IDEAS home Printed from https://ideas.repec.org/p/osk/wpaper/1730.html
   My bibliography  Save this paper

Effects of Top Management Team Characteristics on Corporate Charitable Activities: Evidence from the Board for Small and Medium-sized Enterprises in China

Author

Listed:
  • Xin Huang

    (Graduate School of Economics, Osaka University)

  • Koichi Nakagawa

    (Graduate School of Economics, Osaka University)

  • Jie Li

    (School of Management, Shanghai University)

Abstract

Employing data from Chinese companies listed on the board for small and medium-sized enterprises (SMEs), the research examines the relationship between top management team (TMT) characteristics and corporate charitable activities in China. My findings confirm: 1) Firms less engaged in charitable activities are likely to have TMTs characterized by more educational specialty in science and engineering, and more functional background in output functions; 2) TMT age heterogeneity has a significant and positive effect on corporate charitable activities, while TMT educational specialty heterogeneity has a negative influence on corporate charitable activities; 3) TMT age, tenure, educational level and these heterogeneities of tenure, educational level and functional background have little or no influence on corporate charitable activities. Based on the upper echelons theory, the study can provide evidence for further research on top management teams and corporate social responsibility in an emerging economy.

Suggested Citation

  • Xin Huang & Koichi Nakagawa & Jie Li, 2017. "Effects of Top Management Team Characteristics on Corporate Charitable Activities: Evidence from the Board for Small and Medium-sized Enterprises in China," Discussion Papers in Economics and Business 17-30, Osaka University, Graduate School of Economics.
    • Handle: RePEc:osk:wpaper:1730
    as

