We investigate the association between a wide range of community-level environmental, social, and governance (ESG) outcomes and the credit risk of U.S. municipal finance fixed-income securities. We develop a novel dataset of multiple ESG outcomes for U.S. counties and connect it to a 2001-2020 panel of municipal bonds issued within those counties. Overall, we find supportive evidence that collective increases in community-level ESG factors (i.e., ESG outcomes) are associated with reductions in credit risk for U.S. municipal (...) finance instruments over time. We theorize that these associations arise from variations in investor perceptions and manifested changes in fiscal health over time as a function of changing ESG outcomes. Post hoc analyses leveraging quasi-exogenous shocks to uncertainty, as well as connecting ESG outcomes to various measures of fiscal health at the county-year level, and credit ratings at the bond-year level, help validate this theory. Our research suggests that even socially agnostic investors should investigate the environmental and social performance of a municipality as part of their credit due diligence. (shrink)

We bring together social identity and social exchange perspectives to develop and test a moderated mediation model that sheds light on employees’ perceptions regarding the interrelations between an organization’s external and internal CSR initiatives and their job attitudes and work behaviours. This is important because employees’ sensemaking of CSR motives as being either self-focussed or others-focussed can produce meaningful variations in their job satisfaction and the dimensions of organizational commitment. Also, the consolidation of CSR’s underlying psychological mechanisms can (...) advance our understanding of the processes, contingencies, and outcomes of employees’ perceptions of their employing organization’s CSR initiatives. Our findings indicate that of the two orientations, only external CSR is associated with increased levels of employee commitment through the enhancement of job satisfaction. In particular, job satisfaction was found to fully mediate the impact of external CSR on behavioural commitment and partially mediate its impact on attitudinal commitment. To our surprise, internal CSR has no significant association with job attitudes or work behaviours. We further reveal the complementarity of external and internal CSR orientations; the effect of external CSR on employee outcomes is stronger when employed in concert with internal CSR. Our results contribute to and have implications for both theory and practice. (shrink)

In today's world, businesses are involved in several different initiatives to gain sustainable performance, which can discourse the expectations and demands of society. Emerging economics faces numerous challenges in terms of social, relational, governance, and financial, which made it necessary for firms to perform responsibly in order to make positive contributions toward sustainability. Therefore, this study based on upper-echelon theory constructs a comprehensive framework on responsible leadership, corporate social responsibility, and managerial discretion to provide the guideline for (...) class='Hi'>business sustainability. To fulfill the study purpose, an empirical analysis was performed on 382 Pakistani respondents' data by using PLS-SEM through SmartPLS. Outcomes of the study indicated that responsible leadership entails enormous importance in corporations to influence their impact on society, environment, and economy, which leads to business sustainability. Moreover, the study provides insights into that more responsible and experienced leaders are better able to identify the concerns of their firm's stakeholders in the manners of relational, governing, and orientational perspectives, which help them in satisfying the stakeholders' and society's demands. Hence, responsible leadership enables the firm to better strive for sustainability by applying better CSR activities and directing the decisions by maintaining the compliance of the managers. Furthermore, the current study concluded that the managers and leaders of firms need to develop their business models in such a way that it supports the triple bottom line performance of the firm so that they can achieve sustainability. This study would help managers of firms to realize that they should reexamine their leadership practices and behaviors with the consideration of the triple bottom line framework and integrate the sustainable approach and CSR practice into their business strategy so that they can accomplish the goal of sustainability for business and fulfill the social demands and expectations. (shrink)

This study examined the association between employee perceptions of two foci of corporate social responsibility and work attitudes in different countries. Using data collected as part of a multinational research project with a core team in the United States, we found that perceptions of externally focused CSR enactment were positively associated with employee engagement and affective commitment. Perceptions of internally focused CSR enactment were positively associated with affective commitment but not with employee engagement. Analyses across countries revealed more cultural (...) than economic differences. For example, perceptions of internally focused CSR enactment were consistently associated with affective commitment across cultural contexts, indicating that they might serve as a general foundation for building commitment. Perceptions of externally focused CSR were more strongly associated with affective commitment in Anglo than in Confucian and Latin American countries, suggesting a need for country-specific tailoring. Based on these results, we provided recommendations for planning and implementation of CSR. (shrink)

The social dimension of sustainable development and its impact on supply chains have so far received less attention than the environmental dimension. The aim of the research is to explore the intersection between social issues, corporate social responsibility actions and performance outcomes. A structured literature review of social issues in supply chains is presented, analysing the research published so far in peer-reviewed publications. Linking CSR and supply chain management allows the exploration of strategies and performance (...) outcomes with a focus on social issues. The corresponding responsible supply chain actions adopted by firms to address these issues are grouped into communication, compliance and supplier development strategies. Social and economic as well as buyer and supplier performance are identified as the key outcomes, but the interactions among these constructs would require further research. This paper contributes to the understanding of managing social issues in supply chains by linking social issues, responsible supply chain actions and performance outcomes. The paper consolidates related research by offering an overarching conceptual framework and points to future research directions and simultaneously provides insights into the management of social issues in supply chains. (shrink)

