We address the question of how and why corporate social responsibility (CSR) differs among countries and how and why it changes. Applying two schools of thought in institutional theory we conceptualize, first, the differences between CSR in the USA and Europe and, second, the recent rise of CSR in Europe. We also delineate the potential of our framework for application to other parts of the global economy.

https://papers.ssrn.com/sol3/Delivery.cfm/SSRN_ID978942_code791757.pdf?abstractid=978942&rulid=5283126&mirid=5

'Implicit' and 'Explicit' CSR: A Conceptual Framework for a Comparative Understanding of Corporate Social Responsibility

We address the question of how and why corporate social responsibility (CSR) differs among countries and how and why it changes. Applying two schools of thought in institutional theory, we conceptualize, first, the differences between CSR in the United States and Europe and, second, the recent rise of CSR in Europe. We also delineate the potential of our framework for application to other parts of the global economy.

/pdf/implicit-and-explicit-csr-a-conceptual-framework-for-a-38w9ne367r.pdf

“Implicit” and “Explicit” CSR: A Conceptual Framework for a Comparative Understanding of Corporate Social Responsibility

What We Know and Don't Know About Corporate Social Responsibility: A Review and Research Agenda

Scholars in management and economics widely share the assumption that business firms focus on profits only, while it is the task of the state system to provide public goods. In this view business firms are conceived of as economic actors, and governments and their state agencies are considered the only political actors. We suggest that, under the conditions of globalization, the strict division of labour between private business and nation-state governance does not hold any more. Many business firms have started to assume social and political responsibilities that go beyond legal requirements and fill the regulatory vacuum in global governance. Our review of the literature shows that there are a growing number of publications from various disciplines that propose a politicized concept of corporate social responsibility. We consider the implications of this new perspective for theorizing about the business firm, governance, and democracy.

https://www.springer.com/cda/content/document/cda_downloaddocument/9783834931795-c1.pdf?SGWID=0-0-45-1347110-p174325274

The New Political Role of Business in a Globalized World: A Review of a New Perspective on CSR and its Implications for the Firm, Governance, and Democracy

This study examines whether socially responsible firms behave differently from other firms in their financial reporting. Specifically, we question whether firms that exhibit corporate social responsibility (CSR) also behave in a responsible manner to constrain earnings management, thereby delivering more transparent and reliable financial information to investors as compared to firms that do not meet the same social criteria. We find that socially responsible firms are less likely (1) to manage earnings through discretionary accruals, (2) to manipulate real operating activities, and (3) to be the subject of SEC investigations, as evidenced by Accounting and Auditing Enforcement Releases against top executives. Our results are robust to (1) controlling for various incentives for CSR and earnings management, (2) considering various CSR dimensions and components, and (3) using alternative proxies for CSR and accruals quality. To the extent that we control for the potential effects of reputation and financial performance, our findings suggest that ethical concerns are likely to drive managers to produce high-quality financial reports.

https://www.researchgate.net/profile/Benson_Wier/publication/228133769_Is_Earnings_Quality_Associated_with_Corporate_Social_Responsibility/links/0deec530caf0ff0c3a000000.pdf

Is Earnings Quality Associated with Corporate Social Responsibility

The Corporate Social Responsibility (CSR) field presents not only a landscape of theories but also a proliferation of approaches, which are controversial, complex and unclear. This article tries to clarify the sit- uation, ''mapping the territory'' by classifying the main CSR theories and related approaches in four groups: (1) instrumental theories, in which the corporation is seen as only an instrument for wealth creation, and its social activities are only a means to achieve economic results; (2) political theories, which concern themselves with the power of corporations in society and a responsible use of this power in the political arena; (3) integrative theories, in which the corporation is focused on the satisfaction of social demands; and (4) ethical theories, based on ethical responsibilities of corporations to society. In practice, each CSR theory presents four dimensions related to profits, political performance, social demands and ethical values. The findings suggest the necessity to develop a new theory on the business and society relationship, which should integrate these four dimensions.

