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Cultural configuration models: corporate social responsibility and national culture

Author

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  • Namporn Thanetsunthorn
  • Rattaphon Wuthisatian

Abstract

Purpose - This study aims to empirically examine the underlying cultures of corporate social responsibility (CSR) activities contributing toward employee: compensation and benefits (CB); diversity and labor rights (DLR); and training, safety and health (TSH), with a view of supporting both business corporations and policymakers in effectively designing and implementing employee-related CSR strategies in the global market. Design/methodology/approach - The proposed empirical model, namely, pooled ordinary least square (OLS) regression, is tested against a novel proprietary data set of 8,940 corporations from 48 countries across nine different regions. The prototypical models of cultural configurations are benchmarked against Hofstede’s country cultural scores on six dimensions to categorize the lists of countries in which the three specific employee-related CSR activities would appear to be culturally appropriate, as well as difficult to implement. Findings - The study offers the cultural configuration models to identify the potential nature and range of cultural values that seem to support CSR activities contributing toward employee: CB – high power distance, high individualism, low masculinity, low uncertainty avoidance, medium long-term orientation and either relatively medium or low indulgence; DLR – medium power distance, medium individualism, low masculinity, high uncertainty avoidance, either relatively medium or low long-term orientation and medium indulgence; TSH – medium power distance, medium individualism, low masculinity, high uncertainty avoidance, medium long-term orientation and medium indulgence. The study further categorizes countries (cultural areas) in which these three specific employee-related CSR activities would appear to be culturally appropriate, as well as difficult to implement. Research limitations/implications - The findings provide both the motivation and a starting point for further academic inquiries. First, future research should further explore how specific industry and firm size have an impact on firms’ employee-related CSR activities. Second, the dynamic relationship of national culture and employee-related CSR activities over time should also be examined. Finally, appropriate management techniques or interventions to overcome the cultural constraints that prevent business corporations from promoting employee physical and mental fineness should also be fruitful area for further investigation. Practical implications - The study offers meaningful strategic implications of employee-related CSR activities for business corporations and policymakers. Specifically, the cultural configuration models, together with the practical framework, should serve as a benchmark for evaluating a likelihood of successful implementation on a particular employee-related CSR activity in a given context and for customizing business corporations’ CSR strategies and activities to fit within a cultural environment of the host country in which they operate. For policymakers dealing with employee rights and labor standards, the findings can be applied to assess foreign investor’s preferences regarding employee-related CSR engagement and activities. Originality/value - This is the first study to develop the cultural configuration models that provide business corporations culturally meaningful insights into how to effectively design and implement their employee-related CSR strategies in the global market. The study also offers a practical framework – a set of countries in the global marketplace where employee-related CSR activities are likely to be implemented successfully, or encounter challenges and difficulties.

Suggested Citation

  • Namporn Thanetsunthorn & Rattaphon Wuthisatian, 2018. "Cultural configuration models: corporate social responsibility and national culture," Management Research Review, Emerald Group Publishing Limited, vol. 41(10), pages 1137-1175, May.
  • Handle: RePEc:eme:mrrpps:mrr-08-2017-0254
    DOI: 10.1108/MRR-08-2017-0254
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    Citations

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    Cited by:

    1. Rongjia Su & Dianjie Liang & Weili Teng, 2023. "The impact of Confucianism, Taoism, and Buddhism on CSR practices in family businesses in China," Asian Business & Management, Palgrave Macmillan, vol. 22(4), pages 1394-1417, September.
    2. Kamran Mohy-Ud-Din & Riaz Ahmad & Hafiz Muhammad Ishaq & Muhammad Akram, 2022. "Moderating Role of Investment Efficiency between Board Diversity and Dividend Policy: Evidence from Pakistan," iRASD Journal of Management, International Research Alliance for Sustainable Development (iRASD), vol. 4(2), pages 286-298, june.
    3. Katarzyna Piwowar-Sulej, 2022. "Sustainable development and national cultures: a quantitative and qualitative analysis of the research field," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(12), pages 13447-13475, December.
    4. Caroline K. SOSCHINSKI & Mikaéli da S. GIORDANI & Roberto Carlos KLANN & Maria Margarete B. BRIZOLLA, 2021. "Influence Of National Culture On Corporate Social Responsibility," CrossCultural Management Journal, Fundația Română pentru Inteligența Afacerii, Editorial Department, issue 1, pages 71-88, July.
    5. Goran Radovanović & Ljiljana Miletić & Samed Karović & Marijana Dukić Mijatović & Milan Bubulj, 2022. "Influence of National Culture in Companies with Different Ownership on Employees’ CSR Perception in a Developing Country: The Case of Serbia," Sustainability, MDPI, vol. 14(4), pages 1-16, February.
    6. Franklin Velasco Vizcaíno & Juan J. Cardenas & Marcelo Cardenas, 2021. "A look at the social entrepreneur: the effects of resilience and power distance personality traits on consumers’ perceptions of corporate social sustainability," International Entrepreneurship and Management Journal, Springer, vol. 17(1), pages 83-103, March.
    7. Crosby, Lawrence A. & Ghanbarpour, Tohid, 2023. "The Drucker intangibles measurement system: An academic perspective," Journal of Business Research, Elsevier, vol. 155(PB).

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