Corporate citizenship inGermany and theUnitedStates – differing perceptions and practices in transatlantic comparison

Abstract

Because of the declining fiscal capabilities of the German welfare state and the resulting reductions in social services provided by the government, increasing attention has been given to the voluntary social engagement of businesses, often referred to as corporate citizenship. In that context, scholars and politicians alike have pointed to the United States as a country with a strong corporate citizenship culture and advocated a transatlantic transfer of the respective practices. Against this background, it is the first aim of this paper to examine the socio‐economic environment for corporate citizenship in both countries. Second, it will be investigated if corporate citizenship is really practiced more widely in the United States than in Germany and what forms of corporate citizenship are used by businesses. For that purpose, the corporate citizenship activities of the 100 largest companies in the United States and Germany each will be analyzed. Results show that more US than German companies undertake corporate citizenship activities and apply a wider variety of different forms. The possibilities for a transatlantic transfer are limited because of the differences in the cultural and political systems of both countries.

Why and how hotel groups in luxury segments give back to their communities

“…In general, literature correlates the size of firms and them having their own foundations (Fifka, 2013) and finds that both variables have an influence on philanthropic participation, although we found controversy in this statement. For example, J. C. Chen, Patten, and Roberts (2008) pointed out that firms that have foundations give more to charities.…”

Corporate volunteering: A bibliometric analysis from 1990 to 2015

“…This distribution corresponds to the United States being the pioneering country in the field, as well as its distinct leadership in terms of CV research (cf. Cihlar, ; Fifka, ; Googins, ; Pajo & Lee, ; Tuffrey, ). Western European scholars have been displaying increasing interest, thus further driving CV's growth.…”

Corporate Social Responsibility in Europe

“…Moreover, SME in particular display a strong notion that social responsibility consists of philanthropic activity only. This is reflected by donations given to local associations and clubs (Fifka, 2013a). The only strategic aspect that can be found here at best is the local linkage and the attempted creation of goodwill among the geographically immediate stakeholders.…”

“…Fifka and D. Reiser Due to Germany's rapid economic development in the second half of the nineteenth century, which created more governmental revenues, and with the aim to preserve social peace, the government continuously expanded the social system. Thus, Chancellor Bismarck-primarily out of political calculations-created health and accident insurance in the 1880s (Fifka, 2013a). As the government took over more and more aspects of social security, which previously had been within the citizens' own responsibility, the need for voluntary social engagement by private actors was reduced.…”

“…Companies were increasingly required to pay social services for their employees in specific, but also contributed to the provision of services for the population as a whole through taxation and redistribution (Fifka, 2013a). Today, public social services account for 29 % of Germany's GDP, while in the United States as an example of a liberal market-economy they only amount to 18.1 % (OECD, 2009).…”