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Corporate Social Responsibility, Product Differentiation Strategy and Export Performance

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Abstract

This article argues that corporate social responsibility (CSR) may contribute to product differentiation in export markets and thus improve export performance. We test this argument by observing a period of decreasing export competitiveness in a leading emerging economy (Brazil). Using a large-scale survey design with 252 questionnaires completed by medium- and large-sized Brazilian exporters, we used structural equations modelling to test our hypotheses. The results suggest that CSR product differentiation predicts export performance better than product quality differentiation and almost as well as product innovation differentiation. Multi-group analysis further revealed that the positive and significant effect of CSR product differentiation on export performance is likely to be contingent on the number and type (developing vs. developed) of countries that are targeted. Our study contributes to the literature on CSR and export performance by developing and empirically validating a model that explains under which conditions CSR-based product differentiation may lead to improved export performance.

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  1. Insper Institute of Education and Research, Rua Quatá, 300, CEP: 04546-042, São Paulo, SP, Brazil

    Dirk Michael Boehe

  2. HEC Montréal, 3000, Chemin de la Cote-Sainte-Catherine, Montreal, QC, H3T 2A7, Canada

    Luciano Barin Cruz

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  1. Dirk Michael Boehe
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Correspondence to Dirk Michael Boehe.

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Boehe, D.M., Barin Cruz, L. Corporate Social Responsibility, Product Differentiation Strategy and Export Performance. J Bus Ethics 91 (Suppl 2), 325–346 (2010). https://doi.org/10.1007/s10551-010-0613-z

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