Corporate Social Responsibility Research Articles

Using necessary condition analysis to complement multigroup analysis in partial least squares structural equation modeling

With the growing importance of partial least squares structural equation modeling (PLS-SEM) in marketing and consumer research, the use of Multigroup Analysis (MGA) for discovering observed heterogeneity (i.e., differences in relationships between variables for subgroups of the population under investigation) and deriving relevant operational results has become of great interest. However, these analyses are based exclusively on an additive sufficiency logic and do not permit researchers to test and validate hypotheses drawing on a necessity logic, the latter having been the focus of recent significant developments. Addressing this concern, the present paper offers guidelines for combining the use of Necessary Condition Analysis (NCA) and MGA performed with PLS-SEM. Taken together, these analyses can explore and improve knowledge about predefined subgroups of interest, enhance the understanding of relationships, refine the role of specific key antecedents by discovering meaningful necessary conditions, and therewith, contribute to theorizing. An empirical illustration drawing on the relationship between corporate social responsibility and customer loyalty is developed in a step-by-step fashion to provide marketing researchers with the guidelines to conduct the MGA and NCA, and finally report and interpret the results in accordance with both the sufficiency and the necessity logics. This integrative procedure contributes to the advancement of PLS-SEM applications. By delivering a better understanding of the group-specific results of a PLS-SEM–based MGA in a necessity logic, it promotes the complementary usage of sufficiency and necessity logics and therefore helps researchers to uncover novel theoretical and practical results when evaluating the data.

From Deception to Redemption: Analyzing Volkswagen’s Reputational Journey Post-Dieselgate

The Volkswagen emissions scandal, or "Dieselgate," inflicted a severe blow to the company's reputation and financial standing. This research paper explores Volkswagen's journey from deception to redemption, analyzing its strategies to rebuild trust and restore its brand image. The study employs a mixed-method approach, incorporating qualitative analysis of media coverage and corporate communications alongside a quantitative assessment of stock prices and consumer sentiment data. Findings reveal a complex reputational trajectory, starting with initial denial, progressing to a reluctant acceptance of responsibility, and culminating in proactive measures to regain stakeholder confidence. While Volkswagen has made notable strides in its recovery, the lingering impact of the scandal underscores the formidable challenge of repairing a tarnished reputation. In conclusion, this research provides valuable insights into crisis management, corporate social responsibility, and the dynamics of reputational recovery in the digital age, highlighting the importance of swift action, transparency, and a genuine commitment to change.

Endogenous choice of environmental corporate social responsibility in a mixed duopoly

AbstractThis paper constructs green managerial delegation contracts in a mixed duopoly wherein either or both public and private firms may adopt environmental corporate social responsibility (ECSR). We demonstrate that the public (private) firm owner positively (negatively) adopts ECSR incentives under Cournot, whereas the incentives are reversed under Bertrand. We also examine an endogenous ECSR choice game and discover that unilateral ECSR adopted by a public firm appears under Cournot, whereas bilateral ECSR where both firms adopt ECSR incentives appears under Bertrand. Our findings show that coordination of competition mode may be harmful to society if both marginal damage and product substitutability are sufficiently high.

Sustainability Reporting Under GRI Standards: An Empirical Study of Indian Companies

The accumulation of industrial waste at the global level is distressing, as the World Bank estimated in 2016 that the growth of solid waste will hit 3.4 billion tonnes by 2050. India faces similar issues related to inefficient waste management and enfeebled waste reporting practices as the Energy and Resources Institute (TERI) estimated that more than 62 million tons of industrial waste are generated annually, of which around 12 million tons are treated before disposal, 31 million tons are diverted towards landfills, and the majority is unprocessed and unaccounted for. In this response, this study analyses the waste reporting practices adopted by the top corporate social responsibilities ranked Indian companies with a motivation to align the Indian reporting pattern with the Global Reporting Initiative (GRI). The study finds inconsistent, unstandardized, and unstructured waste reporting practices when analysed under the GRI across the selected Indian companies concerning massive waste generation per turnover and earnings per share. The findings suggest the need for integrated compliance towards reporting standards to control any negative impact on the environment, as shown through waste intensity ratios. The findings have largely contributed towards understanding the anomalies between the Indian corporate reporting practices and the global reporting under GRI.

Examining the link between CSR perceptions and employee advocacy through organizational justice: Can corporate hypocrisy mitigate?

