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CSR Portfolio Complexity and Firm Performance: Assessing the Moderating Effects of Slack Resources

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  • Kyle Turner

    (Tennessee Technological University, USA)

  • Joohun Lee

    (Tennessee Technological University, USA)

Abstract

Organizations often find themselves accountable to a diverse and changing set of stakeholders. In an effort to continue meeting these stakeholder needs, organizations strategically leverage CSR actions that align the interests of the firm with those of relevant stakeholders. In order to assess the ways in which a firm strategically manages a diverse and adaptive range of CSR activities, the present study proposes a portfolio approach. In particular, this study draws from stakeholder theory to present three measures of CSR portfolio complexity: CSR level, diversity, and dynamism. The study draws from agency theory insights to propose and assess the moderating effect of slack resources on the relationships between CSR level, diversity, dynamism, and firm performance. In a longitudinal sample, slack resources are found to enhance the positive relationship between CSR diversity and performance. Slack resources are also found to magnify the negative effects of CSR dynamism on performance.

Suggested Citation

  • Kyle Turner & Joohun Lee, 2022. "CSR Portfolio Complexity and Firm Performance: Assessing the Moderating Effects of Slack Resources," International Journal of Sustainable Entrepreneurship and Corporate Social Responsibility (IJSECSR), IGI Global, vol. 7(1), pages 1-19, January.
    • Handle: RePEc:igg:jsecsr:v:7:y:2022:i:1:p:1-19
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