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How Does Strategic CSR Foster Innovation? Evidence From France

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  • Zaineb Hlioui
  • Abdelwahed Omri
  • Ouidad Yousfi

Abstract

This paper analyzes the impact of strategic CSR on innovation performance, focusing on French firms listed on the SBF120 index. Despite increasing interest in the relationship between CSR and innovation, there is a notable gap in understanding the nuanced ways in which specific strategic CSR mechanisms influence innovation outcomes. This study addresses this gap by developing a comprehensive quantitative measure for strategic CSR based on four mechanisms: reputation enhancement, stakeholders' reciprocation, risk mitigation, and innovation capacity improvement. Our results indicate that the overall strategic CSR score is positively associated with corporate innovation. However, only the stakeholders' reciprocation and the innovation capacity improvement among the strategic CSR pillars significantly influence innovation outcomes. These insights offer policy implications, suggesting that policymakers encourage CSR practices that foster stakeholder collaboration and enhance innovation capabilities. These findings highlight the importance of a targeted implementation of strategic CSR to boost innovation effectively.

Suggested Citation

  • Zaineb Hlioui & Abdelwahed Omri & Ouidad Yousfi, 2026. "How Does Strategic CSR Foster Innovation? Evidence From France," Business Ethics, the Environment & Responsibility, John Wiley & Sons, Ltd., vol. 35(3), pages 2305-2327, July.
    • Handle: RePEc:wly:buseth:v:35:y:2026:i:3:p:2305-2327
    DOI: 10.1111/beer.70032
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