidence on the governance of CSR policies and activities by Indian central government-owned companies [i.e. Central Public Sector Enterprises ] within a unique mandatory regulatory setting. We utilise the multi-level ‘Logic of governance’ conceptual framework and draw upon interview data collected from 25 senior managers in 21 CPSEs to assess the dynamics of CSR implementation within CPSEs. Our findings indicate most managers believe that a mandatory policy has enhanced the accountability and commitment of governing boards and senior (...) management to CSR. However, CSR policy implementation within Indian CPSEs is still nascent, fraught with bureaucratic hurdles, insufficient human and knowledge resources, limited stakeholder analysis and over-emphasis on CSR budget utilisation as an outcome. Several key areas for improvements include the need for better translation of national CSR policy goals to firm-level strategies, more formal assessment of stakeholder needs, clearer communication lines with external service providers, such as NGOs and local government agencies, and the better evaluation of CSR outcomes. The findings of this study have implications for both theory and policy development. (shrink)

The extant literature on comparative Corporate Social Responsibility often assumes functioning and enabling institutional arrangements, such as strong government, market and civil society, as a necessary condition for responsible business practices. Setting aside this dominant assumption and drawing insights from a case study of Fidelity Bank, Nigeria, we explore why and how firms still pursue and enact responsible business practices in what could be described as challenging and non-enabling institutional contexts for CSR. Our findings suggest that responsible business practices in (...) such contexts are often anchored on some CSR adaptive mechanisms. These mechanisms uniquely complement themselves and inform CSR strategies. The CSR adaptive mechanisms and strategies, in combination and in complementarity, then act as an institutional buffer, which enables firms to successfully engage in responsible practices irrespective of their weak institutional settings. We leverage this understanding to contribute to CSR in developing economies, often characterised by challenging and non-enabling institutional contexts. The research, policy and practice implications are also discussed. (shrink)

Recent research suggests that corporate social responsibility is institutionalised amongst multinational corporations. Yet CSR scholarship faces considerable challenges. An agreed definition is lacking, even amongst researchers adopting aligned approaches. Studies remain heavily focused on making a business case for CSR, despite its widespread acceptance into business practice. Few studies examine CSR’s on-ground implications for the communities it purports to help, favouring instead a macro-level focus. And concerns about CSR’s sincerity, motivations and ethics perpetuate questions about its integrity. This article argues (...) that new institutionalism is well placed to respond to these core challenges for CSR, and that new institutionalist perspectives can complement and enrich other common theoretical approaches. It contributes a social mechanism-based framework for CSR, identifying and exploring the key social mechanisms that institutionalise it; namely, discourse, mimesis, normative learning and coercion. Understanding CSR as an institution facilitates new and different explorations of its causes and effects and opens new avenues for scholarly inquiry. Illustrative examples from a 3.5-year study of CSR in the global mining industry are presented to explore the implications of CSR as an institution and to suggest pathways for innovative research. (shrink)

Formulating and translating corporate social responsibility strategy into actual managerial practices and outcome values remain ongoing challenges for many organizations. This paper argues that the human resource management function can potentially play an important role in supporting organizations to address this challenge. We argue that HRM could provide an interesting and dynamic support to CSR strategy design as well as implementation and delivery. Drawing on a systematic review of relevant strategic CSR and HRM literatures, this paper highlights the important interfaces (...) between CSR and HRM and develops a conceptual model, the CSR-HRM co-creation model, which accounts for the potential HRM roles in CSR and identifies a range of outcome values resulting from a more effective integration of the role of HRM within CSR. The paper concludes with relevant theoretical and managerial recommendations that advance our understanding of the potential interfaces between HRM and CSR and how HRM can support a systematic and progressive CSR agenda. (shrink)

This research aims to explore the relationship between corporate governance and CSR: What are the major factors that play a direct role in the establishment of this relationship? How does context and institutional background impact upon the relationship between CSR and Governance? Using in-depth semi-structured interviews from two types of governance systems in three countries over three years, this study has demonstrated that in practice, within different settings, CSR is being used both as a strategy as well as a reaction (...) to different drivers. We call this adaptive governance where governance can be defined as a flexible system of action incorporating strategic and monitoring activities that determines the way a company enacts its responsibilities to its shareholders and stakeholders and which is determined at any given time by the interrelationship of institutional drivers and behavioural norms. Governance systems and their interrelationships with CSR are demonstrated as fluid according to the national and institutional context, economic situation and industry impact. In the eyes of practitioners corporate governance includes both structural and behavioural factors as well as responsibilities and actions towards shareholders and stakeholders. Contextual factors that this research highlights to be important to the incorporation of CSR into governance include the economic environment, national governance system, regulation and soft law, shareholders, national culture, behavioural norms and industry impacts. Hypotheses on the impact of institutional contexts, industry impacts and economic situations on different types of CSR actions are proposed for further research. (shrink)

