Abstract
There has been a growing emphasis on the importance of a long-term perspective in academia and practice. Yet understanding of the interdependency of those factors – the temporal preferences embedded in organizations and in societal values as well as the influence of temporal orientation of investors – remains limited. We theorize whether and how a firm's corporate social responsibility (CSR) is affected by the societal temporal orientation, its time horizon, and its investors' time horizon. Using a global sample, we confirm that CSR activity is higher when a country has a long-term orientation culture, when the firm has a long-time horizon, and when the controlling institutional investor has a long-term investment horizon. We also find that the national culture's long-term orientation heightens the effect of a firm's long-time horizon on its CSR. Further, our results show that the effects of temporal orientation are more pronounced in environmental than in social CSR.
| Original language | English |
|---|---|
| Pages (from-to) | 82-119 |
| Number of pages | 38 |
| Journal | Journal of Management Studies |
| Volume | 60 |
| Issue number | 1 |
| Early online date | 22 Aug 2022 |
| DOIs | |
| Publication status | Published - Jan 2023 |
Bibliographical note
Funding Information:We thank Editor Jonathan Doh and three anonymous reviewers for their constructive comments on earlier versions of this article. The authors also gratefully acknowledge comments and suggestions from Tima Bansal, Oana Branzei, Andrew Crane, Mike Kotabe, Alfred Marcus, Jeffery McMullen, Tomasz Obloj, colleagues at University of New South Wales, and seminar participants at Temple University, Ivey Business School Ph.D. Sustainability Academy, Virginia Tech, Pusan National University, University of Sydney, 2016 Academy of International Business, and Academy of Management annual meetings. An earlier version of this paper has won the best paper award at the Ivey/ARCS Ph.D. Sustainability Academy and been nominated for the best paper award at the IM division of the 2016 Academy of Management annual meeting. Open access publishing facilitated by University of New South Wales, as part of the Wiley - University of New South Wales agreement via the Council of Australian University Librarians.
Publisher Copyright:
© 2022 The Authors. Journal of Management Studies published by Society for the Advancement of Management Studies and John Wiley & Sons Ltd.
Keywords
- corporate social responsibility
- global corporate governance
- patient capital
- short-termism
- stakeholder theory
- temporal orientation
ASJC Scopus subject areas
- Business and International Management
- Strategy and Management
- Management of Technology and Innovation