    Download full text from publisher

    File URL: http://www2.econ.osaka-u.ac.jp/library/global/dp/1730.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Li Cai & Qing Liu & Xiaoyu Yu, 2013. "Effects of Top Management Team Heterogeneous Background and Behavioural Attributes on the Performance of New Ventures," Systems Research and Behavioral Science, Wiley Blackwell, vol. 30(3), pages 354-366, May.
    2. Clyde Eiríkur Hull & Sandra Rothenberg, 2008. "Firm performance: the interactions of corporate social performance with innovation and industry differentiation," Strategic Management Journal, Wiley Blackwell, vol. 29(7), pages 781-789, July.
    3. James Andreoni & Eleanor Brown & Isaac Rischall, 2003. "Charitable Giving by Married Couples Who Decides and Why Does it Matter?," Journal of Human Resources, University of Wisconsin Press, vol. 38(1).
    4. Vincent L. Barker , III & George C. Mueller, 2002. "CEO Characteristics and Firm R&D Spending," Management Science, INFORMS, vol. 48(6), pages 782-801, June.
    5. Robert Strand, 2013. "The Chief Officer of Corporate Social Responsibility: A Study of Its Presence in Top Management Teams," Journal of Business Ethics, Springer, vol. 112(4), pages 721-734, February.
    6. Carroll, Archie B., 1991. "The pyramid of corporate social responsibility: Toward the moral management of organizational stakeholders," Business Horizons, Elsevier, vol. 34(4), pages 39-48.
    7. Dollinger, Marc J. & Li, Xueling & Mooney, Christine H., 2010. "Extending the Resource-based View to the Mega-event: Entrepreneurial Rents and Innovation," Management and Organization Review, Cambridge University Press, vol. 6(2), pages 195-218, July.
    8. Michael A. Hitt & Beverly B. Tyler, 1991. "Strategic decision models: Integrating different perspectives," Strategic Management Journal, Wiley Blackwell, vol. 12(5), pages 327-351, July.
    9. Robert Padgett & Jose Galan, 2010. "The Effect of R&D Intensity on Corporate Social Responsibility," Journal of Business Ethics, Springer, vol. 93(3), pages 407-418, May.
    10. Deborah Gladstein Ancona & David F. Caldwell, 1992. "Demography and Design: Predictors of New Product Team Performance," Organization Science, INFORMS, vol. 3(3), pages 321-341, August.
    11. John Child, 1974. "Managerial And Organizational Factors Associated With Company Performance Part I," Journal of Management Studies, Wiley Blackwell, vol. 11(3), pages 175-189, October.
    12. Donald C. Hambrick & Richard A. D'Aveni, 1992. "Top Team Deterioration as Part of the Downward Spiral of Large Corporate Bankruptcies," Management Science, INFORMS, vol. 38(10), pages 1445-1466, October.
    13. Charles W. L. Hill & Scott A. Snell, 1988. "External control, corporate strategy, and firm performance in research‐intensive industries," Strategic Management Journal, Wiley Blackwell, vol. 9(6), pages 577-590, November.
    14. Shipilov, Andrew & Danis, Wade, 2006. "TMG Social Capital, Strategic Choice and Firm Performance," European Management Journal, Elsevier, vol. 24(1), pages 16-27, February.
    15. Karen A. Bantel & Susan E. Jackson, 1989. "Top management and innovations in banking: Does the composition of the top team make a difference?," Strategic Management Journal, Wiley Blackwell, vol. 10(S1), pages 107-124, June.
    16. Vijay Govindarajan, 1989. "Implementing competitive strategies at the business unit level: Implications of matching managers to strategies," Strategic Management Journal, Wiley Blackwell, vol. 10(3), pages 251-269, May.
    17. Zhi Tang & Clyde Eiríkur Hull & Sandra Rothenberg, 2012. "How Corporate Social Responsibility Engagement Strategy Moderates the CSR–Financial Performance Relationship," Journal of Management Studies, Wiley Blackwell, vol. 49(7), pages 1274-1303, November.
    18. Nielsen, Bo Bernhard & Nielsen, Sabina, 2011. "The role of top management team international orientation in international strategic decision-making: The choice of foreign entry mode," Journal of World Business, Elsevier, vol. 46(2), pages 185-193, April.
    19. Don Knight & Craig L. Pearce & Ken G. Smith & Judy D. Olian & Henry P. Sims & Ken A. Smith & Patrick Flood, 1999. "Top management team diversity, group process, and strategic consensus," Strategic Management Journal, Wiley Blackwell, vol. 20(5), pages 445-465, May.
    20. Amason, Allen C. & Shrader, Rodney C. & Tompson, George H., 2006. "Newness and novelty: Relating top management team composition to new venture performance," Journal of Business Venturing, Elsevier, vol. 21(1), pages 125-148, January.
    21. Daniel W. Greening & Richard A. Johnson, 1996. "Do Managers and Strategies Matter? A Study In Crisis," Journal of Management Studies, Wiley Blackwell, vol. 33(1), pages 25-51, January.
    22. Stelios Zyglidopoulos, 1999. "Initial Environmental Conditions and Technological Change," Journal of Management Studies, Wiley Blackwell, vol. 36(2), pages 241-262, March.
    23. Marc J. Dollinger & Xueling Li & Christine H. Mooney, 2010. "Extending the Resource-based View to the Mega-event: Entrepreneurial Rents and Innovation," Management and Organization Review, The International Association for Chinese Management Research, vol. 6(2), pages 195-218, July.
