Institutional pressures and greenwashing in social responsibility: reversing the link with hybridization capability

Abstract

Purpose

Despite the ongoing scholarly interest in greenwashing, it is not well known the impact of multiple institutional pressures on greenwashing in corporate social responsibility (CSR). Following the institutional logics perspective, this study investigates how three distinct logics – commercial, public, and social welfare – drive greenwashing and whether organizational capability for blending diverse CSR expectations reverses this link.

Design/methodology/approach

The current study conceptualized and tested an original model on how three institutional logics influence greenwashing in CSR, with the mediation effect of hybridization capability as a response to logic plurality. Partial least squares structural equation modeling was performed on a survey data, which was collected from 150 middle managers in Turkey.

Findings

The results show that while commercial logic has no direct or indirect impact on greenwashing, public and social welfare logics drive greenwashing in CSR. However, these effects are reversed when the CSR hybridization capability increases.

Practical implications

This study contributes to the understanding of what predicts CSR greenwashing by integrating a comprehensive theoretical framework involving multiple institutional logics, conflicting stakeholder demands, and organizational hybridity.

Originality/value

To the best of our knowledge, this is the first study that theoretically and empirically analyzed how the exposure of multiple external pressures affects the CSR greenwashing and how it can be reversed by CSR hybridization capability. This capability mitigates the threats and challenges of multiple logics and turns them into an opportunity to gain legitimacy in the eyes of stakeholders by preventing greenwashing.

Citation

Can, O. and Turker, D. (2024), "Institutional pressures and greenwashing in social responsibility: reversing the link with hybridization capability", Management Decision, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/MD-10-2023-1790