The Impact of Corporate Social Performance on a Firm’s Multinationality

Abstract

corporate social performance, international business, multinationality,

The Effect of R&D Intensity on Corporate Social Responsibility

“…Previous studies, such as those by Berrone et al (2007), Bouquet and Deutsche (2008), Hull and Rothenberg (2008); Siegel (2000, 2001) and Prior et al (2008), have discovered that these variables are correlated when studying the impact of CSR and another variable. However, none of these researches have studied the direct impact of R&D on CSR, so we considered it necessary to study this effect in order to fill this gap in the literature.…”

“…The Effect of R&D Intensity on Corporate Social Responsibility R&D intensity is our independent variable, where we use a proxy of R&D, calculated by dividing total expenditure on R&D by total sales, based on our study on measures used by McWilliams and Siegel (2000), Bouquet and Deutsche (2008) and Prior et al (2008) which showed that R&D is positively correlated with CSR. Other research that has corroborated the correlation between these two variables includes the study by Hull and Rothenberg (2008), which measured R&D using a 3-year average of R&D expenditures, and yet another study that has recorded the same finding as the studies mentioned above, Berrone et al (2007) who measured R&D intensity as R&D expenditures to total assets on a log scale.…”

Innovation with High Social Benefits and Corporate Financial Performance

“…Our research used a panel data technique, which allowed us to control the risk of unobserved heterogeneity on the manager's conceptions of social responsibility and company strategy (Bouquet and Deutsch, 2008). Our main hypothesis tries to identify if innovation with high social benefit has a positive impact on the financial performance of firms, since firms seek to obtain benefits such as differentiation and higher sales from innovation.…”

“…which resource selection decisions are embedded and how this context might influence sustainable differences (Oliver, 1997;Ginsberg, 1994). According to Oliver (1997), in order to complement the RBV theory and analyze the social context of resources, it is necessary to include the institutional theory (DiMaggio and Powell, 1991;Scott, 1995), which examines the role of social influences and pressures for social conformity in determining organizations' decisions and actions.By implementing both the RBV theory and the institutional theory as the theoretical framework for this research, we intend to support the intentions of firms to participate in R&D activities, because firm's innovations (social or not) will produce a differentiation in the market, thus creating a competitive advantage that will generate above normal rates of return and furthermore can create legitimacy which leads to a good reputation.Our research used a panel data technique, which allowed us to control the risk of unobserved heterogeneity on the manager's conceptions of social responsibility and company strategy (Bouquet and Deutsch, 2008). Our main hypothesis tries to identify if innovation with high social benefit has a positive impact on the financial performance of firms, since firms seek to obtain benefits such as differentiation and higher sales from innovation.…”

Does International Economic Integration Lead to a Cleaner Production in China?

“…International economic integration expands the scope of the stakeholders that firms need to manage in our setting in the following two senses (Bouquet andDeutsch 2008, Strike et al 2006). First, multinational firms that operate in a foreign host country need to deal with not one but two sets of stakeholders.…”