This paper examines the conditions under which corporate social responsibility (CSR) is related to value creation in the multinational enterprise (MNE).
Following prior work by Burke and Logsdon (1996), we examine the relationship of centrality, appropriability, proactivity, visibility, and voluntarism to value creation.
The results of a survey of 111 MNEs in Mexico suggest that centrality, visibility, and voluntarism are related to value creation.
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One of the anonymous reviewers pointed out that the wording of this item is somewhat ambiguous. The item may only test the extent to which the firm’s mission includes the solution of social problems. In future research, we would recommend asking how social objectives coincide or fit with the firm’s business mission.
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The first author thanks the Tecnológico de Monterrey, where he was a professor of management, and the Instituto de Empresa, where he was the Alumni Association Chair of Business Ethics and Corporate Social Responsibility. These institutions actively supported this research. In addition, this research was made possible by a grant from the Consejo Nacional de Ciencia y Tecnología (Conacyt) of the Mexican Federal Government. The authors appreciate the comments of the anonymous mir reviewers.
Appendix: Survey Questions
Appendix: Survey Questions
To what extent do the following objectives of social programs coincide with your firm’s mission?
Collaborate with community projects
Protect the environment
Support social causes
Please indicate the extent to which you agree with the following statements:
The fulfillment of the firm’s social objectives is necessary to achieve its profit objectives.
We scan the social environment in order to promote our firm’s compliance with social expectations.
We are usually one of the first to adapt our corporate practices to reflect changing social expectations.
We track the development of legislation/regulation in order to have corporate compliance mechanisms in place by the time legislation is enacted.
We want to be a pioneer in adopting company policies which comply with new social expectations.
The purpose of participating in social action programs is to:
Improve the image of the firm
Increase the presence of the firm in the media
Voluntarism (note: these items were reverse scaled)
The purpose of participating in social action programs is to:
Fulfill legal obligations
Follow a regular practice in the industry
Obtain favorable tax treatment
Influence customer purchase decisions
Obtain new customers
Develop new products and services
Open new markets
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Husted, B., Allen, D. Strategic Corporate Social Responsibility and Value Creation. Manag Int Rev 49, 781–799 (2009). https://doi.org/10.1007/s11575-009-0016-5