Governance choice for strategic corporate social responsibility: Evidence from Central America
The decision to internalize corporate social responsibility (CSR) activities, to buy (outsource) them in the form of corporate philanthropy, or to collaborate with other organizations is of great significance to the ability of the firm to reap benefits from such activity.Using insights provided by organizational economics and the resource-based view of the firm,this paper describes how CSR centrality affects governance choice. This framework is tested using data collected from Central America.The findings suggest that the higher the centrality of CSR activities to the firms’ mission, the more likely that the firms will engage in CSR internally.The paper discusses directions for future research and concludes with the managerialimplications of this research.
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