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Organizational Strategy and Corporate Social Responsibility: The Mediating Effect of Triple Bottom Line

Author

Listed:
  • Md. Abdul Kaium Masud

    (Department of Sustainability Management, Inha University, Incheon 22212, Korea
    Department of Business Administration, Noakhali Science and Technology University, Noakhali 3814, Bangladesh)

  • Md. Harun Ur Rashid

    (Department of Economics & Banking, International Islamic University Chittagong, Chattogram 4318, Bangladesh)

  • Tehmina Khan

    (School of Accounting, RMIT University, Melbourne, Victoria 3000, Australia)

  • Seong Mi Bae

    (College of Business Administration, Inha University, Incheon 22212, Korea)

  • Jong Dae Kim

    (College of Business Administration, Inha University, Incheon 22212, Korea)

Abstract

Limited research in the area of the triple bottom line (TBL) mediation effect on the relationship between organizational strategic performance (OSP) and corporate social responsibility performance (CSRP) has motivated this study. The objective of this study is to investigate how OSP affects CSRP and the mediation impact of TBL elements through the decision-making process of business management. Considering a sample of 250 employees from Bangladesh, this study used structural equation modelling (SEM) to test the relevant research hypotheses. Through the lens of stakeholder, institutional, legitimacy and resource-based view theories along with rigorous statistical techniques, this study has found that OSP is positively related to CSRP. In terms of the mediation effect, this study has found that economic responsibility has no intervening role while environmental and social responsibility significantly mediated the relationship between OSP and CSRP. Finally, the full mediation power of the model suggests that OSP affects a firm’s strategic decision and CSR outcomes directly as well as indirectly through TBL.

Suggested Citation

  • Md. Abdul Kaium Masud & Md. Harun Ur Rashid & Tehmina Khan & Seong Mi Bae & Jong Dae Kim, 2019. "Organizational Strategy and Corporate Social Responsibility: The Mediating Effect of Triple Bottom Line," IJERPH, MDPI, vol. 16(22), pages 1-18, November.
    • Handle: RePEc:gam:jijerp:v:16:y:2019:i:22:p:4559-:d:288191
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