The Negative Relationship Between Event-Specific Corporate Social Responsibility and Shareholder Value

Abstract Previous work has shown that corporate social responsibility (CSR) initiatives can preserve shareholder value after an organization experiences a negative event. I expand on this theory by examining one boundary condition that could lead to the opposite relationship: when the organization h...

Full description

Saved in:
Bibliographic Details
Published inSocial Movements, Stakeholders and Non-Market Strategy Vol. 56; pp. 143 - 171
Main Author Kayser, Susan A.
Format Book Chapter
LanguageEnglish
Published Emerald Publishing Limited 2018
Subjects
Sociology
Work, economy & organizations
Supply chain
activist pressure
risk management
Shareholder value
corporate social responsibility
event study
Online AccessGet full text

Cover

More Information
Summary:Abstract Previous work has shown that corporate social responsibility (CSR) initiatives can preserve shareholder value after an organization experiences a negative event. I expand on this theory by examining one boundary condition that could lead to the opposite relationship: when the organization has a CSR initiative intended to prevent the type of event that occurs. The author argues that activist pressure will enhance the negative relationship between event-specific CSR and shareholder value. Using an event-study, the author examines the apparel industry after the collapse of Rana Plaza which killed over a thousand apparel supply chain employees.
ISBN:9781787543508
1787543501
ISSN:0733-558X
DOI:10.1108/S0733-558X20180000056007