Managers in Peru, South Africa, and the United States were classified into four groups along Singhapakdi et al. (J Bus Ethics 15:1131–1140, 1996) Perceived Role of Ethics and Social Responsibility (PRESOR) scale. In Peru and the United States, individuals in the ethics and social responsibility first category reported greater satisfaction with organizational performance than did those in the profits first category. Moral capitalists—individuals who report high emphases on both social responsibility and profits—reported the highest satisfaction with performance in the United (...) States. Managers in the United States are more likely than their counterparts in Peru and South Africa to reject the mutual exclusivity of prioritizing social responsibility and profits simultaneously. Directions for future research are outlined. (shrink)

Companies operating and located in emerging economy nations routinely couch their corporate social responsibility (CSR) work in nation-building terms. In this article, I focus on the Indian context and critically examine mainstream CSR discourse from the perspective of the culture-centered approach (CCA). Accordingly, five main themes of CSR stand out: nation-building facade, underlying neoliberal logics, CSR as voluntary, CSR as synergetic, and a clear urban bias. Next, I outline a CCA-inspired CSR framework that allows corporate responsibility to be re-claimed and (...) re-framed by subaltern communities of interest. I identify such resistive openings via interrogations of culture (I focus on oft-cited Gandhian ethics here), structure (State policy, organizational strategy, and global/local flows), and agency (subaltern reframing of institutional responsibility, engagement with alternative modes of agency, and deconstructive vigilance). (shrink)

In this introductory article we explore the relationship between statehood and governance, examining in more detail how non-state actors like MNCs, international NGOs, and indigenous authorities, often under conditions of extreme economic scarcity, ethnic diversity, social inequality and violence, take part in the making of rules and the provision of collective goods. Conceptually, we focus on the literature on Areas of Limited Statehood and discuss its usefulness in exploring how business-society relations are governed in the global South, and beyond. Building (...) on insights from this literature, among others, the four articles included in this special issue provide rich illustrations and critical reflections on the multiple, complex and often ambiguous roles of state and non-state actors operating in contemporary Syria, Nigeria, India and Palestine, with implications for conventional understandings of CSR, stakeholders, and related conceptualizations. (shrink)

Academic research suggests that variances in contextual dynamics, and more specifically religion, may lead to disparate perceptions and practices of corporate social responsibility. Driven by the increased geopolitical and economic importance of the Middle East and identified gaps in knowledge, the study aims to examine if indeed there is a divergent form of CSR exercised in the region. The study identifies unique CSR dimensions and constructs presented through an empirical framework in order to outline the practice and perception of CSR (...) in a context with strong Islamic beliefs. The framework goes beyond the platform of mere Islamic philanthropy and is based on CSR-stakeholder management practices. Following an exploratory research design and collecting interview data from representatives of 63 organisations from Saudi Arabia, the United Arab Emirates and Oman, the study offers a snapshot of the CSR reality from the perspective of those living the phenomenon. The results suggest that the practice and perception of CSR in the examined context are largely grounded in the areas of social and altruistic actions but they cannot be examined in isolation from the religious context of CSR operation. This focus is mainly attributed to the dominant role of Islam in the examined sample, which leads to forms of non-structured or semi-structured approaches to CSR. Apart from the theoretical advancements offered to the CSR literature, the study also provides contributions for practitioners and policy makers. (shrink)

Despite the fact that informal labour is a widespread phenomenon, the business ethics literature tends to describe it as a problem that needs to be overcome, rather than contemplating its merits. Informal labour is linked to poor working conditions, low-income and insufficient protection. However, it is also a survival strategy and upholds essential services, such as waste collection and recycling. Through the lens of postmodern ethics, we analyse 45 interviews with formal and informal waste management workers in Kinshasa. The study (...) explores the functioning and limits of recycling services in a metropolis, focusing on the experience of African workers and entrepreneurs. A complex picture of ethical challenges and individual business and survival strategies emerges from the analysis. Our findings demonstrate that labour decisions of voiceless people cannot be reduced to being rational or desperate choices, but that they reflect a careful elaboration of currently available options and strategies for the future. The study contributes to our understanding of entrepreneurship in a post-conflict context, the role of informal labour in the functioning of formal businesses in Africa and the contribution of postmodern theory to the study of businesses in non-Western societies. (shrink)

Business Ethics: A European Review, EarlyView.

