Search results

The extant literature provides much-needed support to understand marketing accountability and how marketing actions are related to financial performance (FP). However, we have limited understanding of the relationships between marketing actions and firms' social performance (SP) and environmental performance (EP). Understanding these links is critical to enhancing sustainable FP, SP, and EP. Moreover, the literature provides limited understanding of the measures by which SP and EP may be operationalized, or the data necessary to reach a conclusion. This study bridges these gaps by extensively reviewing the extant literature to offer a set of measures and data sources to operationalize SP and EP, and empirically show their relationships with marketing actions. We find that greenhouse gas (GHG) emission, environmental disclosure score, waste reduction, energy consumption, and recycling are prominent measures of EP, and that social disclosure score, philanthropy or community spending, and diversity of gender and race are prominent measures of SP. The KLD, ASSET4, and Bloomberg are prominent sources of data that can be used to operationalize SP, to which CDP may be added for EP. We also show that marketing actions positively affect EP and SP. This study contributes to the extant literature on SP and EP by identifying measures and data sources and linking marketing actions to both performance types. It contributes to policy development by identifying the importance of EP and SP and how marketing actions can help achieve such performance.

Over the last several decades, businesses have faced mounting pressures from diverse stakeholders to alter their corporate operations to become more socially and environmentally responsible. In turn, many firms appear to have responded by implementing more sustainable practices — measuring, documenting, and publishing annual CSR or sustainability reports to showcase how they are addressing important issues in this area, including: resource stewardship, waste management, greenhouse gas emission reductions, fair and safe labor practices, amongst other stakeholder concerns. And yet, research in this domain has not yet systematically examined whether businesses have, on the whole, changed their practices in tandem with the important changes in its institutional context over time. Have corporate CSR initiatives, in fact, been growing over the last 25 years or has the increased attention to CSR actually been much ado about nothing? In this chapter, we review the empirical literature on CSR to uncover that common measures of CSR such as the KLD do not support the concept that CSR practices have increased substantively over the last 25 years. We supplement this historical review by modeling the growth curves of CSR implementation in practice and find that the pace of positive change has indeed been glacial. More alarmingly, we also look at corporate social irresponsibility (CSiR) and find that, contrary to expectations, businesses have become more, not less, irresponsible during this same time period. Implications of these findings for theory are presented as are suggestions for future research in this domain.

We contribute to the emerging literature on strategic corporate social responsibility (CSR) and its antecedents by undertaking a systematic analysis of the effect of rivalry on firm and industry CSR. We deal with the codetermination of competition and CSR by using instrumental variables in the firm-level analysis and by modeling it directly in the industry-level analysis. We find that higher intensity of rivalry and CSR of competitors increase firm CSR, ceteris paribus; however, in a more dynamic setting when firms can change their production output, more competition in fact decreases aggregate industry CSR. While seemingly contradictory, these findings suggest interesting implications for both managers and public policy makers.

The purpose of this paper is to investigate investors’ perception of corporate social responsibility (CSR) and its risk-mitigating effects on firm-level innovation in Japan from 2006 to 2017. The authors examine the influence of CSR intensity on firm-specific risks, focusing on the risk-moderating effect of CSR on innovation.

The authors conducted a simple slope analysis and panel data regressions with input and output innovation measures and idiosyncratic risk based on an asset-pricing model.

The results demonstrate that CSR intensity not only reduces firm-specific risk directly but also indirectly by negatively moderating the relationship between firm-level innovation and idiosyncratic risk.

Signaling trust to capital markets, CSR engagements in the manufacturing industry are clearly important for innovative firms with active research and development undertakings.

Corporate managers should further expand their efforts to make non-financial disclosures available, considering the interactions between CSR intensity and research and development financial risk.

In the context of Japanese firms, this study demonstrates the interaction between CSR practices and innovation activities from the perspective of long-term management of corporate sustainability.

This study aims to revisit the relative importance of industry and firm level effects on corporate social responsibility (CSR), with the objective of clarifying their diverse effects on CSR.

The authors suggest that CSR is a shared strategic asset based on insights from the industrial organization and institutional schools, taking into account that there are determinants of CSR that may be operating inside the corporation according to the resource‐based view. They employ a variance components method and a sample compiled of 495 US firms from 19 industries using five‐year periods.

The study indicates that firms retain considerable self‐determinism regarding their CSR trajectories, but the latter also represent a shared strategic asset. Thus, these results combined imply that CSR needs to be examined on both levels simultaneously.

