Investigating the impacts of microlevel CSR activities on firm sustainability: mediating role of CSR performance and moderating role of top management support

Abstract

PurposeThe purpose of this study is to investigate the impacts of microlevel corporate social responsibility (CSR) activities on firm sustainability. The study also examines the mediating roles of CSR performance (CSRP) and top management support on firm sustainability.Design/methodology/approachWith the help of existing literature and theories, a theoretical model has been developed, which is then validated using structural equation modeling technique considering 327 respondents who perform CSR activities at respondents' firms in India. The research methods include moderator analysis to understand the role of top management support for firm sustainability.FindingsThis research found that microlevel CSR activities have a significant positive impact on CSR performance. The study also found that there is a significant moderating impact of top management support on the relationship between CSR performance and firm sustainability.Research limitations/implicationsThis study proposed a theoretical model which has established the relationships between the microlevel CSR activities and CSRP along with firm sustainability. This is an effective model and provides vital inputs to the firms on how to succeed with CSR activities. Limitations to this study's generalizability include use of cross-sectional data and that the data were collected from one country.Originality/valueThe proposed theoretical model is unique and can be applied by firms to enhance firms' CSR performance. There is no other study which has investigated the moderating role of firm leadership team impacting the relationship between CSR performance and firm sustainability. Thus, this study is a unique attempt and adds value to the extant literature on CSR as well as firm sustainability.

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