The Effects of Corporate Social Responsibility on Service Innovation Performance: The Role of Dynamic Capability for Sustainability

Lan Li, Gang Li, Fu-Sheng Tsai, Hsiu-Yu Lee and Chien-Hsing Lee
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Lan Li: School of Business Administration, Research Centre of Henan Economy, Henan University of Economics and Law, 180 Jinshuidong Road, Zhengzhou 450046, China
Gang Li: School of Management and Economics, North China University of Water Resources and Electric Power, 136 Jinshuidong Road, Zhengzhou 450046, China
Fu-Sheng Tsai: Department of Business Administration, Cheng Shiu University, Kaohsiung 833, Taiwan
Hsiu-Yu Lee: Department of Business Administration, Cheng Shiu University, Kaohsiung 833, Taiwan
Chien-Hsing Lee: Department of Business Administration, Cheng Shiu University, Kaohsiung 833, Taiwan

Sustainability, 2019, vol. 11, issue 10, 1-20

Abstract: The effects of corporate social responsibility (CSR) on product and technological innovation have been thoroughly examined. However, the relationship between CSR and service innovation remains largely unexplored. We examined the relationship between community and environmental CSR and service innovation performance, with further exploration of the mediating mechanism between them. Based on social capital and dynamic capability theory, we developed a model revealing that CSR improves the performance of service innovation through an advanced dynamic capability to address rapidly changing environments. Through the use of structural equation modeling and hierarchical regression analyses, we tested the conceptual model with a data set of 298 small- and medium-sized enterprises in China. The results demonstrate that the positive influence of community CSR on service innovation performance is partially mediated by dynamic capability, whereas this effect of environmental CSR is fully mediated by dynamic capability. These findings have important implications for both CSR and service innovation practice and theory.

Keywords: corporate social responsibility; dynamic capability; service innovation; China; SMEs (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

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Persistent link: https://EconPapers.repec.org/RePEc:gam:jsusta:v:11:y:2019:i:10:p:2739-:d:230886

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