Abstract
This study investigates the relationship between board composition and corporate social responsibility (CSR) performance. Specifically, we examine the impact of board composition (aspects like political experience, academic experience, overseas background, and gender diversity) on CSR performance. We test our hypotheses using data collected from 839 Chinese public firms during the period from 2008 to 2016. Applying generalized least squares regression, the study shows that the political experience, academic experience, and overseas background of the board members are positively related to the firm’s CSR performance. Moreover, we discuss the distinctive relationship between gender diversity and CSR performance in the context of Chinese culture. We extend the CSR literature by examining unique aspects of board composition in the Chinese context and offer fruitful implications for both scholars and practitioners.
Highlights
A growing number of studies have contended that achieving superior corporate social responsibility (CSR) performance can bring positive outcomes for firms such as improving financial performance [1], achieving competitive advantage [2], and enhancing employees’ organizational commitment [3]
The average score for CSR performance is 38.44 out of 100, which indicates that the majority of Chinese public firms are still in the early stages of achieving high CSR performance
The aim of this study was to investigate the relationship between board composition and CSR performance of Chinese firms
Summary
A growing number of studies have contended that achieving superior corporate social responsibility (CSR) performance can bring positive outcomes for firms such as improving financial performance [1], achieving competitive advantage [2], and enhancing employees’ organizational commitment [3]. The issue of CSR in developing countries has received increasing attention from both practitioners and academic scholars [6]. This trend can be attributed to serious environmental pollution as well as the frequent occurrences of unethical firm behaviors in these countries. CSR issues such as air pollution and worker exploitation have become prominent in China [10]. It has become essential for Chinese firms to improve their CSR performance as an effective response to increasing pressure from the government, customers, suppliers, and competitors [11]. Achieving superior CSR performance has become important for public Chinese firms
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