Business Ethics: A European Review, EarlyView.

Business Ethics: A European Review, EarlyView.

The paper goes beyond critique to read institutional approaches, specifically institutional logics of CSR in India and their management by Indian firms, from a post-colonial location, to explore decolonising possibilities. Drawing on post-colonial approach of catachrestic reading, it reads institutional logics of CSR literature to argue against a linear hierarchical travel of western CSR logic into India, which is then adapted/adopted/translated or decoupled, along with the secondary status this implies for India; and suggests that Indian and western CSR logics are (...) competing logics. It argues that these competing logics are non-core, but significant and need to be managed by Indian firms. An exploratory survey supports this argument. It also suggests a few testable propositions for CSR institutional logics using “deferment of routine development” and “strategic ambiguity in meanings” as mechanisms. In addition, it shows that decolonising purpose can also be realised by having cross-paradigmatic engagements with mainstream management and organisation studies scholarship such as institutional approaches. (shrink)

ABSTRACT:We examine whether religion influences company decisions related to corporate community involvement. Employing a large US sample, we show that the CCI initiatives of a company are positively associated with the level of Christian religiosity present in the region within which that company’s headquarters is located. This association persists even after we control for a wide range of firm characteristics and after we subject our results to several econometric tests. These results support our religious morality hypothesis which holds that companies (...) headquartered in regions with higher levels of Christian religiosity will engage in more CCI initiatives. We also find that while Catholic and mainline Protestant religiosity have a positive influence on firms’ CCI initiatives, evangelical Protestant religiosity does not. This supports our differentiated responses hypothesis which holds that institutional differences among religious groups will produce different effects on companies’ CCI. This hypothesis is based on institutional theory. (shrink)

Corporate social responsibility 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)

Stakeholder engagement is central to organizations’ social impact. Engagement activities rely on mechanisms whose complexity increases for multinational corporations. This study explores the boundary conditions of our Western/Northern-based knowledge of stakeholder engagement mechanisms through the examination of such practices in multinational companies founded in Latin America. Based on previous studies on the identification of organizational stakeholders in the region, we aim to understand the specific engagement mechanisms MLs use. To this end, we analyze qualitatively 28 corporate sustainability reports by relevant (...) firms. Our findings show that the community includes silent stakeholders composed of subgroups not listed as organizational stakeholders but mentioned in the report as engaged by the company or a subsidiary. MLs in our sample use four main mechanisms to engage these subgroups: strong, visible commitments to local social organizations; continuous dialogue with members of the community; networks of volunteers to help perform the social activities of the companies; and creation of social infrastructure institutions. We end by detailing the theoretical implications for stakeholder engagement among emerging economies multinational companies and for MNCs in general. (shrink)

Whilst considerable research exists on determining consumer responses to pre-determined statements within numerous ad ethics contexts, our understanding of consumer thoughts regarding ad ethics in general remains lacking. The purpose of our study therefore is to provide a first illustration of an emic and informant-based derivation of perceived ad ethics. The authors use multi-dimensional scaling as an approach enabling the emic, or locally derived deconstruction of perceived ad ethics. Given recent calls to develop our understanding of ad ethics in different (...) cultural contexts, and in particular within the Middle East and North Africa region, we use Lebanon—the most ethically charged advertising environment within MENA—as an illustrative context for our study. Results confirm the multi-faceted and pluralistic nature of ad ethics as comprising a number of dimensional themes already salient in the existing literature but in addition, we also find evidence for a bipolar relationship between individual themes. The specific pattern of inductively derived relationships is culturally bound. Implications of the findings are discussed, followed by limitations of the study and recommendations for further research. (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)