AbstractThis research aims to understand the relationship between employees' perceptions of corporate social responsibility and employee advocacy behavior through organizational justice. Furthermore, it explores the moderating effect of corporate hypocrisy in the relationship of organizational justice with employee advocacy behavior. Grounded in signaling and cognitive inconsistency theories, the proposed hypotheses were tested on data collected from 360 employees from the hospitality sector. The study followed a time‐lagged approach. In phase 1, the data were collected for demographic variables, corporate social responsibility perceptions, and corporate hypocrisy. In the second phase, data were collected for organizational justice and employee advocacy behavior, using separate survey links. Smart PLS 4.0 was applied to test the relationships proposed in the research model. The study found that employees who positively perceive firms' corporate social responsibility will engage in advocacy behavior. The results suggest a significant mediating effect of procedural justice in the relationship between corporate social responsibility and employee advocacy behavior. However, the mediating effect of distributive justice in this relationship could not be established. Further, the study found evidence that corporate hypocrisy moderates the indirect relationship between corporate social responsibility perceptions and advocacy behavior via procedural justice. Also, to the best of our knowledge, literature has no empirical evidence of the moderating effect of corporate hypocrisy in the indirect association between the perception of corporate social responsibility and employee advocacy behavior via organizational justice. It provides several important implications for advancing theoretical knowledge and practical insights for hospitality industry practitioners.

PENGARUH TATA KELOLA PERUSAHAAN, KUALITAS TANGGUNG JAWAB SOSIAL DAN KINERJA KEUANGAN TERHADAP PENGHINDARAN PAJAK

This study aims to determine the influence of corporate governance, social responsibility and financial performance on tax avoidance. The population in this study is Manufacturing Companies in the consumer goods industry sector listed on the Indonesia Stock Exchange for the 2019-2023 period. In this study, the data used is secondary data, the sample was selected using the method Purposive Sampling and produced as many as 31 samples. Data analysis in the study used multiple regression analysis using e-views software version 10. The results of the study show that independent commissioners do not have a significant effect on tax avoidance, the audit committee has a significant effect on tax avoidance, corporate social responsibility does not have a significant effect on tax avoidance, financial performance has a significant effect on tax avoidance, and governance, social responsibility and financial performance simultaneously affect tax avoidance.

PENGARUH CORPORATE SOCIAL RESPONSIBILITY, CAPITAL INTENSITY DAN INTENSITAS PERSAINGAN TERHADAP AGRESIVITAS PAJAK

This research aims to provide empirical evidence of the influence of Corporate Social Responsibility, Capital Intensity, and Competition Intensity on Tax Aggressiveness for manufacturing companies listed on the BEI in 2018-2022. This research applies quantitative research methodology with secondary data as the data type. Purposive sampling was applied by researchers to be able to select samples for this study. The total data obtained was 40 data. The data analysis technique uses multiple linear regression analysis. Data processing using e-views 12. The results of this research show that Corporate Social Responsibility, Capital Intensity, and Competition Intensity simultaneously influence Tax Aggressiveness. The partial research results show that Capital Intensity and Competition Intensity have an effect on Tax Aggressiveness, while partial Corporate Social Responsibility has no effect on Tax Aggressiveness.

Sustainability Management Accounting in Urban Development: A Case Study of an Egyptian State-Owned Enterprise

The public sector literature on sustainability management accounting (SMA) has grown significantly in recent years, with numerous theoretical and empirical studies examining the purported link between management accounting and corporate sustainability within organisations. However, despite this surge, prior studies have largely confined their analytical scope to traditional SMA issues, such as corporate social, environmental, and governance responsibilities. Their analyses have predominantly concentrated on largely investigated elements such as situational linkages, transformational dynamics, agency issues, resistance, and conflicts. This study aims to address these limitations by examining corporate SMA systems within the burgeoning field of urban development. It utilises institutional theory and a case study from Egypt, a developing country, to explore how urban development could impact adopting a corporate SMA system in politically sensitive state-owned enterprises (SOEs). Contrary to existing literature, the findings indicate that urban development has created financial pressures for national governments, which have used these as a political instrument to implement a corporate SMA system within related SOEs. Additionally, the findings highlight the significant role of management accountants as central figures in integrating and standardising a corporate SMA system into the daily practices of current executives through advanced enterprise resource planning (ERP) technology. Moreover, as a development of institutional theory, the findings demonstrate the influence of corporate SMA reports on the decision-making processes of national governments in the context of urban development.

Domestic vs. Foreign Institutional Investors: Who Improves ESG and Value of Chinese Companies?