High-performance work systems -performance research has dominated innovative human resource management studies for two decades. However, mainstream HPWS research has paid little attention to employees’ perceptions of HPWS, or to the relationship between HPWS and corporate social performance. The influence of CSP on employee outcomes such as organizational commitment and organizational citizenship behaviour has thus been similarly neglected. This paper seeks to investigate these missing links in literature using data collected from a sample of 700 employees in China. (...) The findings demonstrate that HPWS is positively related to HPWS satisfaction and employees’ perceptions of CSP. HPWS satisfaction fully mediates the relationship between HPWS and employees’ affective commitment. There are multiple mediators between HPWS and OCB, indicating more complicated mechanisms through which HPWS leads to desired HR outcomes. Employees’ perceived CSP has a significant influence on HPWS satisfaction, AC and OCB, suggesting firms should place a premium on achieving a reputation as being socially responsible. (shrink)

Theoretical arguments suggest that organizational virtuousness makes individuals surpass their exchange concerns sparking their prosocial motives. This paper focuses on the examination of this issue incorporating two field studies. The first field study examines prosocial motives and social exchange as parallel mediators of the relationship between organizational virtuousness’ perceptions and three employee outcomes. The second field study examines prosocial motives, personal sacrifice and impression management motives as parallel mediators of the examined relationships. Both field studies indicated that only (...) prosocial motives can mediate the relationship between organizational virtuousness’ perceptions and employee outcomes. (shrink)

This paper examines how employees react to their organizations’ corporate social responsibility initiatives. Drawing upon research in internal marketing and psychological contract theories, we argue that employees have multi-faceted job needs and that CSR programs comprise an important means to fulfill developmental and ideological job needs. Based on cluster analysis, we identify three heterogeneous employee segments, Idealists, Enthusiasts, and Indifferents, who vary in their multi-faceted job needs and, consequently, their demand for organizational CSR. We further find that an organization’s (...) CSR programs generate favorable employee-related outcomes, such as job satisfaction and reduction in turnover intention, by fulfilling employees’ ideological and developmental job needs. Finally, we find that CSR proximity strengthens the positive impact of CSR on employee-related outcomes. This research reveals significant employee heterogeneity in their demand for organizational CSR and sheds new light on the underlying mechanisms linking CSR to employee-related outcomes. (shrink)

Although it is now widely recognised by business leaders that their companies need to accept a broader responsibility than short-term profits, recent research suggests that as corporate social responsibility (CSR) and social reporting become more widespread, there is little empirical evidence of the range of stakeholders addressed through their CSR programmes and how such programmes are reported. Through a CSR framework which was developed in an exploratory study, we explore the nature of stakeholder relationships reported across leading (...) FTSE companies and the importance they attach to communicating both social and business outcomes. It is evident from the hypotheses tested that the bigger FTSE companies, particularly extraction companies and telecoms, are more adept at identifying and prioritising their stakeholders, and linking CSR programmes to business and social outcomes. However, we draw the general conclusion that building stronger stakeholder relationships through CSR programmes – other than with customers – is not currently a priority for most companies. We also conclude that a limited sophistication in managing multiple stakeholders may compromise the impact of CSR upon business and social results. Finally, the managerial implications and the contribution of our study are discussed before closing with an acknowledgement of the limitations of this work and suggestions for further research. (shrink)

Abstract:AbstractDrawing from qualitative data in a Southern African context, this article explores meanings assigned to names for female genitalia to establish whether males and females assign the same meanings to the same vocabulary used in naming or whether they associate the same vocabulary with different meanings. The study illustrates that while males associate the meanings of terms for female genitalia with well-established, stigmatized views of women, female informants associate the same terms with different meanings that provide alternative views about women (...) and, at the same time, appear to be a form of reclamation of Southern African women’s personhood, identity, and agency. Although males, through these vocabulary items, metaphorically associate female genitalia with possession, which discursively constructs women as powerless objects that can be owned and commoditized, females draw from the philosophy of Africana womanism, indicating that even in asymmetrically structured societies, some women subjectively and purposefully construct their own identities as strong, smart, socially conscious, and independent. (shrink)