Over the past four decades, stakeholder research has united a chorus of voices from different disciplines using different terminology for different audiences all related to a seemingly similar topic: those that affect and are affected by business. By juxtaposing a comprehensive review of the early years of stakeholder research against more recent stakeholder research, we identify areas of common convergence as well as emergent scholarship. We develop an organizing framework consisting of three stakeholder-related themes: who or what is a stakeholder; (...) mechanisms underlying stakeholder relationships; and outcomes-oriented stakeholder research. Future research opportunities include: simultaneously examining multiple stakeholders at multiple levels; multiplier effects along the value chain and across geographies; and net impacts. We conclude by identifying how stakeholder research can “move the needle” on important business issues such as: income inequality and CEO pay; human rights and building community inclusion; disease alleviation; and food security in firms’ continuous quest to create value. (shrink)

There is a growing interest in how the notion of corporate social responsibility as shared value creation is translated in Scandinavia. However, current research seems to disregard that the specific institutional context is ambiguous, enabling the organization, and its internal stakeholders to translate the institutional logics into contradictory meanings of CSR as shared value creation. Building on the institutional logics perspective and the metaphor of translation, and framed within a case study of a Danish CSR frontrunner, this paper explores how (...) the notion of CSR as shared value creation is translated at both the organizational and individual level through discourse. The study shows that the organization and its internal stakeholders employ different strategies to reconcile the institutional logics of ethics and economy, suggesting that the translation processes are a complex communicative matter of continuously balancing the contradictory institutional logics to maintain legitimacy in the eyes of external stakeholders. (shrink)

The paper aims at investigating external factors influencing organizational corporate social responsibility -related decision making. Two theoretical perspectives—stakeholder theory and institutional theory—have been applied to compile a list of external factors that might affect a company's CSR choices. As a result, a framework built on the government-related, society-related, and business-related groups of external factors is being suggested. This framework is used in the paper to answer to what extent do different external factors influence CSR-related decisions in large Danish companies and (...) how has that influence changed over the years. The research takes a qualitative approach and is designed as a multiple-case study. Empirically, the paper relies on data collected from semi-structured interviews with CSR specialists and managers and presents a dynamic perspective on the pressure exercised by the external factors on CSR decisions and choices. (shrink)

To improve sustainable practices and attract investors, companies in emerging markets have increasingly embraced strategies for inclusion in rapidly expanding sustainability indices. However, most early studies on socially responsible investment or sustainability investment have only focused on exploring the relationship between corporate sustainability and firm value. Moreover, little has been done to explore the practices of emerging market companies for engaging with a sustainability index. To address this research gap, we employed the decision-making trial and evaluation laboratory method to identify (...) critical factors that influence the inclusion of emerging market companies in the Dow Jones Sustainability Index. Five critical factors and best practices were identified based on the analysis of seven Taiwanese electronics companies that have been listed in the DJSI for several consecutive years. Our results provide insights on the critical factors and best practices that reinforce the sustainable practices of emerging market companies for inclusion in the DJSI. This study also contributes to the literature by investigating the engagement of emerging market companies with the DJSI. (shrink)

In recent years, there has been a noticeable increase in organizational trends to hire irregular workers. This inclination, in a time of great flux and uncertainty, exacerbates human resource issues faced by firms. We argue that corporate social responsibility can be an important antecedent to improve the workplace attitudes of irregular workers and as a result reduce the negative impact on organizations of the increased use of an irregular workforce. Hence, we explore the relationship between perceived CSR and unfairness perception (...) and social relations of subcontracted workers with regular workers. We further attempt to explain these relationships through the mediating effects of psychological contract violation and organizational identity, respectively. Our analysis supports a negative effect of composite and external CSR on unfairness perception and positive effect on social relations. Additionally, our results support partial mediating roles of psychological contract violation and organizational identity. Theoretical and practical implications of the results are also discussed. (shrink)

ABSTRACT:This paper explores how corporations, through their Corporate Social Responsibility (CSR) activities, can help to effect positive developmental change. We use research on institutional change, deinstitutionalization, and institutional work to develop our central theoretical framework. This framework allows us to suggest more explicitly how CSR can potentially be mobilized as a purposive form of institutional work aimed at disrupting existing institutions in favor of positive change. We take the gender institution in the Arab Middle East as a case in point. (...) Our suggestion is that the current context of the Arab Spring, which combined with increasingly obvious endogenous institutional contradictions, has created a fertile ground for shaping change processes within the gender institution. Finally, we provide concrete examples of CSR initiatives that regional corporate actors can engage in for positive developmental change supporting women. (shrink)