Abstract

Corporate social responsibility (CSR) surveys repeatedly indicate significant consumer interest in products and services of businesses that follow virtuous business practices. Yet the existence of a causal relationship between company responsibility and its financial performance is a contested area, and clear evidence that CSR would create a competitive advantage is missing. As ethical evaluations are deeply embedded in responsibility, this discrepancy casts doubt on the genuineness of the integrity consumers express in surveys. A social desirability (SD) bias leading to fictitious responsibility—be it an intentional attempt to appear ethical or an unconscious tendency to exaggerate moral behaviour—is thus plausible and it threatens the reliability of research in the field. Despite this, a SD bias construct is mostly excluded from CSR marketing research, an omission likely due to a lack of appropriate measurement tools. The aim of this article is to narrow this gap and construct a SD bias variable that can be employed to control statistical analysis. Data collected using the Balanced Inventory of Desirable Responding is used to develop a new, continuous scale variable for SD bias. The results support the reliability of the new variable and the robustness of the development process. The subsequent ability to include SD bias in statistical models opens exciting opportunities to improve the value of consumer-oriented CSR surveys by highlighting the difference between fictitious and genuine consumer integrity and offering tools to quantify the severity of the former. This article is published as part of a collection on integrity and its counterfeits.

Highlights

  • Corporate social responsibility (CSR) has been highlighted as a potential source for strategic advantage in business (McWilliams and Siegel, 2001)

  • Company financial performance does not support these results to be fully realistic and the gap can be partly explained by social desirability bias that causes a part of consumers to express a fictitious positive attitude toward responsibility

  • To narrow the gap this study aimed to develop a new variable for measuring social desirability (SD) bias that allows controlling survey results for its impact

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Summary

Introduction

Corporate social responsibility (CSR) has been highlighted as a potential source for strategic advantage in business (McWilliams and Siegel, 2001). This article delves into why consumer interest in CSR does not transform into improved financial performance for responsible companies by analysing how survey participant attitudes may distort results by invoking insincere response behaviour. This link is evident in corporate decision-making related to responsible practices (Veríssimo and Lacerda, 2015), and when CSR reports are analysed (Sethi et al, 2015). For Veríssimo and Lacerda (2015), the term integrity signified moral or ethical behaviour, and their results suggested an indirect link between leader integrity and CSR practices. This definition echoes the early conceptualization of CSR by Carroll (1979), who positioned ethical responsibilities as one of the four fundamental building blocks in the field. Integrity is profoundly embedded in the concept of CSR and business in general, and questions on responsibility inevitably lead to ethical evaluations

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