Smartphones with Global Positioning System (GPS) apps offer simple and accurate tools to collect data on human mobility. However, their associated ethical challenges remain to be assessed. We used the Emanuel framework to assess the ethical concerns of using smartphone GPS to record mobility patterns of young adults in rural South Africa for a larger study on mobility and HIV risk (Sesikhona). We conducted four focus groups (FGDs) with individuals eligible for the Sesikhona study. FGD data were coded using the (...) Emanuel framework. Participants perceived use of smartphone GPS to study human mobility and HIV risk as valuable. They raised concerns about invasion of privacy and confidentiality. Also mentioned were risk/benefit ratio, informed consent and ongoing respect. Concerns expressed provided a useful evidence-base for the development of a guide to inform future participants about ethical issues arising in the use of GPS technology to track mobility and health-related issues. (shrink)

How can a critical analysis of entrepreneurial intention inform an appreciation of ethics in social enterprise business models? In answering this question, we consider the ethical commitments that inform entrepreneurial action and the hybrid organisations that emerge out of these commitments and actions. Ethical theory can be a useful way to reorient the field of social enterprise so that it is more critical of bureaucratic and market-driven enterprises connected to neoliberal doctrine. Social enterprise hybrid business (...) models are therefore reframed as outcomes of both ethical and entrepreneurial intentions. We challenge the dominant conceptualisation of social enterprise as a hybrid blend of mission and market by reframing hybridity in terms of the moral choice of economic system and social value orientation. We deconstruct the political foundations of charitable trading activities, co-operative and mutual enterprises and socially responsible businesses by examining the rationalities and ethical commitments that underpin them. Whilst conceptual modelling of social enterprise is not new, this paper contributes to knowledge by developing a theory of social enterprise ethics based on the moral/political choices that are made by entrepreneurs when choosing between systems of economic exchange and social value orientation, then expressing it through a legal form. (shrink)

This article explores verbal and visual language use in Zimbabwean contraceptive promotional brochures distributed from the early to mid-1980s. Drawing on recent work in critical discourse analysis of text and visual design, the article uses multimodal discourse analysis and draws from Halliday’s Systemic Functional Grammar’s transitivity analysis to analyze family planning pamphlets, focusing on the discursive construction of women as contraceptive users. The article argues that the salience of the language of risk and vulnerability, which is textually and visually deployed (...) throughout the pamphlets, discursively constructs risk as a feature of unequal power relations. The article further argues that underlying the overarching discourse on risk are multiple ‘silences’ that discursively construct an ideological difference consisting of oppositional binaries between ‘us’ and ‘them’ in terms of power relations. The differentiation of social groups reflects ‘hidden’ social inequalities in the text and visual images. (shrink)

Human trafficking is one of the most lucrative international criminal activities and is widespread across a variety of industries. The response to human trafficking in corporate supply chains has been dominated by analyses of due diligence obligations. Existing scholarship, however, has cast doubt on the effectiveness of corporate due diligence in addressing human trafficking, because human trafficking is the outcome of macro-level social structures that are created by and consist of multiple actors, including business. The outsourcing and sub-contracting (...) model provides incentives throughout the global supply chain to sub-contract further to reduce the cost of labor, which has led to human trafficking remaining a pervasive problem. Business responsibility for human trafficking derives from the fact that business decisions and strategies enable the conditions that allow for human trafficking to occur within their supply chains. To address human trafficking, we propose a social connection and political responsibility model, based on Iris Marion Young’s analysis of social connection and structural injustice, that is holistic, forward-looking, and outcomes-oriented. We differentiate between businesses with a strong connection to human trafficking and businesses with a weak connection, and within this distinction delineate different pathways that firms can take to meet their political responsibilities to address human trafficking. We conclude with implications for future research. (shrink)

The primary objective of this research is to examine the potential influence of environmental, social, and governance (ESG) disclosure on cash holdings. Additionally, the study explores the role of earnings management (EM) practices as a mediating factor in this relationship. The sample comprises 797 companies listed on financial markets across 19 European countries, and the data spans from 2013 to 2019. The outcomes indicate a significant negative correlation between ESG disclosure and cash holdings, implying that ESG performance can (...) be used by management to resolve disputes with stakeholders. The outcomes further indicate that the existence of EM practices partially mediates the link between ESG disclosure and cash holdings. Moreover, they are robust by substitute cash holdings specification, three distinct initiatives of ESG disclosure (i.e., environment, social, and governance), and a two-stage least squares assessment. Therefore, the findings document that nonfinancial reporting in the form of ESG disclosure can assist in controlling agency conflict, leading to better valuations of company performance by stakeholders. (shrink)

What does religion contribute to business ethics? Related to the practical, religion applies theological concepts to business situations; namely, vocation, stewardship, human dignity, co-creation, co-conservation, sharing in God's power, servant leadership, encounter with the Incarnation, sacramental sign and justice (divine and human). These concepts suggest the threefold component of religion: doctrine (creed), worship (cult) and values governing behavior (code). A principle taken from religious practice illustrates its unique contribution to business ethics. The principle of proportionality (or double (...) effect) exemplifies code in its balancing of good and evil outcomes. The more contemporary principle called the fundamental option identifies the role of vocation and calling in the notion of creed. The component cult might be reflected in the insistence on human dignity which is highlighted in papal social teaching. (shrink)

