Search results

Prior studies mostly tested the association between carbon emissions and firm value in certain contexts. This study aims to advance the existing literature by concentrating on three indicators of greening in corporations namely resource use, emissions and eco-innovation, and examining their value relevance in the stock market at the global level. Furthermore, we deepen the investigation by exploring the moderating role of eco-innovation and the CSR committee between greening in corporations and market value.

The data for the study were retrieved from the Thomson Reuters Eikon database for the years between 2002 and 2019 and contain 17,961 firm-year observations which are analyzed through fixed-effects regression.

The results reveal that while resource usage is viewed as value-relevant by the market, the emissions and eco-innovation are not. However, despite eco-innovation per se not being value-relevant, its interaction with resource usage and emissions is value-relevant. Furthermore, CSR committees undertake a very critical role in translating greening practices into market value.

While the results for emissions support the cost-concerned school, the findings for resource usage confirm the value creation school. Furthermore, the interaction effect of eco-innovation and CSR committee confirms the resource-based theory and stakeholder theory, respectively.

Investors regard eco-innovation-induced pro-environmental behaviors as value-relevant. These results propose firms replace eco-innovation at the focal point in developing environmental strategies and connecting other greening efforts to it. Moreover, CSR committees are critical to corporations in translating greening practices into firm value by developing and implementing disclosure and communication strategies.

The study’s originality stems from investigating the synergetic effect that eco-innovation and CSR committees generate in translating greening practices to greater market value at a global scale.

This study investigates the impact of corporate social responsibility (CSR) on corporate innovation. We selected the listed nonfinancial firms of South Asian Economies. The sample of the study comprised a total of 426 listed manufacturing firms of South Asian Countries for period spans 10 years from 2012 to 2021. In this study, descriptive statistics, multicollinearity diagnostic tests, correlation analysis and two-step dynamic panel system generalized method of moments (GMM) were applied to analyze the data. CSR measured with three proxies' social indicators, environmental indicators, and CSR composite index of social and environmental indicators. However, corporate innovation is captured with number of citations received in a year and number of patents filed in the year. Overall, findings of the study using all measures of CSR shows that CSR significantly and positively related with corporate innovation. Our results find support for CSR-innovation view with all measures of CSR. The findings suggest that the current study is helpful for managers, regulators, policymakers, and researchers. For managers, the study helps them to make the CSR and innovation decision. The policymakers should take appropriate innovative decision while considering factors such as CSR. This study can also be extended by considering this study for developed and emerging economies sample.

Purpose – In the recent redefinition of the European Commission's corporate social responsibility (CSR) strategy, attention is brought to CSR as a motor for innovation. However, literature in the area remains scarce. This chapter describes and discusses innovation as a consequence of a firm's CSR activities.

Methodology/approach – The empirical part of the chapter is based on the content analysis of 58 annual reports issued by the companies listed on the Swedish large-cap stock exchange. Their statements on CSR were coded to grasp the meanings of CSR, what areas they focus on, and types of innovation.

Findings – The study indicates that CSR innovation mostly focuses on environmental aspects. Companies that are less regulated by law in their operations tend to become more creative in their CSR approaches. CSR policy complements rather than enhances CSR innovation. CSR orientation is path-dependent on competences and position in the supply chain, and puts focus on incremental innovation. For product innovation, CSR may either appear as CSR in product (CSR-influenced material choices) or CSR in use.

Research limitations/implications – The data comprises established Swedish firms, however acting on international markets.

Social implications – Innovation and CSR are two important pillars for societal development. Finding motors that foster innovation, while increasing CSR awareness and using CSR as the driver for innovation, are important challenges for the future.

Originality/value of chapter – The study contributes to previous research through linking CSR orientation to innovation, describing types of innovation, and connecting their combined foci to different industry sectors.

