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Stakeholder Influences and MNC Subsidiaries’ CSR Under Institutional Voids: An Empirical Examination of International Service Enterprises in Korea

Author

Listed:
  • Taewoo Roh

    (Hanyang University)

  • Shufeng Xiao

    (Sookmyung Women’s University)

  • Byung Il Park

    (College of Business, Hankuk University of Foreign Studies)

  • Ana M. Romero-Martínez

    (Complutense University of Madrid)

Abstract

This study aims to examine the relationship between stakeholder influence and multinational corporation (MNC) subsidiaries’ corporate social responsibility (CSR) in local markets. It also attempts to identify how institutional voids moderate the effects of stakeholder pressure on strategic CSR. By collecting data from 138 service MNCs operating in South Korea, this study reveals a positive relationship between primary stakeholder pressure and strategic CSR. Moreover, it identifies that secondary stakeholder pressure positively influences a firm’s responsive CSR. Additionally, an institutional void in a host market plays a significant moderating role in the strategic CSR of service MNCs affected by primary and secondary stakeholder pressure. Our findings provide insight into the importance of service MNCs identifying the specific type of CSR demanded by primary and secondary stakeholders and the extent of the institutional voids in a host market. These findings offer several theoretical and practical implications for stakeholder and institutional theories within the international business literature.

Suggested Citation

  • Taewoo Roh & Shufeng Xiao & Byung Il Park & Ana M. Romero-Martínez, 2025. "Stakeholder Influences and MNC Subsidiaries’ CSR Under Institutional Voids: An Empirical Examination of International Service Enterprises in Korea," Management International Review, Springer, vol. 65(3), pages 487-512, June.
    • Handle: RePEc:spr:manint:v:65:y:2025:i:3:d:10.1007_s11575-025-00579-3
    DOI: 10.1007/s11575-025-00579-3
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