Recent years have seen the influence of both institutional investors and corporate social responsibility strengthen in the Chinese capital market. However, research on the impact of these market changes on corporate activities and values has been insufficient. To address this gap, this study analyzes the impact of foreign and domestic institutional investors who invest in Chinese A-share listed companies on corporate value through environmental, social, and governance (ESG) policies. The results of the analysis are as follows: First, the shareholding of both foreign institutional investors (FIIs) and domestic institutional investors (DIIs) enhances corporate value. Second, the shareholding of FIIs strengthens the company’s ESG, while that of DIIs does not significantly affect it. Third, ESG has a positive impact on corporate value. Fourth, ESG partially mediates the positive relationship between the shareholding of FIIs and corporate value. The research findings provide academic implications for the causal relationship between corporate governance, sustainable management, and performance, as well as practical implications for the development of the Chinese capital market and corporate sustainability.

Forging Sustainable Development: Exploring the Impact of Green Initiatives and Corporate Social Responsibility

In today's industrial landscape, businesses are increasingly recognizing the importance of integrating environmentally sustainable strategies to maintain competitiveness considering escalating environmental concerns. This study investigates the relationship between green practices, corporate social responsibility (CSR), managerial support, and sustainable business performance within Pakistan's service sector. Grounded in the resource-based view and stakeholder theory, the research employs a quantitative approach, surveying 506 participants across managerial levels from service sector. The findings underscore a positive correlation between green practices, CSR adherence, and sustainable performance. Notably, managerial support plays a pivotal role in translating green initiatives and CSR commitments into tangible sustainable outcomes. The widespread adoption of eco-friendly technologies within the service sector signifies a broader industry-wide shift towards sustainability. This study contributes valuable insights for academia, policymakers, industry professionals, and organizational leaders, shedding light on effective strategies for sustainable business practices. By aligning green initiatives with CSR objectives and leveraging managerial support, enterprises can position themselves as leaders in sustainable performance, thereby fostering value creation while addressing environmental challenges.

Emissions trading, corporate social responsibility, and innovation quality -based on the perspective of formal and informal institutions

ABSTRACT High-quality green innovation plays a significant strategic support role in high-quality economic developments. Drawing upon institutional theory and property rights theory, this paper investigates the drivers of green innovation quality (GIQ) from the perspectives of formal and informal institutions. Emissions Trading Schemes (ETS) represent formal institutions designed and implemented by governments, while Corporate Social Responsibility (CSR) represents informal institutions. The study finds that ETS significantly enhances GIQ. Moreover, CSR significantly and positively moderated the relationship between ETS and GIQ, indicating that the synergistic interaction between formal and informal institutions stimulates superior innovation quality. This paper contributes to the understanding of the relationship among government regulations, corporate ethics and responsibility, and innovation quality. This paper offers recommendations for environmental policy and management strategies.

Artificial intelligence and machine learning in corporate governance: A bibliometric analysis

BACKGROUND: The study deeply explores the thriving domains of artificial intelligence (AI) and machine learning (ML) in corporate governance. OBJECTIVE: The study aims to thoroughly examine the rapidly developing fields of artificial intelligence (AI) and machine learning (ML) in corporate governance. METHODS: After completing an in-depth analysis of 229 research studies published between 2008 and 2023 (using software tools such as RStudio, VOSviewer, and Excel),), the study reveals a notable increase in publications since 2022. Corporate social responsibility (CSR), environmental, social, and governance (ESG) issues, executive remuneration, and sustainability are all considered as important key focal areas of focus. Scholars in this field are notably at the forefront from Taiwan, the United States, and China. IMPLICATIONS: However, the study stress the necessity for further researches to estimate the efficacy of different AI and ML methodologies. This may guide evidence-based governance practices various industries and geographical areas.

Pengaruh Corporate Social Responsibility (CSR) Terhadap Kinerja Keuangan Pada Perusahaan Sektor Infrastruktur Yang Terdaftar Di Bursa Efek Indonesia Tahun 2020-2022

This study aims to examine the influence of company size and asset structure on capital structure in food and beverage This research is a quantitative research with the type of data source being secondary data obtained from the company's financial statements and annual reports. The analysis method used is multiple linear regression using SPSS version 26 software. Data testing was carried out using descriptive statistical analysis, classical assumption test, simple linear regression analysis test, determination coefficient and t-test. The independent variable used in this study is Corporate Social Responsibility (CSR) while the dependent variable is financial performance proxied by Return On Asset (ROA). The results of the study show that Corporate Social Responsibility (CSR) has a positive and significant effect on financial performance. In addition, based on the determination coefficient (R2) test, Corporate Social Responsibility (CSR) was able to explain its influence on financial performance by 12.2% of the dependent variables. Based on the results of the study, it was concluded that financial performance measured using the return on asset ratio had a positive and significant effect on Corporate Social Responsibility (CSR). Suggestions that can be given for future research are to add variables that are not included in this study that are considered to affect Corporate Social Responsibility (CSR) and increase the research period to get accurate results.

