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Did Corporate Social Responsibility Vaccinate Corporations Against COVID-19?
Department of Accounting and Finance, Urmia University, Urmia, Iran.
Department of Accounting and Finance, Urmia University, Urmia, Iran.
Department of Economics and Finance, University of New Orleans, New Orleans, USA.ORCID iD: 0000-0001-6274-3545
University of Gävle, Faculty of Education and Business Studies, Department of Business and Economic Studies, Business administration.ORCID iD: 0000-0002-2536-0446
2024 (English)In: Journal of Business Ethics, ISSN 0167-4544, E-ISSN 1573-0697, Vol. 189, p. 525-551Article in journal (Refereed) Published
Abstract [en]

Using an international setting consisting of 5410 corporations domiciled in 24 countries, we test the insurance-like effect of corporate social responsibility (CSR) performance in the era of the pandemic and confirm that CSR performance increases socially responsible companies’ resilience against the adverse effects of the crisis. Comparing stakeholders' responses to CSR activities during the pandemic and normal periods, we observe that the link between CSR performance and firm value is stronger during the crisis period. We also realize that the social aspect of CSR performance is the main driver for the mentioned effects. Finally, comparing the resilience of highly committed socially responsible companies with those with moderate and very low CSR ratings, we observe that best-in-class companies enjoy the greatest buffering effects, implying that the insurance-like effect of CSR performance is non-linear against systematic crises. Findings are robust to ceremonial CSR activities, extreme values of market-based instruments, endogeneity concern, etc. 

Place, publisher, year, edition, pages
Springer , 2024. Vol. 189, p. 525-551
Keywords [en]
COVID-19; CSR performance; Firm performance
National Category
Economics and Business
Research subject
Sustainable Urban Development
Identifiers
URN: urn:nbn:se:hig:diva-41015DOI: 10.1007/s10551-023-05331-1ISI: 000920004300001PubMedID: 36743218Scopus ID: 2-s2.0-85147097798OAI: oai:DiVA.org:hig-41015DiVA, id: diva2:1733941
Available from: 2023-02-03 Created: 2023-02-03 Last updated: 2024-01-22Bibliographically approved

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Homayoun, Saeid

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