We build on limited research concerning the mediation processes associated with the relationship between ethical culture and employee outcomes. A multidimensional measure of ethical culture was examined for its relationship to overall Person-Organization (P–O) fit and employee response, using a sample of 436 employees from social economy and commercial banks in Spain. In line with previous research involving unidimensional measures, ethical culture was found to relate positively to employee job satisfaction, affective commitment, and intention to stay. New to (...) the literature, ethical culture was also found to be associated positively with employee willingness to recommend the organization to others. These effects were observed even when perceptions of P–O fit were controlled. Importantly, ethical culture was also positively related to overall P–O fit, which in turn, partially mediated the relationship between ethical culture and employee outcomes. Our findings add to studies that focus on the importance of the degree of ethical congruence between the individual employee and the organization. They suggest that ethical culture, with its expected impact on virtuousness and emotional well-being, will positively influence outcomes independently of the degree to which there is a match between employee and organizational values. (shrink)

We investigate the role of social-media-triggered public pressure on corporate social responsibility that includes expectations of transparency and accountability on the firm’s part, and participative/evaluative inputs on the public’s part. Using the date when S&P 500 firms established corporate Twitter accounts, we investigate the impact of corporate social media exposure on CSR outcomes. Results from baseline regressions indicate that firms with Twitter accounts significantly outperform industry peers in CSR rating, after controlling for firm and industry characteristics. (...) To test potential reverse causality, we use a dynamic treatment effect model to explore within firm changes of CSR, and find that firms’ CSR rating improves in year one- and year two after establishing a Twitter account, while no difference emerged in similar comparisons with peers prior to the Twitter account establishment. Additionally, Granger causality tests results show that corporate Twitter presence improves CSR performance; it is also shown that CSR outcomes do not motivate corporations to establish a social media presence on Twitter. Finally, firms with more experience on Twitter, and those with more followers, tweets or Twitter accounts are associated with improved CSR outcomes. We draw on two theories and qualitative interviews with senior CSR executives to explain why social media influences CSR firm behaviors. (shrink)

Management scholars have paid close attention to the construct of organizational or corporate reputation, particularly in the applied business ethics and corporate social responsibility fields. Extant research demonstrates that CR is one of the key mediators between CSR and important organizational outcomes, which ultimately improve organizational performance. Yet, hitherto the research focused on CR construct has been plagued by multiple definitions, conflicting conceptualizations, and unclear operationalizations. The purpose of this article is to provide theoretical ground for positioning (...) of CR as an assessment construct that is modeled as a second-order factor affecting individual first-order dimensions, and to provide methodological and empirical support toward such conceptualization. We assert that intangible, socially complex, and causally ambiguous CR can be accurately estimated through its individual measurable dimensions. Using survey data from Peru, we empirically test the hypothesized second-order reflective model within a hierarchy of nested and non-nested models, and compare its model fit and predictive power with alternative conceptualizations. Modeling CR as a second-order reflective construct relies on a set of theoretical propositions and yields several methodological advantages, including strong conceptual interpretability and parsimony when tested within a nomological context. We explicitly demonstrate positive organizational outcomes of CR: customer trust, corporate identification, in-role behavior, and extra-role behavior. Then, we demonstrate that the shorter scales of CR can be used as a good proxy for the full construct measure. The paper concludes by highlighting theoretical insights, and methodological and managerial implications of the findings. (shrink)

Social responsibility is typically examined at the firm level, yet there are instances in which consumers’ social responsibility perceptions of the firm’s product brands differ from social responsibility perceptions with regard to the firm [i.e., corporate social responsibility ]. This article conceptualizes brand social responsibility and delineates it from CSR. Following the development of a BSR scale, this research demonstrates variations in consumers’ social responsibility perceptions across product brands even if they are owned by (...) the same corporation and compete in the same product category. BSR is distinct from CSR, and better predicts consumers’ responses to product brands compared to corporate level measures. Consistent with the conceptual distinction, this research demonstrates the unique contribution of BSR and CSR in predicting product brand and corporate outcomes, respectively. From a theoretical viewpoint, this research is one of the few to examine differences between product brand and CSR. From a managerial viewpoint, the consideration of social responsibility at the product brand level facilitates the assessment of social responsibility perceptions across brands in brand portfolios managed under a mixed-branding or house-of-brands strategy. (shrink)