The Fourth Industrial Revolution has escalated innovation to new heights unseen, creating an evolution of innovation and corporate social responsibility (CSR), and as a result, a more Innovative CSR. With this evolution comes also the evolution of the ‘Preneur’ from social entrepreneur to corporate social entrepreneur and corporate social intrapreneur. It is therefore important to acknowledge that social entrepreneurship is not just for the social sector, or start-up entrepreneur – corporations can also be social entrepreneurs. This chapter establishes an understanding of this possibility alongside solving wicked problems and challenges, and how to provide collaborative networks and co-creation experiences to assist others on this journey. More importantly, the chapter discusses how corporates can assist millennials (and Generation Z) by funding and incubating their innovative or social enterprise idea under the umbrella of CSR strategy, until it is ready to be released to the world. The chapter is supported by academic literature and business publications with suggestions for future research opportunities.

This paper aims to analyze unexplored connections between economic, environmental and social dimensions of corporate social responsibility (CSR) and knowledge management (KM) strategies (exploration, exploitation), also considering environmental dynamism as an influencing variable on these connections. The predicted CSR-KM interplay suggests, from stakeholder and knowledge-based views of the firm, the existence of ideal configurations between CSR and KM strategies that generate differentiated impacts on companies’ innovation capabilities, especially in dynamic environments.

Structural equation modeling by means of the partial least squares technique was used to test the study’s hypotheses after collecting survey data from Spanish companies of the renewable energy sector.

The study findings show that in highly dynamic environments, companies will tend to commit prominently in CSR, although their orientation (economic, environmental, social) and effects on innovation capabilities will depend mainly on the selected KM strategies. Social and environmental CSR are found to be highly related to KM exploration, whereas economic CSR is highly related to KM exploitation. Nevertheless, while a significant indirect effect of economic CSR by means of the KM exploitation strategy on innovation capabilities is found, the proposed indirect effect of both environmental and social CSR through the KM exploration strategy on innovation capabilities is not significant.

The results suggest that company managers should be aware of the advantages of following specific paths of investment in KM and CSR initiatives in highly dynamic environments, as there is a potential payoff in terms of innovation capability improvement. The results also suggest that “good” relationships with stakeholders, built from specific CSR investments, make firms able to get valuable knowledge that it is useful to develop KM strategies for innovation capability development.

Previous studies do not consider the interplay between KM strategies and CSR as a catalyzer for developing a firm’s innovation capabilities. This paper contributes to the KM and innovation literatures by introducing CSR into the conversation about how to improve innovation capabilities in dynamic and sustainable industries by using configurations of KM strategies and specific CSR investments in economic, social and environmental areas.

Corporate social responsibility (CSR) and innovation are the two main approaches firms utilize to promote sustainable development. However, as yet, scholars have reached no consensus regarding their precise impact on construction firm performance (CFP), hindering efforts to implement effective sustainable development strategies that improve CFP. In view that a simple linear relationship may not be sufficient to capture their precise pattern, this study aims to unveil the nonlinear impact of CSR and innovation on CFP, especially when construction firms take up a distinct competitive position.

This study first proposed four hypotheses to establish a new theoretical model by incorporating CSR, innovation, CFP and construction firms' competitive position (CFCP). Then the model was tested by using 292 annual observations collected from 75 construction firms in China. A multiple regression model analysis was carried out to analyze the survey data and validate the hypotheses.

The results reveal that both CSR and innovation have a U-shaped impact on the price-to-book ratio of a construction firm, a specific CFP measure. CFCP negatively moderates the U-shaped relationship between CSR and CFP, but positively moderates the U-shaped relationship between innovation and CFP.

This study goes beyond a simple linear view, instead of unveiling the nonlinear U-shaped effects of CSR and innovation on CFP that deepen the understanding of their complex relationships in the construction industry and makes construction firms aware that CSR and innovation can only improve performance if they reach a certain level. The moderating role of CFCP provides important implications for construction firms seeking to adopt appropriate competitive strategies related to social responsibility and innovation that both promote CFP and achieve sustainable development.

The paper aims at summarizing the state of knowledge on the relationship between a company’s corporate social responsibility (CSR) and its innovation performance.

The research relied on a systematic literature review with the use of SALSA (Search, AppraisaL, Synthesis, Analysis) and backwards-snowballing methods. The search encompassed one electronic database – Scopus. Finally, the set of papers analyzed amounted to 24 publications. The relationship between innovation and CSR reported in these papers were synthesized in the form of a mapping review.

