 Strategic responses of stigmatized Chinese manufacturing firms to formal and informal environmental regulative pressures through enhanced corporate social responsibility effortJia Xu, Jiuchang Wei and Haipeng (Allan) Chen () Corporate Social Responsibility and Environmental Management, 2019, vol. 26, issue 6, 1235-1260 Abstract: Linking two forms of regulative pressures to different motivations for firms' strategic choices, we propose that stigmatized firms' effort to enhance their corporate social responsibility (CSR) reflects legitimacy considerations when faced with formal regulative pressures, but efficiency considerations when faced with informal regulative pressures. We provide empirical support for our theory by investigating publicly listed Chinese manufacturing firms' environmental CSR performance after they are stigmatized for environmental pollution. Our data strongly support our predictions. Stigmatized firms show a lower CSR effort when formal regulative pressure is low and they can easily shun responsibility for polluting the environment, whereas they show a higher CSR effort when informal regulative pressure is high and they cannot easily shun responsibility for the pollution. These findings highlight the unique insight that can be gained by studying stigmatized firms' reactions to different types of regulative pressures as a function of responsibility dilution in an emerging economy. Date: 2019 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:wly:corsem:v:26:y:2019:i:6:p:1235-1260 Access Statistics for this article More articles in Corporate Social Responsibility and Environmental Management from John Wiley & Sons |
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