There is a growing literature on corporate social responsibility, but few have focused on the implications of business groups for CSR. We examine the antecedents and outcomes of CSR behaviors of group firms in Korea. We find that group affiliation is associated with higher CSR overall and for its major societal and environmental components. However, the ownership disparity between cash flow and control by controlling inside shareholders is associated with lower CSR, consistent with opportunistic rent expropriation theory. (...) We further find that CSR initiatives can impact group firms positively in the event of bad events, consistent with insurance theory. This motive for CSR as a means of enhancing reputation capital to buffer the bad events is pronounced for group firms because of group-wide dissemination of negative reputational externality. (shrink)

This article explores the ethics of migrant marketers in Guangzhou. Data were collected from 357 migrant marketers who lived in Guangzhou. A model of Ethical Action has been developed to test the antecedents and outcomes of the ethical decision-making process. It measured moral intention using four ethical scenarios. The results show that the egoistic schema had a positive effect on their intention to act unethically, while the legislative schema exerted a negative effect. The results confirm that moral intention was (...) a strong predictor of an individual's subsequent actual behavior, and it fully mediated the influence of the legislative schema on actual behavior. This study adds to ethics literature by incorporating the construct of social identity and found a moderating effect between the legislative schema and moral intention. The relationships were stronger for individuals who were lower rather than higher in social identity. Analysis of these results lead to a discussion of the implications for marketing ethics in China. (shrink)

Business Ethics, the Environment &Responsibility, Volume 31, Issue 4, Page 1053-1101, October 2022.

This article argues that previous research on the outcomes of corporate responsibility should be refined in two ways. First, although there is abundant research that addresses the link between corporate responsibility (CR) and financial performance, hardly any studies scrutinize whether the type of corporate responsibility makes a difference to this link. Second, while the majority of CR research conducted within business studies concentrates on the financial outcomes for the firm, the societal outcomes of CR are left (...) largely unexplored. To tackle these two deficiencies, this article extends the different conceptualizations of corporate responsibility and elaborates both the financial and the societal outcomes of different types of CR. (shrink)

Do foreign direct investment (FDI) and international business ventures promote positive social and economic development in emerging nations? This question will always prove contentious. First, the impacts differ according to context. Second, the social consequences and spillover effects of knowledge diffusion and technology-sharing may be limited and hard to measure. Third, contributions to enhancing social responsibility and improving living standards in host countries are delayed in effect, causally complex, and also hard to measure. Outcomes often (...) critically depend on collaboration of governments, international institutions, the business world, and non-governmental organizations (NGOs). Research in this area is challenging and requires interdisciplinary collaboration between economists, financial experts, sociologists, ethicists, and other specialists. This paper explores: (1) the evidence to support the proposition that FDI and international business improve social conditions in less-developed countries, and: (2) how these improvements are linked to strategies of corporate social responsibility (CSR) and ethical business practice. The paper draws insights from development, FDI, poverty alleviation, and bottom-of-the-pyramid (BOP) literature. Applications are demonstrated using examples from poverty-stricken areas of Sub-Saharan Africa. The paper attempts not only to argue theoretically but also to provide practical evidence. The approach is simultaneously descriptive, analytical, and prescriptive in order to address a wide audience. It also highlights issues and trends for further academic research and presents the viewpoint that some limitations lie in the nature of ethics frameworks widely referenced in business and that these often fail to consider the compatibility of ethical constructs with relevant incentives. In this vein, we explore the application of Homann’s framework for advantage and incentive-based ethics. (shrink)

A number of scholars have highlighted the role of employers in shaping the development of the welfare state. Yet the results of this research have often been ambiguous or disputed because of insufficient attention to theoretical, conceptual, and methodological problems in the study of political influence. This article considers three of these problems in turn: the failure to distinguish and investigate multiple mechanisms of exercising influence, the misspecification of preferences, and the inference of influence from ex post correlation between actor (...) preferences and outcomes. We demonstrate the importance of each through a reexamination of the early development of the American welfare state. The striking feature we suggest is neither business dominance nor weakness but marked variation in influence over time and across institutional settings. (shrink)

A number of theorists have proposed mechanisms suggesting that corporate social responsibility produces better financial results. Others subscribe to the theory that, realistically, less ethical means are necessary. This article contains an analysis of these perspectives drawing on observations from evolutionary game theory and nature. Based on these analyzes, it is concluded that the financial returns of corporate social responsibility and irresponsibility (CSR and CSI) are equal on average. The explanation is that CSR and CSI are driven to (...) a state of equilibrium, because if one or the other were to offer higher profits, it would attract more players who would compete for the best opportunities until there was no difference in average profit. Existing empirical research generally shows a positive correlation between CSR as measured and financial outcomes. It is argued that what is actually causing that finding is probably not CSR but management skill. More skillful managers, whether actually responsible or irresponsible, are able to obtain both higher profits and greater credit in imperfect measures of CSR. Next it is shown that this theory of equal returns implies greater moral freedom and therefore responsibility for business leaders. It is concluded that this insight can intensify the interest of decent business leaders in vigorously championing CSR. (shrink)

