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The Influence of Corporate Social Responsibility on Competitive Advantage with Multiple Mediations from Social Capital and Dynamic Capabilities

Author

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  • Zhonghua Zhao

    (School of Management & Economics, Beijing Institute of Technology, Beijing 100081, China)

  • Fanchen Meng

    (School of Management & Economics, Beijing Institute of Technology, Beijing 100081, China)

  • Yin He

    (Institute of Civil Aviation Planning, China Academy of Civil Aviation Science and Technology, Beijing 100081, China)

  • Zhouyang Gu

    (School of Management & Economics, Beijing Institute of Technology, Beijing 100081, China)

Abstract

The correlation between corporate social responsibility (CSR) and competitive advantage (CA) has been studied for decades; however, a consistent conclusion has still not been reached. This may be due to the lack of discussion about the variables that affect the relationship between them. We extended the examination of the relationship between CSR and CA through largely ignored perspectives of organization resources and capabilities. Drawing on the multiple mediations of social capital (SC) and dynamic capabilities (DCs), we generated propositions concerning the relationship of CSR with CA. Based on 112 enterprises in China, the data from 269 surveys were used to test our theoretical model. The results showed that CSR can positively affect CA directly and indirectly with mediations of structure and relational dimensions of CA. The results also showed that, in the dynamic environment, CSR indirectly created CA by enhancing DCs, such as resource integration capability and organizing learning capability, but not by innovation and transformation capability. From these results, the paper concluded that with a proper combination of external social measures, internal competitive resources and capabilities, enterprises can realize the creation of a shared value of economy and society, which in turn will become the sustainable power with which enterprises can gain CA.

Suggested Citation

  • Zhonghua Zhao & Fanchen Meng & Yin He & Zhouyang Gu, 2019. "The Influence of Corporate Social Responsibility on Competitive Advantage with Multiple Mediations from Social Capital and Dynamic Capabilities," Sustainability, MDPI, vol. 11(1), pages 1-16, January.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:1:p:218-:d:194813
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    8. Andrija Bariæ & Mislav Ante Omaziæ & Ana Aleksiæ, 2021. "Corporate social responsibility of export organizations: Relation between strategy, activities and communication on foreign markets," Interdisciplinary Description of Complex Systems - scientific journal, Croatian Interdisciplinary Society Provider Homepage: http://indecs.eu, vol. 19(1), pages 120-131.
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    13. Andrija Bariæ & Mislav Ante Omaziæ & Ana Aleksiæ, 2021. "Corporate social responsibility of export organizations: Relation between strategy, activities and communication on foreign markets," Interdisciplinary Description of Complex Systems - scientific journal, Croatian Interdisciplinary Society Provider Homepage: http://indecs.eu, vol. 19(1), pages 120-131.
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    15. Ilka Marie Frerichs & Thorsten Teichert, 2023. "Research streams in corporate social responsibility literature: a bibliometric analysis," Management Review Quarterly, Springer, vol. 73(1), pages 231-261, February.
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    17. Lucian Belascu & Dan Gabriel Dumitrescu & Alexandra Smedoiu Popoviciu & Alexandra Horobet, 2021. "What Drives Profitability in the Romanian ICT Sector?," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 23(Special15), pages 899-899, November.
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    19. Caterina De Lucia & Pasquale Pazienza & Mark Bartlett, 2020. "Does Good ESG Lead to Better Financial Performances by Firms? Machine Learning and Logistic Regression Models of Public Enterprises in Europe," Sustainability, MDPI, vol. 12(13), pages 1-29, July.

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