The Perception of Corporate Social Responsibility and Employee Flourishing: Cultural Diversity as an Underlying Mechanism

Corporate social responsibility (CSR) has been a field of interest over the past couple of decades. The challenges posed by rapidly evolving technology and frequently changing market conditions along with well-informed customers, have compelled firms to pay greater attention to their stakeholders and address social, economic, and environmental issues. This heightened focus on CSR reflects a growing perception that success transcends financial gains and encompasses broader benefits to communities and society. Moreover, there is growing recognition of the impact of internal CSR practices, which not only enhance a firm’s reputation, assets, and customer retention but also significantly influence the well-being, engagement, and satisfaction of their workforce. Currently, for some firms, particularly multinational corporations (MNCs), promoting internal CSR practices becomes particularly complex amidst diverse workforces encompassing varied languages and cultures. This study, thus, explores the relationship between perceived CSR practices and workplace outcomes, including the mediating role of cultural diversity. Based on data collected from 211 employees in 19 different countries, the results reveal that perceived CSR effects on employee well-being, satisfaction, and engagement are driven by diversified cultural settings. Accordingly, these findings reinforce the urgency to delve deeper into the implications of cultural diversity within CSR frameworks.

Implementasi Dana Corporate Social Responsibility (CSR) terhadap Kesejahteraan Masyarakat dan Kelestarian Lingkungan

PT. Bumi Daya Agrotamas aims to put pressure on the world of work to be better in carrying out all its production activities so that companies not only think about achieving maximum financial profits but also participate in preserving the environment around which the company is established... these impacts can be in the form of beneficial impacts and detrimental impacts. For companies, the various impacts are that companies oriented towards the economic aspect (profit) are also required to have a responsibility, both to the social aspect and to the environmental aspect. Based on the research background above, the author is interested in conducting research with the title "implementation of PT corporate social responsibility (CSR) funds. Bumi Daya Agrotamas towards community welfare and environmental sustainability. This research was conducted to analyze the implementation of PT's corporate social responsibility (CSR) funds. Bumi Daya Agrotamas towards community welfare and environmental sustainability. This research uses qualitative with descriptive research type, data collection techniques are observation, interviews and documentation. The data obtained was analyzed using a qualitative analysis model. The results of the research show that the implementation of corporate social responsibility (CSR) funds impacts community welfare and environmental sustainability in PT case study. Bumi Daya Agrotamaskota Subulussalam. There are still many things lacking in being able to provide maximum results for the community and good cooperation between the company and the assisted community so there is still something that needs to be improved by the PT. Bumi Daya Agrotamas so that in the future there will be no social jealousy towards the PT and also here, openness is needed by the PT. Bumi Daya Agrotamas to the community so that the closeness becomes more positive and nothing undesirable happens in the future. Furthermore, corporate social responsibility (CSR) is a form of company activity in managing business to produce positive actions in the community to create a quality community.

The demand for reporting environmental sustainability and social responsibility: insight from Saudi Arabia corporate reports

Purpose In countries where disclosing and reporting matters on sustainability are optional, what are the drivers promoting voluntarily disclosing information related to social responsibility and environmental sustainability corporate environmental and social responsibility? Exploring drivers promoting the demand for voluntarily disclosing information related to social responsibility and environmental sustainability in Saudi Arabia, where regulatory and professional bodies have not mandated information on corporate environmental and social responsibility, motivates this study. Design/methodology/approach A total of 48 individuals voluntarily participated in the survey. Findings Findings reveal that creating a better social, ethical and mental image, building a public relations image for the company, improving stakeholder trust in the company, signaling to investors the company’s care for the earth to meet the ethical motivation of stakeholders, enhancing corporate social responsibility awareness and exhibiting surpasses the mere generation of profits, all derive such disclosure. Such disclosure also signifies the firm’s value as well as improves the overall firm’s economic performance. Practical implications Regulatory and professional bodies must issue and adopt reporting models for entities, principally private companies, whether publicly traded or not, of the content. Their reports should aim to inform users and stakeholders about fulfilling the social and environmental responsibilities of entities toward society and its members. Social implications Out of the drivers for the demand, perceptions of elders toward meeting ethical motivation of senior management significantly differ from that of younger. Originality/value Few studies have been attempted on drivers of the demand for reporting environmental sustainability and social responsibility in an environment where such reporting is not mandated. This study offers insight from Saudi Arabian corporate reports.

