Showing papers in "Business & Society in 2004"
TL;DR: The results of a survey of business professionals verified a relationship between perceptions of corporate citizenship and organizational commitment as mentioned in this paper, showing that the relationship between corporate citizenship was stronger among employees who believe highly in the importance of the social responsibility of businesses.
Abstract: The results of a survey of business professionals verified a relationship between perceptions of corporate citizenship and organizational commitment. More important, the results demonstrated that the relationship between corporate citizenship and organizational commitment was stronger among employees who believe highly in the importance of the social responsibility of businesses. The results also indicated that the ethical measure of corporate citizenship was a stronger predictor of organization commitment than the economic, legal, and discretionary measures. Last, the results revealed that the discretionary measure was more strongly associated with organizational commitment among female employees.
706 citations
TL;DR: This paper investigated financial correlates of corporate philanthropy in Fortune 1000 companies using structural equation modeling and found that cash flow (one of the most discretionary types of organizational slack) has a significant impact on a firm's cash donations to charitable causes, but monetary donations do not affect firm financial performance.
Abstract: This study investigates financial correlates of corporate philanthropy in Fortune 1000 companies using structural equation modeling. The results suggest that cash flow (one of the most discretionary types of organizational slack) has a significant impact on a firm’s cash donations to charitable causes, but monetary donations do not affect firm financial performance. These findings support the accepted view of corporate philanthropy as a discretionary social responsibility and the traditional thinking about firm giving in the business and society literature—that doing well enables doing good. Contrary to some contemporary thinking, the findings imply no significant effect on profits from corporate generosity.
469 citations
TL;DR: In this article, the authors provide preliminary empirical evidence that shareholders target companies because of their size as well as specific stakeholder-related practices, and that shareholders are selective in their targeting of companies, choosing the most visible (largest) companies and those whose practices raise specific issues of interest.
Abstract: This study provides preliminary empirical evidence that shareholder activists target companies because of their size as well as specific stakeholder-related practices. The data show that shareholder activists target companies with shareholder resolutions demanding changes in corporate behaviors for companies producing problematic products and where environmental concerns exist. Furthermore, companies in specific industries are targeted based on poor employee and community-related practices. Activists, that is, are selective in their targeting of companies, choosing the most visible (largest) companies and those whose practices raise specific issues of interest to society.
280 citations
TL;DR: In this article, the authors use institutional and internationalization theories as their basis, using a propositional model concerning global competitive/institutional pressures and their effects on corporate environmental performance, and conclude that firms make the choice to rationalize their collective environmental performance to the highest common denominator rather than the lowest.
Abstract: Stories of firms that exceed local compliance requirements in their environmental performance appear routinely. However, we have limited theoretical explanations of what propels these firms to exceed compliance. Our theory suggests that global competitive and institutional pressures lead multinational firms to develop highlevel, environmental management systems (EMS) that make them more competitive. For economic and other reasons, select firms make the choice to rationalize their collective environmental performance to the highest common denominator rather than the lowest. Regulations around the world differ widely and are a moving target in many settings. The need to comply with such myriad, shifting rules leads to firms creating EMS to help stay ahead of regulations worldwide. Using institutional and internationalization theories as our basis, we offer a propositional model concerning global competitive/institutional pressures and their effects on corporate environmental performance. We conclude the pap...
153 citations
TL;DR: In this paper, the authors examined issues such as how and why stakeholder groups form collaborative alliances when dealing with the target organization, what leaders of stakeholder organizations actually think about when collaborating to deal with the targets, and what outcomes result from the collaboration process.
Abstract: This work emerged from funded research examining collaboration among stakeholder organizations present at three U.S. nuclear weapons complex sites. The authors examine issues such as how and why stakeholder groups form collaborative alliances when dealing with the target organization, what leaders of stakeholder organizations actually think about when collaborating to deal with the target organization, and what outcomes result from the collaboration process. Drawing on stakeholder theory and research in interorganizational collaboration, the authors used an inductive, interview-based methodology to build a model of collaboration among nonprofit stakeholder groups. The model contributes to the descriptive stream of stakeholder theory and, in turn, has implications for the instrumental stream. The model also offers implications for future researchers, leaders of stakeholder alliances, and leaders of target organizations.
111 citations
TL;DR: In this article, the authors examined the impact of corporate social orientation on organizational attractiveness as it relates to information about an organization's handling of diversity issues using Aupperle's n...
Abstract: This study examines the impact of corporate social orientation on organizational attractiveness as it relates to information about an organization’s handling of diversity issues. Using Aupperle’s n...
77 citations
TL;DR: In this paper, the authors analyzed the allocation of departmental responsibility for the management of corporate charitable giving within a sample of large U.K. companies and found that the choice over the location of control is largely a function of the nature of the prevailing forms of stakeholder pressure experienced by the organization.
Abstract: Based on new survey evidence, this article analyzes the allocation of departmental responsibility for the management of corporate charitable giving within a sample of large U.K. companies. Several qualitatively different forms of management are identified, and a model of the determinants of the choice among these forms is estimated. The findings indicate that the allocation of internal responsibility for the management of corporate giving is significantly influenced by the extent and type of managerially perceived stakeholder pressures, organizational size, and industry characteristics. The evidence indicates that, given the firm is sufficiently large to delegate the management of its charitable contributions, the choice over the location of control is largely a function of the nature of the prevailing forms of stakeholder pressure experienced by the organization.