While a growing body of scholarship identifies urban agriculture’s broad suite of benefits and drivers, it remains unclear how motivations to engage in urban agriculture (UA) interrelate or how they differ across cities and types of organizations. In this paper, we draw on survey responses collected from more than 250 UA organizations and businesses from 84 cities across the United States and Canada. Synthesizing the results of our quantitative analysis of responses (including principal components analysis), qualitative analysis of textual data (...) excerpted from open-ended responses, and a review of existing literature, we describe six motivational frames that appear to guide organizations and businesses in their UA practice: Entrepreneurial, Sustainable Development, Educational, Eco-Centric, DIY Secessionist, and Radical. Identifying how practitioners stack functions and frame their work is a first step in helping to differentiate the diverse and often contradictory efforts transforming urban food environments. We demonstrate that a wide range of objectives drive UA and that political orientations and discourses differ by geography, organizational type and size, and funding regime. These six paradigms provide a basic framework for understanding UA that can guide more in-depth studies of the gap between intentions and outcomes, while helping link historically and geographically specific insights to wider social and political economic processes. (shrink)

This special dissertation forum, the first of its type to be published in this journal, reports the outcome and process for the 2010 annual Dissertation Award Competition for the Social Issues in Management Division of the Academy of Management. The special forum comprises this introductory essay by the chair of the award committee and three dissertation abstracts by the award finalists. In addition, each finalist has provided a thoughtful essay reflecting on their experiences of the research process as junior (...) scholars. The dissertation abstracts, with reflection essays, are in alphabetical order by last name of award finalist. (shrink)

The article advances an understanding of responsible leadership in global business and offers an agenda for future research in this field. Our conceptualization of responsible leadership draws on deliberative practices and discursive conflict resolution, combining the macro-view of the business firm as a political actor with the micro-view of leadership. We discuss the concept in relation to existing research in leadership. Further, we propose a new model of responsible leadership that shows how such an understanding of leadership can (...) address the challenges of globalization. We thereby propose positive outcomes of responsible leadership across levels of analysis. The model offers research opportunities for responsible leadership in global business. (shrink)

Several alternative leadership approaches have been introduced to supplement the long-standing transformational leadership model as concerns have grown that it did not place enough emphasis on leader ethics. Nonetheless, to establish the value of the newer approaches, evidence of conceptual and empirical distinctiveness is required. Though meta-analysis has been somewhat helpful in this regard :517–536, 2016), we conducted two within-study comparisons of ethical leadership, virtuous leadership and key components of TL reflected by socialized charismatic leadership. We predicted that these alternative (...) models differ in the strength of their ties to a range of valued outcomes. Our analyses of 230 leader–follower dyads based predominately in North America and US-based 131 dyads left many hypotheses unsupported; nonetheless, there was evidence of differential associations. For example, across both samples, in the context of all three models, follower-rated ethical leadership was the only significant predictor of follower-rated leader effectiveness, leader-rated subordinate in-role performance, and leader-rated follower ethicality. As hypothesized, virtuous leadership was the strongest predictor of self-rated leader happiness in Sample 1, but contrary to expectations, in Sample 2, only the TL components were related to happiness and life satisfaction among both leaders and followers. (shrink)

Persistent and pervasive rudeness and lack of respect are unfortunately common in workplaces today. The deleterious effects of this incivility at work may be even worse than previously demonstrated, impacting not only employee victims but also trickling down to those who employees contact. However, we propose that leaders who prioritize their followers’ needs above their own, also known as servant leaders, may be a critical preventative mechanism to reduce group-level incivility through promoting a virtuous climate. Applying social learning theory (...) and social information processing theory, we argue that servant leaders role model virtuous character that contributes to a virtuous climate that influences group members to reduce incivility and, in turn, treat others well. We utilize the healthcare setting to support this hypothesized process across multi-source measures of incivility from coworkers and team supervisors and three indicators of quality of patient care. Specific findings and implications for managers in healthcare settings and beyond are discussed. (shrink)

Various promising claims have been made that business can help alleviate poverty, and can do so in ways that add value to the bottom line. This article begins by highlighting that the evidence for such claims is not especially strong, particularly if business is thought of as a development agent, i.e. an organization that consciously and accountably contributes towards pro-poor outcomes. It goes on to ask whether, if we did know more about either the business case (...) or the poverty alleviation case, would this give cause for greater optimism that business could make a significant contribution to development. By exploring the experiences of producers of Fairtrade tea in Kenya, we reveal the complex nature of what constitutes a beneficial outcome for the poor and marginalized, and the gap that can exist between ethical intentions and the experience of their intended beneficiaries. The lessons of these experiences are relevant for Fairtrade and any commercial initiative that seeks to achieve outcomes beneficial and recognizable to the poor, and raise questions about the integration of social and instrumental outcomes that a future generation of ethical entrepreneurship will need to address. (shrink)