Study on the role of the Civil Code in promoting the legalization of corporate social responsibility

The promulgation and implementation of the Civil Code of the People's Republic of China provides important legal guarantees for corporate social responsibility (CSR), marking a key process in the transformation of corporate responsibility from moral constraints to legal norms. This paper takes the Civil Code as the core to explore its role in promoting the legalization of corporate social responsibility. First, by analyzing the provisions related to corporate responsibility in the Civil Code, this paper reveals its requirements for the standardization of corporate social responsibility. Secondly, this paper points out that the Civil Code promotes enterprises from self-discipline to external discipline through institutional innovation and responsibility balance mechanism, and promotes the balance between economic development and social interests of enterprises. At the same time, this paper analyzes the impact of the Civil Code on corporate social responsibility and the challenges faced by enterprises in the process of implementation, such as the lack of awareness of legal obligations by enterprises and the legal risks when fulfilling their responsibilities, etc. Finally, this paper puts forward countermeasures and suggestions for further improving the legalization of corporate social responsibility, including strengthening legal supporting measures, improving corporate responsibility awareness and government-driven policy support, in order to provide theoretical support and practical reference for promoting the legalization of corporate social responsibility in my country.

Corporate Social Responsibility Effect On Company Value With Financial Performance As A Mediation Variable In Companies In Food And Beverage, Transportation, Accommodation Sector Listed On Idx 2021-2022

Technology can play an important role for a company in opening up new business opportunities and expanding sales coverage. The accounting information system is a process of capturing, storing, processing and communicating information according to professional needs. The use of financial reports alone is not enough to become the basis of information, additional information is needed in determining a strategy to achieve company goals so that many companies are starting to disclose non-financial reports. non-financial reports are one of the important factors in determining which strategy to choose to carry out the objectives that have been set and linked to financial information in designing a performance measurement system. The purpose of this study is to see the effect of Corporate Social Responsibility on Firm Value with Financial Performance as a Moderation Variable. This research for the 2021 and 2022 periods uses secondary data obtained through the company's personal website and the Indonesia Stock Exchange (IDX). The sampling method used was a purposive sample and obtained as many as 39 companies as a sample. Data were analyzed by using PLS SEM software SmartPLS version 4. The research results obtained are that Economic Performance (Profit) has an effect on Firm Value, but Environmental Performance (Planet) and Social Performance (People) has no effect on Firm Value. Financial Performance cannot mediate Economic Performance (Profit), Environmental Performance (Planet), and Social Performance (People) on Firm Value.

Model Pengelolaan Dana Corporate Social Responsibility (CSR) untuk Keberlanjutan Lingkungan: Kajian Program Sedekah Sampah Digital PT. Indocement Tunggal Prakarsa Tbk

PT Indocement Tunggal Prakarsa Tbk, a leading producer in Indonesia, has implemented a new waste management program as part of its corporate social responsibility (CSR) and environmental sustainability efforts. This program utilizes a unique waste management model and a social-based waste management concept. The study employs a mixed-method approach, including both quantitative and qualitative methods, with data collected through questionnaires, focus group discussions, and field observations. The waste management system is digital, using the scrum method, making it easier to adapt to changing user needs. The digital platform facilitates waste management, distribution, and efficiency, ensuring transparency in waste management. The program also helps the company report total waste and waste management performance in real-time.

Navigating the Intersection of Input Tax Credit Restrictions and Corporate Social Responsibility in India

CSR is an important dimension of ethical and sustainable business practices, recent restrictions in the input tax credit under the GST regime pose important issues in the implementation of CSR. The article estimates the financial, operational, and reputational implications of the restrictions on ITC for the CSRs, calling on firms to adapt and innovate. They are strategies crucial for dealing with challenges concerning financial planning, prioritizing of only those initiatives with the best impact, collaboration, and advocacy can be done. Several strategic approaches can be applied by business to operate with the ITC provision on restrictions for CSR spending such as, enhanced financial planning, collaborative efforts, Innovating on CSR Approaches, Advocacy and Policy Engagement, Stakeholder Engagement and Communication, Business Strategy Integration with CSR, Diversification of Alternative Revenue Streams. Despite constraints in the regulatory environment, the commitment to CSR is very high, and it therefore brings about a positive influence on Indian society and sustainable development. The finding demonstrates that business implementing strategies for navigating ITC restrictions not only mitigate the financial strain due to ITC restrictions but also enhance operational efficacy to maintain competitive edge, improve financial health and strategic position.