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Effect of organizational status on employment-related corporate social responsibility: Evidence from a regression discontinuity approach
Research Summary: We examine the effect of organizational status on employment-related corporate social responsibility (CSR). As employees derive nonpecuniary benefits from both organizational status and employment-related CSR, lower status firms may invest in nonpecuniary employment-related CSR to compete in a status-segmented labor market. We identify the effect using a regression discontinuity design (RDD) in the context of the Fortune 1000 rankings, as we contend that the 500th rank position marks an artificial breakpoint in status where quality follows a smooth distribution. We find that firms just failing to make the Fortune 500 perform significantly better in nonpecuniary employment-related CSR. Our findings provide causal evidence for the labor market advantage of organizational status and a richer window into the strategic motivations behind CSR investments.
Managerial Summary: We examine one strategic investment that lower status firms make to compete in a status-segmented labor market: employment-based corporate social responsibility (CSR). We identify the effect using a regression discontinuity design (RDD) in the context of the Fortune 1000 rankings, as we argue that the 500th rank position creates a discontinuity in status at a precise location where quality differences can be assumed to follow a smooth distribution. We find that firms just failing to make it into the Fortune 500 perform significantly better in nonpecuniary employment-related CSR as compared to firms just in the Fortune 500. The findings demonstrate that building a reputation for being socially responsible may offset differences in status and make a lower status organization more appealing to employees.
Ketersediaan
| Call Number | Location | Available |
|---|---|---|
| PSB lt.2 - Karya Akhir (Majalah) | 1 |
| Penerbit | USA: Strategic Management Society 2023 |
|---|---|
| Edisi | Vol. 44 issue 12, Dec 2023 |
| Subjek | Corporate social responsibility strategic human capital Nonpecuniary benefits Organizational status Quasi-experiments |
| ISBN/ISSN | 1097-0266 |
| Klasifikasi | NONE |
| Deskripsi Fisik | 233 p. |
| Info Detail Spesifik | Strategic Management Journal |
| Other Version/Related | Tidak tersedia versi lain |
| Lampiran Berkas |