Dual Drivers of Institutional Pressure and Socio-Psychological Expectations: A Multilevel Analysis of CSR Practices in Emerging Markets

Fengwen Wang

Management (Montevideo), 2025, vol. 3, 273

Abstract: Corporate Social Responsibility (CSR) has gained increasing relevance in emerging markets, driven by globalization, stakeholder expectations, and evolving regulatory frameworks. Firms are expected to balance profit-making with broader social and environmental commitments. CSR adoption is inconsistent across firms, often influenced by external institutional demands and internal socio-psychological dynamics, and there is limited understanding of how these drivers shape CSR behaviors in a transitional economic environment. This research investigates the combined influence of institutional pressures and socio-psychological expectations on CSR engagement through a multilevel lens. Data were collected from 312 companies across emerging markets using a structured questionnaire capturing key institutional factors, regulatory pressure, normative pressure, and cognitive pressure, along with core socio-psychological constructs, including leadership commitment, organizational values, and employee CSR expectations. Confirmatory Factor Analysis (CFA) and reliability testing (Cronbach’s alpha > 0.80) ensured the validity and internal consistency of the constructs. The relationships were analyzed using Structural Equation Modeling (SEM) and path analysis to identify both direct and mediated effects. The SEM model demonstrated the most important factors in increasing CSR are RP (β = 0,32, p

Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:dbk:manage:v:3:y:2025:i::p:273:id:1062486agma2025273

DOI: 10.62486/agma2025273

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