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Chief executive officer narcissism and firm value: The mediating role of corporate social responsibility in the South Korean context

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  • Keun‐Hyo Yook
  • Su‐Yol Lee

Abstract

This study analyzes whether narcissism in chief executive officers (CEOs) affects firm value through the promotion of corporate social responsibility (CSR) initiatives. Employing the upper‐echelons perspective, we present a research framework for the relationship between CEO narcissism and firm performance with CSR as the mediation variable. The results of the regression analysis of 265 firm‐year South Korean samples from 2010 to 2016 indicate that CEO narcissism promotes CSR initiatives and CSR enhances firm value in the capital market. However, the results do not provide evidence that CSR mediates the link between CEO narcissism and desirable organizational outcomes. The findings of this study build a better theoretical and practical understanding of the antecedents and consequences of CSR from the CEO's psychological personality perspective.

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  • Keun‐Hyo Yook & Su‐Yol Lee, 2020. "Chief executive officer narcissism and firm value: The mediating role of corporate social responsibility in the South Korean context," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(4), pages 1709-1718, July.
    • Handle: RePEc:wly:corsem:v:27:y:2020:i:4:p:1709-1718
    DOI: 10.1002/csr.1918
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    Cited by:

    1. Karel Hrazdil & Fereshteh Mahmoudian & Jamal A. Nazari, 2021. "Executive personality and sustainability: Do extraverted chief executive officers improve corporate social responsibility?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(6), pages 1564-1578, November.
    2. Włodzimierz Sroka & Jolita Vveinhardt, 2020. "Is a CSR Policy an Equally Effective Vaccine Against Workplace Mobbing and Psychosocial Stressors?," IJERPH, MDPI, vol. 17(19), pages 1-20, October.
    3. Bhaskar, Ratikant & Li, Peigong & Bansal, Shashank & Kumar, Satish, 2023. "A new insight on CEO characteristics and corporate social responsibility (CSR): A meta-analytical review," International Review of Financial Analysis, Elsevier, vol. 89(C).
    4. Jin‐Ki Hong & Ji‐Hwan Lee & Taewoo Roh, 2022. "The effects of CEO narcissism on corporate social responsibility and irresponsibility," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 43(6), pages 1926-1940, September.

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