Corporate Social Responsibility Theories: Mapping the Territory

In spite of the thousands of articles on stakeholder theory, research on value creation has had a shorter history and narrower breadth. Only a few studies have researched value creation from stakeholder perspective looking at how stakeholders appropiate value or the processes or activities by which stakeholders create value. Consequently to date, certain questions still remain unanswered regarding how a firm should treat stakeholders in order to create value. Several questions arise specifically from the stakeholder's side: What does "value" mean for a particular group of stakeholders and how do firms create these different types of value? How do we measure the value created by stakeholders? The purpose of this paper is to answer these questions from Amartya Sen's Capability Approach, identifying and measuring stakeholders' capabilities in the value creation process. Stakeholder Capability is the adequate concept for understanding stakeholder welfare rather than the utility function concept. The empirical evidence comes from an in-depth case study of the company The Grobo Group and its stakeholders. According to the results, the following stakeholder capabilities are relevant to value creation: being employable, being autonomus, being innovative, being entreprenurial, being responsive, being socially integrated, being emphatic, being "green" and being healthy.

Beyond Stakeholder Utility Function: Stakeholder Capability in the Value Creation Process

As a contribution to the emerging field of corporate social responsibility (CSR) cognition, this article reports on the findings of an exploratory study that compares SME owner–managers’ mental models with regard to CSR and related concepts across six European countries (Belgium, Italy, Norway, France, UK, Spain). Utilising Repertory Grid Technique, we found that the SME owner–managers’ mental models show a few commonalities as well as a number of differences across the different country samples. We interpret those differences by linking individual cognition to macro-environmental variables, such as language, national traditions and dissemination mechanisms. The results of our exploratory study show that nationality matters but that classifications of countries as found in the comparative capitalism literature do not exactly mirror national differences in CSR cognition and that these classifications need further differentiation. The findings from our study raise questions on the universality of cognition of academic management concepts and warn that promotion of responsible business practice should not rely on the use of unmediated US American management terminology.

/pdf/csr-and-related-terms-in-sme-owner-managers-mental-models-in-10tvh9jf95.pdf

CSR and Related Terms in SME Owner–Managers’ Mental Models in Six European Countries: National Context Matters

In stakeholder theory, most research on cooperation has been focused on inter-organizational collaboration field centered at the dyadic level, excluding the relational or network data. Relational or network data are important as the firms do not simply respond to each stakeholder individually but to an interaction of influences from the entire stakeholder set. The purpose of this article is to analyze the cooperation process among the firm and its stakeholders by considering the relational data and to describe the role of the firm in such cooperation processes. The empirical evidence is provided by an inductive in-depth case study on the company ‘Gas-Nat’ and its stakeholders cooperating on the ‘natural gas pipeline program’ in Argentina. To do so, I combined both quantitative sociometric data and qualitative data from grounded theory and ethnographic observations. This research suggests a stakeholder cooperation model based on structural (stakeholder’s position) and relational factors (framing process). The results indicate that stakeholder cooperation is not just determined by stakeholder position, but they can vary depending on the political opportunity structure in the network and on the framing process. It was found that network structure may create a context for selective cooperation but doesn’t explicitly determine it which is different from the previous research in stakeholder network literature. The role of the firm in the cooperation process was found as a tertius iungens role which implies to join, unite, or connect, and it is different from the existing prominent network literature of tertius gaudens.

Cooperation in Stakeholder Networks: Firms’ ‘Tertius Iungens’ Role

Corporate Social Responsibility (CSR) has become a widely used term in business. Recent studies in this area show that the implementation of appropriate CSR practices can produce a positive impact on the performance of an organisation. Furthermore, it is believed that there is a link between innovation and CSR related practices. Even though information in the area of CSR is widely available there is little evidence of previous work that explicitly addresses the link between CSR and innovation, within the context of SMEs in particular. The purpose of this research is to define the nature of this link and to increase awareness of sustainable CSR practices in SMEs by illustrating that these practices can generate real value to the business. The work described in this paper has an exploratory nature. It presents the findings from a fieldwork study and the initial version of a model that aims to clarify the link between CSR and innovation.

Elisabet Garriga

Papers

Corporate Social Responsibility Theories: Mapping the Territory

Beyond Stakeholder Utility Function: Stakeholder Capability in the Value Creation Process

CSR and Related Terms in SME Owner–Managers’ Mental Models in Six European Countries: National Context Matters

Cooperation in Stakeholder Networks: Firms’ ‘Tertius Iungens’ Role

How can CSR practices lead to successful innovation in SMEs