The effects of top management team national diversity and institutional uncertainty on subsidiary CSR focus

This research investigates how top management team national diversity (TMTND) and corporate social responsibility (CSR) institutional uncertainty affect strategic CSR focus in foreign-owned subsidiaries. The paper develops a theoretical framework based on institutional theory and upper echelon persp...

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Bibliographic Details
Authors: Dahms, Sven (Author) ; Suthikorn Kingkaew (Author) ; Ng, Eddy S. (Author)
Format: Electronic Article
Language:English
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Published: Springer Science + Business Media B. V 2022
In: Journal of business ethics
Year: 2022, Volume: 177, Issue: 3, Pages: 699-715
Further subjects:B Institutional Theory
B Corporate social responsibility
B Foreign-owned subsidiaries
B Top management team national diversity
B Aufsatz in Zeitschrift
B Upper echelon theory
Online Access: Presumably Free Access
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Summary:This research investigates how top management team national diversity (TMTND) and corporate social responsibility (CSR) institutional uncertainty affect strategic CSR focus in foreign-owned subsidiaries. The paper develops a theoretical framework based on institutional theory and upper echelon perspectives to test a sample of MNE subsidiaries. Survey data were collected from subsidiaries in Thailand and Taiwan. Non-symmetric analysis suggests that while TMTND plays an important role in establishing a CSR focus, it is not conducive in itself to high-performance outcomes. Performance is measured by market share, sales growth, and profitability for each subsidiary. The results also show that there are notable differences between the subsidiaries located in Thailand and Taiwan as to what extent CSR strategic focus and top management team national diversity are relevant for high-performance outcomes. The study demonstrates that the links between CSR, TMTND, and subsidiary performance are much more complex than previously assumed.
ISSN:1573-0697
Contains:Enthalten in: Journal of business ethics
Persistent identifiers:DOI: 10.1007/s10551-020-04721-z