77 citations
TL;DR: Using resource dependency and institutional theories, this article created and test a model examining the relationships among senior management commitment, resource allocations, and the structure of public affairs departments, and found a positive relationship between senior managers commitment to the public affairs function and the level of human and monetary resources allocated to public affairs department.
Abstract: Using resource dependency and institutional theories, we create and test a model examining the relationships among senior management commitment, resource allocations, and the structure of public affairs departments. Using a large sample of U.S.-based firms, we find a positive relationship between senior management commitment to the public affairs function and the level of human and monetary resources allocated to the public affairs department. Furthermore, firms structure their public affairs responsibilities into three common activity sets: communications, collaborations, and local activities. These common activities are, in turn, positively associated with senior management commitment and resources allocated to the public affairs department.
65 citations
TL;DR: In this article, the concept of business school citizenship (BSC) has been introduced, and the authors have analyzed the citizenship activities of private firms, but what of their own institutions?
Abstract: Business and society scholars have analyzed the citizenship activities of private firms, but what of their own institutions? This article introduces the concept of business school citizenship (BSC)...
62 citations
TL;DR: In this article, the authors focus on the association between the beliefs of small business owners and managers and their support for the community and find that the belief in strengthening the community as an important strategy for business success is positively associated with the provision of non-risky and risky support.
Abstract: This article focuses on the association between the beliefs of small business owners and managers and their support for the community. Qualitative and quantitative data are utilized in an exploratory examination of two rationales for socially responsible behavior and of two kinds of support. Analyses show that the belief in strengthening the community as an important strategy for business success is positively associated with the provision of nonrisky and risky support. Risky support may threaten short-term business success. However, the belief that a good public image is important for business success is negatively or not significantly associated with either risky or nonrisky support for the community. Findings uphold the position that there are significant variations in enlightened self-interest rationales that are differentially associated with business social performance among small business operators and demonstrate the usefulness of disaggregating social performance into risky and nonrisky variations.
58 citations
TL;DR: In this paper, a process model for CPA is proposed to explain the long-term consequences of CPA vis-a-vis wider societal changes and by promoting longitudinal research strategies.
Abstract: Variance theories have dominated corporate political action (CPA) research because the pioneering works in the 1970s and 1980s. Process theories offer an entirely new perspective on CPA research, as they are able to explain processes across a number of levels of analysis and link actions to contexts. We add to the existing CPA literature by offering a process model that can be useful especially in historical and evolutionary analysis. Our model depicts CPA as a complex system in which a firm’s actions are affected by various factors across organizational, industry, and institutional levels of analysis. As political actions also influence these factors, the process is in essence systemic and path dependent. Our model supplements existing research by offering the possibility to explain the long-term consequences of CPA vis-a-vis wider societal changes and by promoting longitudinal research strategies. In addition to the theoretical model, we provide a historical analysis of the evolution of the Finnish pape...
TL;DR: This paper found that firms tended to adopt cooptative relationships with sociopolitical stakeholders and that firms cooperativeness toward sociopolitical stakeholder relations had little effect on financial performance but had positive effects on social performance.
Abstract: This study attempts to establish the importance of firm-level interactions with sociopolitical stakeholders in explaining firms prospects for survival. Institutional arguments are proposed to explain the effects of internal structures-both organizational and phenomenological-on firms sociopolitical relational strategies, whereas arguments grounded in the stakeholder view of the firm are advanced to explain effects of sociopolitical stakeholder relations on firm performance. Findings indicate that firms tended to adopt cooptative relationships with sociopolitical stakeholders. Furthermore, firms cooperativeness toward sociopolitical stakeholders had little effect on financial performance but, under some conditions, had positive effects on social performance. Implied is that markets may not be an effective governance mechanism to ensure firms alignment with democratic institutions in a plural society and that public policies may be needed to address these failures.
TL;DR: In this paper, the diffusion of environmentally preferable manufacturing technology (as distinct from pollution control technology) in small-and medium-sized firms is studied, and the goal of this paper is to better understand the diffusion.
Abstract: The goal of this article is to better understand the diffusion of environmentally preferable manufacturing technology (as distinct from pollution control technology) in small-and medium-sized firms...
TL;DR: In this paper, a theoretical framework for stakeholder management in an international and multicultural environment is proposed, through the use of an extensive qualitative case study analysis, a methodological approach was developed for analyzing stakeholder dialogue data for cultural differences.
Abstract: This study offers a theoretical framework for stakeholder management in an international and multicultural environment. Through the use of an extensive qualitative case study analysis, a methodological approach was developed for analyzing stakeholder dialogue data for cultural differences. Based on the empirical data it was possible to show specific ways in which cultural dimensions affect the international diffusion of stakeholder related policies. These findings contribute to the fields knowledge on internal stakeholder management implementation, by addressing the complexity of embedding stakeholder management principles and practices within various international subsidiaries of the same multinational organization.