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CEO power and corporate social responsibility decoupling

Author

Listed:
  • Yasir Shahab
  • Ammar Ali Gull
  • Tanveer Ahsan
  • Rizwan Mushtaq

Abstract

While extending the scarce literature on determinants of corporate social responsibility (CSR) decoupling, we examine the impact of CEO power on CSR decoupling. Using panel data of US firms for 2002–2017, we find that CEO power increases CSR decoupling. Our results remain consistent after controlling for the endogeneity problem. Aligned with the managerial power theory, our results suggest that firms with powerful CEOs are more likely to manage CSR performance through decoupling.

Suggested Citation

  • Yasir Shahab & Ammar Ali Gull & Tanveer Ahsan & Rizwan Mushtaq, 2022. "CEO power and corporate social responsibility decoupling," Applied Economics Letters, Taylor & Francis Journals, vol. 29(21), pages 1965-1969, December.
    • Handle: RePEc:taf:apeclt:v:29:y:2022:i:21:p:1965-1969
    DOI: 10.1080/13504851.2021.1966368
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    Cited by:

    1. Kwon, Shin Hyoung & Kim, Joongseo & Yim, Hyunsoon (Sean), 2023. "Looking far or close: The explanatory role of myopic management in the relationship between CEO-TMT power disparity and corporate social responsibility," Journal of Business Research, Elsevier, vol. 167(C).
    2. Shabir, Mohsin & Jiang, Ping & Shahab, Yasir & Wang, Peng, 2023. "Geopolitical, economic uncertainty and bank risk: Do CEO power and board strength matter?," International Review of Financial Analysis, Elsevier, vol. 87(C).
    3. Patrick Velte, 2023. "Determinants and consequences of corporate social responsibility decoupling—Status quo and limitations of recent empirical quantitative research," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 30(6), pages 2695-2717, November.

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