The CSR-Quality Trade-Off: When can Corporate Social Responsibility and Corporate Ability Compensate Each Other?

This paper investigates under what conditions a good corporate social responsibility (CSR) can compensate for a relatively poor corporate ability (CA) (quality), and vice versa. The authors conducted an experiment among business administration students, in which information about a financial service...

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Bibliographic Details
Authors: Berens, Guido (Author) ; van Riel, Cees B. M. (Author) ; van Rekom, Johan (Author)
Format: Electronic Article
Language:English
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Published: Springer Science + Business Media B. V 2007
In: Journal of business ethics
Year: 2007, Volume: 74, Issue: 3, Pages: 233-252
Further subjects:B corporate ability
B Corporate social responsibility
B applicant attitudes
B Trade-offs
B Consumer attitudes
B personal relevance
B investor attitudes
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Summary:This paper investigates under what conditions a good corporate social responsibility (CSR) can compensate for a relatively poor corporate ability (CA) (quality), and vice versa. The authors conducted an experiment among business administration students, in which information about a financial services company’s CA and CSR was provided. Participants indicated their preferences for the company’s products, stocks, and jobs. The results show that for stock and job preferences, a poor CA can be compensated by a good CSR. For product preferences, a poor CA could not be compensated by a good CSR, at least when people thought that CA is personally relevant to them. Furthermore, a poor CSR could be compensated by a good CA for product, stocks, and job preferences.
ISSN:1573-0697
Contains:Enthalten in: Journal of business ethics
Persistent identifiers:DOI: 10.1007/s10551-006-9232-0