The literature on Base of the Pyramid strategies emphasizes that creating social value requires collaborative, multi-stakeholder business approaches. However, there is limited understanding of how businesses can successfully coordinate such value creation processes in the developing economies that face significant institutional voids. This study adopts a business model perspective for analyzing social value creation processes that span organizational boundaries. We introduce a novel, theoretically grounded business model framework that helps conceptualize social value by locating (...) the various loci of value creation, and the stakeholders that partake in creating and capturing this value. We subsequently analyze the mechanisms of social value creation in M-Pesa, a renowned boundary-spanning mobile money system that has advanced financial inclusion among tens of millions of users in Kenya. The results show that information and communications technology can help advance social value creation by reducing the cost of coordinating boundary-spanning business models that integrate diverse societal stakeholders. The results further point to uneven distributional outcomes in self-governing social value creation strategies where the focal firm plays a coordinating role. (shrink)

This essay is an interreligious study of spirituality of work and its implications for business ethics. It considers the normative / doctrinal teachings on human work in Bhagavadgita (BG) and Catholic Social Teaching (CST). In as much as the focus of this study is spirituality of work, it does not present an in-depth and comprehensive comparison of Hindu and Catholic religions. Similarities and differences between the texts under consideration will be examined, but such examination will be limited to (...) the most critical and relevant points. It will begin by exploring a Hindu spirituality of work based on BG. The paper will analyze salient ideas and relevant passages in the text that tackle the religio-spiritual significance of our daily engagement in the world through paid work from a Hindu perspective. A discussion on major themes in CST that resonate with BG’s teachings on work will follow. These themes will serve as analytical elements that will frame an interreligious spirituality of work from the two points of view. The interreligious analysis will demonstrate that as far as BG and CST are concerned, spirituality of work can be a unifying force, a locus for cross-cultural dialogue, and a bridge between different beliefs. Next, the essay will tackle the implications of a Hindu-Catholic spirituality of work for business ethics. It will explain how the two textual traditions deepen our understanding of work by providing answers to the questions why must we work, what is the right attitude to work, and how our work connects us with other beings and with our ultimate end. Finally, the conclusion will demonstrate how the findings of this study relate and enhance the outcomes of current research in spirituality of work. Finding common grounds on how different religions regard work would enable business professionals and managers to truly value diversity and inclusiveness and respond ethically to the expression of religions in an increasingly pluralistic workplace. (shrink)

This paper intends to make a revision of the academic literature that focuses social responsibility from a strategic view. In line with the previous ideas, the aim of this paper is to add itself to the group of researches that conceive CSR as an integral part of the business strategy. For this purpose it focuses on studying those relationships that may exist between the firm’s Business Strategy (BS) and the Social Strategy (SS). Based on the assumption (...) that CSR can be strategic to the company and that its application will be based on a social strategy, this research project, wishes to study the way in which it is considered and understood in relation to the business strategy. (shrink)

For four decades, research on the role and responsibilities of business in society has centered on the business case for corporate social responsibility (CSR) and an increasing number of studies on the corporate social performance (CSP)—corporate financial performance (CFP) link emerged leading to controversial results. Heeding the call for a deeper understanding of the mechanisms linking certain CSR efforts to certain performance outcomes, this study provides a stakeholder-based organizing framework rooted in an extensive review of (...) existing literature on the link between CSP and CFP. In so doing, we aim at guiding research and practice toward less simplistic understandings of the CSP–CFP connection, thus advancing the debate over the consequences of voluntary integrating CSR into business operations and into relationships with stakeholders. By disentangling specific drivers and outcomes of the CSP–CFP link, we underline the importance of setting clear boundaries and specifying levels of analysis to generate comparable results. (shrink)

This research examines whether and how firms can meet both business goals and social needs through their innovation activities. We examine antecedents and consequences of innovation that addresses social needs, in addition to business goals, using data collected from European for-profit firms. We find that innovation including social intent is more likely under conditions of high market turbulence, which represents an important form of demand-driven threats. Meanwhile, we find no relationship with competitive intensity, a form (...) of pressure driven threats. Together, these findings suggest that customers and other stakeholders are more likely to drive firms to focus on the social dimension than competitors. The findings also indicate that innovation including social intent is positively related with customer acceptance, which supports the notion that innovation can meet both business goals and social needs. This relationship is partially mediated by perceived market turbulence, which highlights the importance of customers and their demands for social responsibility. This research advances both theory and practice as we add to existing discourses on innovation by providing a broader than common perspective that includes the social dimension as a potential part of innovation conducted to meet business goals. Furthermore, we shed light on how and when firms are likely to include intended social outcomes in their innovation and when they are less likely to do so, which highlights a potential untapped opportunity. (shrink)

