Customer concentration and corporate charitable donations: Evidence from China

Jyun‐Ying Fu

Managerial and Decision Economics, 2023, vol. 44, issue 1, 545-561

Abstract: This study examines the impact of customer concentration on corporate charitable donations. Drawing on stakeholder and resource dependency theories, we argue that when firms rely on a small set of customers for a significant proportion of sales revenue, they will reduce corporate charitable donations. State ownership and industry competition moderate this relationship. Using data on corporate donations from Chinese listed firms between 2009 and 2019, we find support for our hypotheses. Our study contributes to the literature on customer concentration and corporate philanthropy in emerging economies.

Date: 2023
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https://doi.org/10.1002/mde.3699

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Persistent link: https://EconPapers.repec.org/RePEc:wly:mgtdec:v:44:y:2023:i:1:p:545-561

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