The results indicated the lack of scientific consensus on many aspects of the relationship studied. CSR was assumed to influence innovation performance, and inversely, innovations were presumed to have an impact on the company’s CSR. However, the relation’s determinants were strongly diversified in the set of articles studied.

The present paper omitted articles published in languages other than English. Also, it limited the papers studied to those published between January 2000 and August 2014 in journals listed on the Journal Citation Report. The paper contributes to the research by highlighting the most important research gaps and implications for further research.

The present paper constitutes an up-to-date summary on the studied relationship, which is important for practitioners in the management process.

According to the authors’ knowledge, no systematic reviews dedicated to the relationship between a company’s CSR and its innovation performance were made before. Thus, it fulfils an important research gap.

In developed countries, corporate social responsibility (CSR) has become an important element for firms, as CSR strategies enhance their competitiveness and corporate reputation, has CSR the same role in the emergent countries? To answer this question, the authors build a conceptual framework and focus their research on Iran's context with the aim to find an answer to the following research question: does CSR influence innovation processes and how much is it increasingly a cultural value in the same level of competitive ones? Therefore the purpose of this research is to study the role of CSR in firms operating in emergent countries

In the pandemic era, CSR could be considered not what you do with your money once you have made it but how you make your money safeguarding environmental resources and answering community needs, in collaboration with other social and economic agents. While investigating CSR, we have to take into account the fact that different countries have different priorities and values that shape the way business operates.

To reach this aim, the authors carried out the research during the pandemic period, between September 2021 and December 2021, on almost 500 small and medium enterprises operating in Ardakan area in Iran, a simple random sample was surveyed by partial least squares-structural equation modelling.

Given the lack of empirical studies on the considered country, this research has attempted to determine the impact of CSR practices on innovation and, simultaneously, to check the effect of innovation on CSR practices, in order to test empirically whether there is a bidirectional relationship. Furthermore, the study reveals the importance of integrating social and economic stakeholders’ requirements and expectations about environmental and social concerns within a country in which the specific norms’ presence is weak.

The purpose of this paper is to investigate investors’ perception of corporate social responsibility (CSR) and its risk-mitigating effects on firm-level innovation in Japan from 2006 to 2017. The authors examine the influence of CSR intensity on firm-specific risks, focusing on the risk-moderating effect of CSR on innovation.

The authors conducted a simple slope analysis and panel data regressions with input and output innovation measures and idiosyncratic risk based on an asset-pricing model.

The results demonstrate that CSR intensity not only reduces firm-specific risk directly but also indirectly by negatively moderating the relationship between firm-level innovation and idiosyncratic risk.

Signaling trust to capital markets, CSR engagements in the manufacturing industry are clearly important for innovative firms with active research and development undertakings.

Corporate managers should further expand their efforts to make non-financial disclosures available, considering the interactions between CSR intensity and research and development financial risk.

In the context of Japanese firms, this study demonstrates the interaction between CSR practices and innovation activities from the perspective of long-term management of corporate sustainability.

Drawing on the resource-based view (RBV) and knowledge-based view (KBV) theories, this study contributes to deepen the knowledge that corporate social responsibility (CSR) exerts on firms' innovation, considering the role played by cooperation. The research also seeks to ascertain the factors that influence the development of business cooperation.

The database used is the Community Innovation Survey (CIS, 2014) applied in the European Union (EU) during the time period 2012–2014. A sample of 7083 Portuguese firms were analyzed through the partial least squares structural equation modeling (PLS-SEM).

The results suggest that CSR positively relates with firms' innovation, and business cooperation partially mediates this relationship. The outcomes also reveal that investing in certain types of innovation activities increases the firms' willingness to cooperate.

The findings contribute to encourage an open innovation strategy as an easy and effective way to cope with rapid trends and changes, since it demonstrates the complementary between innovation and cooperation, as sources of value creation. From a triple bottom line (TBL) perspective, it also highlights that CSR must include social, economic and environmental initiatives, and should be a part of the firms' innovation strategy. As a result, managers who intend to contribute for society in the long term should plan, monitor and manage all CSR dimensions.