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The financial effects of uniform and mixed corporate social performance


Reference:

Oikonomou, I., Brooks, C. and Pavelin, S., 2014. The financial effects of uniform and mixed corporate social performance. Journal of Management Studies, 51 (6), pp. 898-925.

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Official URL:

http://dx.doi.org/10.1111/joms.12064

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Abstract

Firms typically present a mixed picture of corporate social performance (CSP), with positive and negative indicators exhibited by the same firm. Thus, stakeholders’ judgements of corporate social responsibility (CSR) typically evaluate positives in the context of negatives, and vice versa. Building on social judgement theory, we present two alternative accounts of how stakeholders respond to such complexity, which provide differing implications for the financial effects of CSP: reciprocal dampening and rewarding uniformity. Echoing notable findings on strategic consistency, our US panel study finds that firms that exhibit uniformly positive or uniformly negative indicators in particular dimensions of CSP outperform firms that exhibit a mixed picture of positives and negatives, which supports the notion that stakeholders’ judgements of CSR reward uniformity.

Details

Item Type Articles
CreatorsOikonomou, I., Brooks, C. and Pavelin, S.
DOI10.1111/joms.12064
Related URLs
URLURL Type
http://www.scopus.com/inward/record.url?scp=84887210387&partnerID=8YFLogxKUNSPECIFIED
Uncontrolled Keywordssustainability,corporate reputation,corporate social performance,corporate socialresponsibility,social judgment theory,strategic consistency
DepartmentsSchool of Management
Research CentresCentre for Business, Organisations and Society (CBOS)
RefereedYes
StatusPublished
ID Code37946

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