    24. Olof Brunninge & Mattias Nordqvist & Johan Wiklund, 2007. "Corporate Governance and Strategic Change in SMEs: The Effects of Ownership, Board Composition and Top Management Teams," Small Business Economics, Springer, vol. 29(3), pages 295-308, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Michaela Wrede & Tobias Dauth, 2020. "A temporal perspective on the relationship between top management team internationalization and firms' innovativeness," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 41(4), pages 542-561, June.
    2. Bendell, Bari L. & Nesij Huvaj, M., 2020. "Does stakeholder engagement through corporate social and environmental behaviors affect innovation?," Journal of Business Research, Elsevier, vol. 119(C), pages 685-696.
    3. Juan Pablo Diánez-González & Carmen Camelo-Ordaz, 2016. "How management team composition affects academic spin-offs’ entrepreneurial orientation: the mediating role of conflict," The Journal of Technology Transfer, Springer, vol. 41(3), pages 530-557, June.
    4. van Olffen, W. & Boone, C.A.J.J., 1997. "The confusing state of the art in top management composition studies: A theoretical and empirical review," Research Memorandum 011, Maastricht University, Netherlands Institute of Business Organization and Strategy Research (NIBOR).
    5. Sonja Sperber & Christian Linder, 2018. "The impact of top management teams on firm innovativeness: a configurational analysis of demographic characteristics, leadership style and team power distribution," Review of Managerial Science, Springer, vol. 12(1), pages 285-316, January.
    6. Rivas, Jose Luis, 2012. "Diversity & internationalization: The case of boards and TMT's," International Business Review, Elsevier, vol. 21(1), pages 1-12.
    7. Agnihotri, Arpita & Bhattacharya, Saurabh, 2015. "Determinants of export intensity in emerging markets: An upper echelon perspective," Journal of World Business, Elsevier, vol. 50(4), pages 687-695.
    8. Cheng, Louis T.W. & Chan, Ricky Y.K. & Leung, T.Y., 2010. "Management demography and corporate performance: Evidence from China," International Business Review, Elsevier, vol. 19(3), pages 261-275, June.
    9. Cui Zhang, 2017. "Top manager characteristics, agglomeration economies and firm performance," Small Business Economics, Springer, vol. 48(3), pages 543-558, March.
    10. Monica A. Zimmerman, 2008. "The Influence of Top Management Team Heterogeneity on the Capital Raised through an Initial Public Offering," Entrepreneurship Theory and Practice, , vol. 32(3), pages 391-414, May.
    11. Yingna Wu & Liang Ding & Xuan Song & Jun Chen, 2023. "Top Management Team Heterogeneity and the Performance of Cross-Border M&A," SAGE Open, , vol. 13(2), pages 21582440231, June.
    12. Ho‐Uk Lee & Jong‐Hun Park, 2008. "The Influence of Top Management Team International Exposure on International Alliance Formation," Journal of Management Studies, Wiley Blackwell, vol. 45(5), pages 961-981, July.
    13. Mayer-Haug, Katrin & Read, Stuart & Brinckmann, Jan & Dew, Nicholas & Grichnik, Dietmar, 2013. "Entrepreneurial talent and venture performance: A meta-analytic investigation of SMEs," Research Policy, Elsevier, vol. 42(6), pages 1251-1273.
    14. Tingko Lee & Wei‐Tsung Liu & Jun‐Xian Yu, 2021. "Does TMT composition matter to environmental policy and firm performance? The role of organizational slack," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 28(1), pages 196-213, January.
    15. Kallias, Antonios & Kallias, Konstantinos & Tsalkamas, Ioannis & Zhang, Song, 2023. "One size does not fit all: The conditional role of CEO education on IPO performance," Journal of Business Research, Elsevier, vol. 157(C).
    16. Sitthipongpanich, Thitima & Polsiri, Piruna, 2015. "Do CEO and board characteristics matter? A study of Thai family firms," Journal of Family Business Strategy, Elsevier, vol. 6(2), pages 119-129.
    17. Li, Ganglei & Shao, Yunfei, 2023. "How do top management team characteristics affect digital orientation? Exploring the internal driving forces of firm digitalization," Technology in Society, Elsevier, vol. 74(C).
    18. Hsu, Wen-Tsung & Chen, Hsiang-Lan & Cheng, Chia-Yi, 2013. "Internationalization and firm performance of SMEs: The moderating effects of CEO attributes," Journal of World Business, Elsevier, vol. 48(1), pages 1-12.
    19. Hou, Wanrong & Li, Sali & Priem, Richard L., 2013. "How do CEOs matter? The moderating effects of CEO compensation and tenure on equity ownership in international joint ventures," Journal of International Management, Elsevier, vol. 19(2), pages 138-151.
    20. Chul Lee & Gunno Park & Klaus Marhold & Jina Kang, 2017. "Top management team’s innovation-related characteristics and the firm’s explorative R&D: an analysis based on patent data," Scientometrics, Springer;Akadémiai Kiadó, vol. 111(2), pages 639-663, May.

    More about this item

    Keywords

    top management team; charity; heterogeneity; corporate social responsibility; Chinese companies;
    All these keywords.

    JEL classification:

    • M54 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Management
    • M12 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Personnel Management; Executives; Executive Compensation
    • M14 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - Corporate Culture; Diversity; Social Responsibility

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:osk:wpaper:1730. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: The Economic Society of Osaka University (email available below). General contact details of provider: https://edirc.repec.org/data/feosujp.html .

    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.