This paper unravels an unprecedented interplay between board gender diversity (BGD) and corporate environmental, social, and governance (ESG) disputes among Chinese A-share-listed nonfinancial companies from 2017 to 2021. Framed within a knowledge-based and sensemaking perspective of institutional frameworks, the research not only illuminates the profound impact of internal (corporate governance ratings) and external (regional institutional development) institutional factors on this intricate relationship but also brings to light a paradigm-shifting revelation. The study employed a diverse set of empirical tests, ranging (...) from ordinary least squares regression to advanced methods such as the generalized method of moments, two-stage least squares, and propensity score matching, providing a nuanced and comprehensive analysis. The findings highlight the pivotal role of female directors in significantly mitigating ESG disputes. A mechanism analysis further uncovers that internal and external institutional quality are potent positive moderators in shaping the BGD–ESG dispute dynamic. This research has profound implications, providing valuable insights for stakeholders, policymakers, and scholars, offering a comprehensive understanding of how gender diversity fosters sustainability while unravelling the intricate tapestry of internal and external institutional dynamics that shape ESG outcomes. (shrink)

This book broadens the range of theoretically informed empirical research on business ethics (using data from major American corporations) and addresses the underlying questions about business ethics scholarship. It culminates a decade’s work by the authors—individually, jointly, and with others. The first part of the book addresses the major theoretical questions involved in doing empirical research about normative issues. It addresses the boundaries—methodological, conceptual, and institutional—that too easily separate philosophical and social scientific approaches to business ethics (...) and reviews various ways in which those approaches can be brought close together to benefit research and practice. The second part of the book describes and explains the increasing institutionalization of formal systems designed to manage ethics in organizations. It reviews the state of the art initiatives to foster ethical business conduct and also looks at the relative roles of executives and external policies (e.g., government regulations) in creating meaningful ethical initiatives. In the third part, the focus shifts to individual ethical behavior and how organizations influence it, describing in detail some of the outcomes of organizational ethics initiatives. It also looks at successes, failures, and new prospects in the effort to identify and explain the multiple factors that influence individual ethical behavior. (shrink)

This book examines business education from the perspective of the social sciences and humanities, specifically sociology and ethics. In particular, it offers the rare combination of liberal arts and business management education which is used to investigate how aspects of business education might be responsible for and connected to the distribution of wealth that currently dominates the global economy. Through interviews with business ethics faculty members, students, and graduates around the world, as well as attendance (...) in business ethics classes and examination of classroom materials, the author presents patterns of theory, perspectives, and outcomes from culturally and geographically diverse business schools. This research provides insights into how business ethics educators are responding to the growing diversity in student populations, and the dual crises of environmental destruction and lack of ethical stewardship. The book also discusses alternative discourses within business schools and makes recommendations for future improvements. (shrink)

The role and influence of workplace spirituality on individual and organisational outcomes continue to draw attention among management scholars. Despite this increased attention, extant literature has yielded limited insights particularly into the impact and influence processes of workplace spirituality on performance outcomes at both the individual and unit levels of analysis. Addressing this gap in research, we proposed and tested a multilevel model, underpinned by social cognitive theory, that examines the processes linking perceptions of workplace spirituality and (...) performance outcomes at the individual and organisational level of analysis. Data were obtained from 51 branches of a retail organisation in the United Kingdom. Results from structural equation modelling analysis revealed three salient findings. First, workplace spirituality was positively related to ethical climate, prosocial motivation, and moral judgment. Second, ethical climate partially mediated the relationship between workplace spirituality and prosocial motivation and moral judgment, respectively. Third, aggregated ethical climate significantly relates to branch-level helping behaviour and service performance. (shrink)

Scholars and leaders have assumed that prosocial motivation is the primary driver for social enterprises (SEs) to do good. Despite the significance of prosocial motivation, we argue that it may not be the single driver for SE motivation. A dual-motivations approach based on insights from motivation research is proposed to examine how different types of SE motivation can act together to influence the outcomes of SEs. Empirical findings based on survey data from Hong Kong demonstrate that dual motivations—prosocial-intrinsic (...) and prosocial-extrinsic motivations—explain the outcomes of SEs beyond what the direct effects of prosocial motivation can explain separately. Based on moderation analyses, intrinsic motivation enhances the positive relationships between prosocial motivation and business and social outcomes, whereas extrinsic motivation undermines the relationship related to business outcomes. Implications for research on social entrepreneurship and business ethics are discussed. (shrink)