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Will Women Lead the Way? Differences in Demand for Corporate Social Responsibility Information for Investment Decisions

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  • Leda Nath
  • Lori Holder-Webb
  • Jeffrey Cohen

Abstract

Recent years have featured a leap in academic and public interest in Corporate Social Responsibility (CSR) activities and related corporate reporting. Two main themes in this literature are the exploration of management incentives to engage in and disclose this information, and of the use and value of this information to market participants. We extend the second theme by examining the interest that specific investor classes have in the use of CSR information. We rely on feminist intersectionality, which suggests that gender intersects with other identities to yield different values, experiences, and opportunities that can lead to gender-based preferences for CSR information. Based upon a survey of 750 US-based retail investors, we find that female retail investors have a greater interest in the use of CSR information, relative to male retail investors. Women express greater anticipated future demand for this information than do men. Further, the magnitude of the increase from current use to anticipated future demand is greater for women than men. Age is a significant modifying factor in that the discrepancy between women of any age and older men is greater than that between women and younger men. Finally, women also exhibit greater demand for streamlining of the information flow, consistent with pressures induced by time poverty. It appears that current disclosure practices provide a less than optimal match with the needs of the information consumers that are primarily interested in using this information. This mismatch may result in a systematic disenfranchisement of female investing classes which suggests an ethical need to level the playing field. Copyright Springer Science+Business Media Dordrecht 2013

Suggested Citation

  • Leda Nath & Lori Holder-Webb & Jeffrey Cohen, 2013. "Will Women Lead the Way? Differences in Demand for Corporate Social Responsibility Information for Investment Decisions," Journal of Business Ethics, Springer, vol. 118(1), pages 85-102, November.
    • Handle: RePEc:kap:jbuset:v:118:y:2013:i:1:p:85-102
    DOI: 10.1007/s10551-012-1573-2
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    4. Thomas Kaspereit & Kerstin Lopatta & Zoltan Matolcsy, 2016. "Board Gender Diversity and Dimensions of Corporate Social Responsibility," Journal of Management and Sustainability, Canadian Center of Science and Education, vol. 6(2), pages 50-66, June.
    5. Badrul Muttakin, Mohammad & Chatterjee, Bikram & Khan, Arifur & Getie Mihret, Dessalegn & Roy, Rajat & Yaftian, Ali, 2022. "Corporate political donations, board gender diversity, and corporate social responsibility: Evidence from Australia," Journal of Business Research, Elsevier, vol. 152(C), pages 290-299.
    6. Belal A. Kaifi & Nile M. Khanfar & Ahmad O. Noor & Laura Poluka, 2014. "International Business Students¡¯ Understanding, Perception, and Commitment to Corporate Social Responsibility: A Study Based Upon Gender, Generational Affiliation, and Culture," Business and Management Research, Business and Management Research, Sciedu Press, vol. 3(3), pages 34-42, September.
    7. Ivan Montiel & Peter Jack Gallo & Raquel Antolin-Lopez, 2020. "What on Earth Should Managers Learn About Corporate Sustainability? A Threshold Concept Approach," Journal of Business Ethics, Springer, vol. 162(4), pages 857-880, April.
    8. Marta Pizzetti & Lucia Gatti & Peter Seele, 2021. "Firms Talk, Suppliers Walk: Analyzing the Locus of Greenwashing in the Blame Game and Introducing ‘Vicarious Greenwashing’," Journal of Business Ethics, Springer, vol. 170(1), pages 21-38, April.
    9. Sabrina Spallini & Virginia Milone & Antonio Nisio & Patrizia Romanazzi, 2021. "The Dimension of Sustainability: A Comparative Analysis of Broadness of Information in Italian Companies," Sustainability, MDPI, vol. 13(3), pages 1-22, January.
    10. Muhammad Atif & Md. Samsul Alam & Mohammed Hossain, 2020. "Firm sustainable investment: Are female directors greener?," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3449-3469, December.

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