Journal ArticleDOI
When Necessity Becomes a Virtue: The Effect of Product Market Competition on Corporate Social Responsibility
TLDR
In this article, the authors empirically study the link between competition and firms' social performance and find that firms in more competitive industries have better social ratings and that more product competition is associated with a larger within-industry CSR variance.Abstract:
We test whether Corporate Social Responsibility (CSR) is driven by strategic considerations by empirically studying the link between competition and firms' social performance. We find that firms in more competitive industries have better social ratings. In particular, we show that (i) different market concentration proxies are negatively related to widely used CSR measures; (ii) that an increase in competition due to higher import penetration leads to superior CSR performance; (iii) that firms in more competitive environments have a superior environmental performance, measured by firm pollution levels; and (iv) that more product competition is associated to a larger within-industry CSR variance. We interpret these results as evidence that CSR is strategically chosen.read more
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Posted Content
The Impact of Corporate Social Responsibility on Firm Value: The Role of Customer Awareness
TL;DR: It is shown that corporate social responsibility (CSR) and firm value are positively related for firms with high customer awareness, as proxied by advertising expenditures, and this evidence is consistent with the view that CSR activities can add value to the firm but only under certain conditions.
Journal ArticleDOI
The Impact of Corporate Social Responsibility on Firm Value: The Role of Customer Awareness
Henri Servaes,Ane Tamayo +1 more
TL;DR: In this article, the authors show that corporate social responsibility and firm value are positively related for firms with high customer awareness, as proxied by advertising expenditures, and that the effect of awareness on the CSR-value relation is reversed for companies with a poor prior reputation as corporate citizens.
Journal ArticleDOI
Corporate social responsibility in the banking industry: Motives and financial performance
Meng-Wen Wu,Chung-Hua Shen +1 more
TL;DR: In this article, the authors investigated the association between corporate social responsibility and financial performance and discussed the driving motives of banks to engage in CSR, concluding that strategic choices, altruism, and greenwashing are the primary motivations for banks to adopt CSR.
Journal ArticleDOI
Does product market competition foster corporate social responsibility? Evidence from trade liberalization
TL;DR: This article examined whether product market competition affects corporate social responsibility (CSR) and found that domestic companies respond to tariff reductions by increasing their engagement in CSR, which supports the view of CSR as a competitive strategy that allows companies to differentiate themselves from their foreign rivals.
References
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Book
Econometric Analysis of Cross Section and Panel Data
TL;DR: This is the essential companion to Jeffrey Wooldridge's widely-used graduate text Econometric Analysis of Cross Section and Panel Data (MIT Press, 2001).
Book
Capitalism, Socialism and Democracy
TL;DR: In this paper, the authors present a history of the first half of the 20th century, from 1875 to 1914, of the First World War and the Second World War.
Journal ArticleDOI
The Stakeholder Theory of the Corporation: Concepts, Evidence, and Implications
Thomas Donaldson,Lee E. Preston +1 more
TL;DR: In this article, the authors examine three aspects of the stakeholder theory and critique and integrate important contributions to the literature related to each, concluding that the three aspects are mutually supportive and that the normative base of the theory-which includes the modern theory of property rights-is fundamental.
Book ChapterDOI
The Social Responsibility of Business Is to Increase Its Profits
TL;DR: When I hear businessmen speak eloquently about the social responsibilities of business in a free-enterprise system, I am reminded of the wonderful line about the Frenchman who discovered at the age of 70 that he had been speaking prose all his life as mentioned in this paper.
Book
The Theory of Industrial Organization
TL;DR: The Theory of Industrial Organization as discussed by the authors is the first primary text to treat the new industrial organization at the advanced-undergraduate and graduate level Rigorously analytical and filled with exercises coded to indicate level of difficulty, it provides a unified and modern treatment of the field with accessible models that are simplified to highlight robust economic ideas.