Ambition Versus Conscience, Does Corporate Social Responsibility Pay off? The Application of Matching Methods
David Bourget (Western Ontario)
David Chalmers (ANU, NYU)
Rafael De Clercq
Ezio Di Nucci
Jack Alan Reynolds
Learn more about PhilPapers
Journal of Business Ethics 88 (1):133 - 153 (2009)
In this article, we examine the effect of corporate social responsibility (CSR) on firms' financial performance (CSR-effect). Two competing hypotheses, social impact hypothesis and shift of focus hypothesis, are proposed to investigate this issue, where the former suggests that CSR has a positive relation with performance and the latter are opposite. In order to ensure the CSR-effect is not contaminated by other faeton or samples are randomly drawn, we employ four matching methods, Nearest, Caliper, Mahala and Mahala Caliper to match the samples of CSR (CSR-firms) and without CSR (NonCSR-firms) with similar characteristics. Although four methods yield slightly different results, firms engaging in CSR activities tend to obtain significantly higher values on pretax income to net sales and profit margin, and adopting CSR at the very least not deteriorate the performance of firms, making our con clusion favors the social impact hypothesis and against shift of focus hypothesis in Taiwan. Thus, ambition and conscience are not conflicting with each other
|Keywords||corporate social responsibility selection bias matching method|
|Categories||categorize this paper)|
Setup an account with your affiliations in order to access resources via your University's proxy server
Configure custom proxy (use this if your affiliation does not provide a proxy)
|Through your library|
References found in this work BETA
Archie B. Carroll (1999). Corporate Social Responsibility Evolution of a Definitional Construct. Business and Society 38 (3):268-295.
J. Griffin & Mahon John (1997). The Corporate Social Performance and Corporate Financial Performance Debate: 25 Years ofIncomparable ReseaarchJ. Business and Society 1:73-75.
Geoff Moore (2001). Corporate Social and Financial Performance: An Investigation in the U.K. Supermarket Industry. [REVIEW] Journal of Business Ethics 34 (3-4):299 - 315.
Charles J. Fombrun, Naomi A. Gardberg & Michael L. Barnett (2000). Opportunity Platforms and Safety Nets: Corporate Citizenship and Reputational Risk. Business and Society Review 105 (1):85-106.
Moses L. Pava & Joshua Krausz (1996). The Association Between Corporate Social-Responsibility and Financial Performance: The Paradox of Social Cost. [REVIEW] Journal of Business Ethics 15 (3):321 - 357.
Citations of this work BETA
Min-Dong Paul Lee (2011). Configuration of External Influences: The Combined Effects of Institutions and Stakeholders on Corporate Social Responsibility Strategies. [REVIEW] Journal of Business Ethics 102 (2):281-298.
Chieh-Peng Lin (2010). Modeling Corporate Citizenship, Organizational Trust, and Work Engagement Based on Attachment Theory. Journal of Business Ethics 94 (4):517 - 531.
Chieh-Peng Lin, Yehuda Baruch & Wei-Chi Shih (2012). Corporate Social Responsibility and Team Performance: The Mediating Role of Team Efficacy and Team Self-Esteem. [REVIEW] Journal of Business Ethics 108 (2):167-180.
Joyce Falkenberg & Petter Brunsæl (2011). Corporate Social Responsibility: A Strategic Advantage or a Strategic Necessity? [REVIEW] Journal of Business Ethics 99 (S1):9-16.
Weichieh Su, Mike W. Peng, Weiqiang Tan & Yan-Leung Cheung (forthcoming). The Signaling Effect of Corporate Social Responsibility in Emerging Economies. Journal of Business Ethics.
Similar books and articles
Wenjing Li & Ran Zhang (2010). Corporate Social Responsibility, Ownership Structure, and Political Interference: Evidence From China. [REVIEW] Journal of Business Ethics 96 (4):631 - 645.
Roy W. Smolens Jr & Nicolaas Tempelhof (2005). Cultural Perspectives of CSR Opportunities for German Firms in Poland. International Corporate Responsibility Series 2:259-283.
Kangtao Ye & Ran Zhang (2011). Do Lenders Value Corporate Social Responsibility? Evidence From China. Journal of Business Ethics 104 (2):197-206.
Belaid Rettab, Anis Ben Brik & Kamel Mellahi (2009). A Study of Management Perceptions of the Impact of Corporate Social Responsibility on Organisational Performance in Emerging Economies: The Case of Dubai. [REVIEW] Journal of Business Ethics 89 (3):371 - 390.
Liangrong Zu & Lina Song (2009). Determinants of Managerial Values on Corporate Social Responsibility: Evidence From China. [REVIEW] Journal of Business Ethics 88 (1):105 - 117.
Yan Leung Cheung, Weiqiang Tan, Hee-Joon Ahn & Zheng Zhang (2010). Does Corporate Social Responsibility Matter in Asian Emerging Markets? Journal of Business Ethics 92 (3):401 - 413.
Amir Barnea & Amir Rubin (2010). Corporate Social Responsibility as a Conflict Between Shareholders. Journal of Business Ethics 97 (1):71 - 86.
Junwei Shi, Haiyan Fu & Lijun Hu (2007). Social Responsibility, Social Capital, and Corporate Competitive Advantage in Transitional China. International Corporate Responsibility Series 3:377-394.
Chi-Shiun Lai, Chih-Jen Chiu, Chin-Fang Yang & Da-Chang Pai (2010). The Effects of Corporate Social Responsibility on Brand Performance: The Mediating Effect of Industrial Brand Equity and Corporate Reputation. [REVIEW] Journal of Business Ethics 95 (3):457 - 469.
Hoje Jo & Maretno A. Harjoto (2012). The Causal Effect of Corporate Governance on Corporate Social Responsibility. Journal of Business Ethics 106 (1):53-72.
Added to index2009-01-28
Total downloads33 ( #120,164 of 1,796,210 )
Recent downloads (6 months)9 ( #85,286 of 1,796,210 )
How can I increase my downloads?