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A Study on the Relationship between Corporate Social Responsibility and Supply Chain Profit Distribution in the Context of Common Prosperity

Author

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  • Guihua Wang

    (School of Business and Trade, Nanjing Vocational University of Industry Technology, Nanjing 210023, China)

  • Quan Guo

    (School of Economics and Management, Suzhou Polytechnic Institute of Agriculture, Suzhou 215000, China)

  • Qiong Jiang

    (School of Business Administration, Chongqing Vocational and Technical University of Mechatronics, Chongqing 402760, China)

  • Butong Li

    (School of Economics and Management, Nanjing University of Aeronautics and Astronautics, Nanjing 210016, China)

Abstract

As the new mode of resource allocation and profit distribution governance, common prosperity will be achieved effectively through the “third distribution” of corporate social responsibility (CSR) to regulate profit. The performance level of CSR is directly related to the profitability of the entire supply chain and its member enterprises. In the study, based on the utilization of the Shapley value method, by incorporating CSR elements, a preliminary model of profit allocation for four cooperative scenarios in the supply chain is constructed and modified to take into account the level of CSR implementation. Based on the modified model, the relationship between the performance level of CSR and the total profit of the supply chain and the member enterprises’ profit is analyzed. The study shows that the total profit of the supply chain is linearly and positively correlated with the performance level of CSR. In contrast, the profit of supply chain members has a nonlinear positive correlation with CSR performance. The impact of the whole level of CSR fulfillment on the profitability of the entire supply chain varies at different stages. Finally, the findings are discussed from the perspectives of the government, industry organizations, supply chain managers, and supply chain member enterprises, providing valuable references for the research and practice of comprehensively promoting CSR fulfillment in supply chains and realizing common prosperity.

Suggested Citation

  • Guihua Wang & Quan Guo & Qiong Jiang & Butong Li, 2022. "A Study on the Relationship between Corporate Social Responsibility and Supply Chain Profit Distribution in the Context of Common Prosperity," Sustainability, MDPI, vol. 14(19), pages 1-18, September.
  • Handle: RePEc:gam:jsusta:v:14:y:2022:i:19:p:12410-:d:929185
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    References listed on IDEAS

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