Exploring the moderating effects of corporate social responsibility performance under mimetic pressures. An international analysis

Abstract

The purpose of this article is threefold. Firstly, it is aimed at ascertaining whether, in seeking social legitimization, companies disclose CSR information as a response to mimetic pressures. Secondly, it ascertains whether, by seeking economic legitimization, companies with superior CSR performance disclose CSR information to differentiate themselves from low-performing counterparts. Thirdly, it examines the moderating effects of CSR performance in the relationship between mimetic pressures and CSR disclosure, exploring how the social and economic legitimacy influence in tandem the CSR disclosure. The study is based on a sample of 10,395 firm-year observations coming from 1,993 international companies that released their CSR report in the 2011-2017 timespan. The results, in addition to demonstrating that both mimetic pressures and CSR performance have a positive bearing on the disclosure of CSR information, suggest that the interaction between mimetic pressures and CSR performance has an additive positive effect on CSR disclosure.

Imitation is the sincerest form of institutionalization: Understanding the effects of imitation and competitive pressures on the reporting of sustainable development goals in an international context

“…Turning to the control variables, both the coercive pressures (Coercive) and the normative pressures (Normative) have a positive effect (φ 3 = .186 and φ 4 = 4.232, respectively, p <.01) on the dissemination of information about SDGs, in line with previous literature (Galleri et al, 2021;Zampone, Sannino, & García-Sánchez, 2022).…”

“…Next, the second greatest effect is exerted by Mimetic_FB (φ 1 = .671; p < .01), confirming that frequency-based imitation drive companies to conform their SDG reporting practices to those of the other companies operating in the same industry. Finally, although with a lower magnitude (φ 1 = .0122; p < .01), trait-based imitation is the third form chosen by companies facing uncertainty.Accordingly, we accept H1, corroborating previous accounting research findings(Amor-Esteban et al, 2018a;Cubilla-Montilla et al, 2020;Galleli et al, 2021;Martínez-Ferrero & García- Sánchez, 2017;Zampone, Sannino, & García-Sánchez, 2022).…”

“…Prior studies have found empirical support for this purest form of imitation in the domain of sustainability reporting (García-Sanchez et al, 2022;Zampone, Sannino, & García-Sánchez, 2022), which led us to formulate the same hypothesis for the reporting of SDG information. Accordingly, in expanding the H1 hypothesis, we propose that:…”

Impact of executive pay gap on environmental, social, and governance disclosure in China: Is there a strategic choice?

“…Considering that factors such as a firm's financial condition, operational status, and governance level can influence ESG disclosure decisions, larger and more profitable firms are more willing to disclose ESG information to maintain a good image (Clarkson et al, 2011; Zampone et al, 2023). Following the studies of Dhaliwal et al (2012) and Lin and Rao (2009), we selected 10 variables that cover the three aspects of a firm's financial condition, operational status, and governance level as control variables to reduce empirical biases.…”

“…Secondly, the influence of internal corporate factors on ESG disclosure is also significant. Existing studies have found that, apart from larger and more profitable firms being more willing to disclose ESG information to maintain a good image (Clarkson et al, 2011; Knox et al, 2015; Zampone et al, 2023), the characteristics of corporate governance structures also play an important role in strategic social responsibility information disclosure (Zheng et al, 2015). Sun et al (2021) found that board interlocks have a demonstrative effect on ESG behavior, promoting the diffusion of ESG behavior among firms and thereby affecting the quality of associated firms ESG disclosure.…”