The results of this study can provide non‐governmental organizations and governmental and regulatory institutions with an indicator that explains the performance variation levels of each dimension of CSR, and can help improve tools designed to promote it. Furthermore, the authors' research provides managers with evidence of CSR variability among CSR dimensions that could help in strategic decision‐making. In addition this research can provide assistance and give perspective regarding selection criteria for investment portfolios in responsible investment funds.

The industry effect is an important factor to consider in CSR intensity. The variation in firm and industry effects on CSR strategies has not been extensively studied; hence, explaining the sources of performance differences regarding industry and firm factors is a key theoretical and empirical issue in the field of management.

The purpose of this paper is to develop a theoretical model for evaluating the international competitiveness of small and medium multinational enterprises (SMNEs) located in Latin American developing countries.

Industrial economics and international business theories were linked for establishing the firm international competitiveness model. Literature on each variable determining of firm competitiveness is reviewed and the linkages between them are discussed.

The use of a global strategy is one of the most important factors to compete abroad. Domestic environment and national industry might help its use. Human resources background of staff working within the SMNEs affects the global strategy as well.

SMNEs should be more taken into account as they are the main generators of the economic development of countries and, consequently, foster the progress of underdeveloped countries through creating jobs.

This study is one of the pioneers in developed a model for evaluating the international competitiveness of firms based on developing countries of Latin America. Researchers and professionals will count on a theoretical tool for evaluating the Latin American international competitiveness in global contexts. Additionally we include the full survey for testing the competitiveness model.

The aim of this paper is to develop a new analysis method, named dynamic extreme bounds analysis (DEBA), and to determine decisive determinants of foreign direct investment (FDI) by using this new method.

In econometrics, the extreme bounds analysis (EBA) method is a convincing way of examining the strength of independent variables. However, the results obtained when using the EBA method contain little information, since each variable is only either strong or fragile, and some strong variables may be omitted because their significance could be undermined by just one unreasonable regression. Therefore, in order to overcome these limitations, this paper proposes DEBA, a new analysis method.

The authors employ the DEBA method to determine the factors which impact FDI in 86 countries. The authors note that in developing countries, the level of previous FDI, a high degree of openness, large market size and development of infrastructure help to attract FDI, whereas the development of domestic industry deters it. In developed countries, FDI is lured by the level of previous FDI stock, a high degree of openness, large market size, macroeconomic instability and availability of energy.

Although this study is expected to contribute a new methodological approach and define the strong determinants of FDI, the study is not without limitations, such as the unavailability of data. Further studies should improve the DEBA method by developing DEBA packages for use in popular statistical software, enhancing methods for other types of data and more accurately determining the estimation order of variables. In addition, further research should expand the study's FDI model, providing more potential variables for an in-depth overview of this model.

This study is to contribute a new methodological approach (DEBA method) for data analysis and defining of strong determinants of FDI. The study findings are useful for governments, policy-makers and economists in formulating more attractive FDI policies.

We examine gender diversity in Spanish multinational companies to test whether their policies in the different countries (i.e. institutional contexts) in which they operate (mainly Latin American countries) are consistent with institutional norms.

After reviewing the relevant literature, we compare longitudinal gender employment data for some of the largest Spanish multinationals. We then extend the analysis to different organizational levels as well as cross-sectionally, to their Latin American subsidiaries.

While not universal, the largest Spanish multinationals show progress in their compliance of gender recommendations within their national borders, in spite of the voluntary character of the relevant legislation. In addition, their subsidiaries sometimes exhibit better gender proportions than the national averages in Latin American countries.

The study’s emphasis on some of the largest Spanish multinational corporations cannot be considered representative of all Spanish companies or of subsidiaries in those host countries.

This study may be of use for politicians, boards of directors, and other decision makers that need to be factually aware of the way these firms manage workplace diversity.

This study shows that some of the largest Spanish firms are slowly exhibiting responsible behavior with respect to female employment, both longitudinally and in their subsidiaries. The fact that this is not a consistent tendency lends support to the argument that existing legislation should have stronger normative pressures, such as fines and penalties for noncompliance.

This paper reports on an empirical study based on 103 Spanish companies which have conducted foreign direct investment (FDI). Built on the eclectic paradigm, it aims at finding out the main ownership, internalization and location factors which affect such internationalization processes. The results confirm the determinant importance of factors such as the existence of specific assets of an intangible nature. They also show that transaction costs and other questions related to knowledge transfer and accumulation are relevant in the choice of FDI over alternative forms of internationalization. Current and future markets and their expected growth are the key factors for selecting a destination. In general, this paper provides evidence that what is known about determinants of FDI seems to extend to Spanish multinationals today.