IDEAS home Printed from https://ideas.repec.org/a/wly/corsem/v32y2025i3p3471-3494.html
   My bibliography  Save this article

Advancing Business Ethical Standards: Unpacking the Synergistic Influence of Governance Structures and CSR Engagement on Corporate Integrity in BRICS Countries

Author

Listed:
  • Abednego Osei
  • Naiping Zhu
  • Andrew Osei Agyemang

Abstract

In a global business environment where ethical lapses increasingly undermine corporate credibility, can enhanced governance mechanisms and CSR engagement drive ethical corporate behavior? This study explores the intricate relationship between corporate governance attributes and Business Ethical Practices (BEP), examining how CSR engagement moderates this relationship across 386 manufacturing firms in the BRICS countries from 2010 to 2022. Grounded in Stakeholder and Agency Theories, the research investigates three core governance strands: diversity, structural, and process attributes. Using the Generalized Method of Moments (GMM) estimator, the findings reveal that gender diversity and age diversity positively influence BEP, while national diversity has a negative association, raising concerns about the alignment of foreign board members with local ethical standards. Board independence and board size significantly enhance ethical practices, while CEO duality negatively affects BEP, emphasizing the importance of independent oversight. Among process attributes, board meetings and board tenure positively contribute to BEP, while meeting attendance shows a negative association, suggesting that mere presence without meaningful participation may not guarantee ethical outcomes. Notably, CSR engagement amplifies positive governance effects and mitigates negative influences, reinforcing its critical role as a governance enhancer. Heterogeneity analyses across manufacturing types (Job Shop, Batch, Continuous Process, and Mass Production) confirmed the consistency of these findings. Furthermore, robustness tests, including cluster analysis, sensitivity analysis, and endogeneity controls, validated the reliability of the results. The study provides targeted policy recommendations advocating for stronger diversity mandates, deeper CSR integration, and enhanced ethical training, while the practical implications emphasize the importance of comprehensive governance frameworks for long‐term ethical sustainability.

Suggested Citation

  • Abednego Osei & Naiping Zhu & Andrew Osei Agyemang, 2025. "Advancing Business Ethical Standards: Unpacking the Synergistic Influence of Governance Structures and CSR Engagement on Corporate Integrity in BRICS Countries," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 32(3), pages 3471-3494, May.
    • Handle: RePEc:wly:corsem:v:32:y:2025:i:3:p:3471-3494
    DOI: 10.1002/csr.3140
    as

    Download full text from publisher

    File URL: https://doi.org/10.1002/csr.3140
    Download Restriction: no
    File URL: https://libkey.io/10.1002/csr.3140?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:corsem:v:32:y:2025:i:3:p:3471-3494. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://doi.org/10.1002/(ISSN)1535-3966 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.