IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v11y2019i18p5009-d266859.html
   My bibliography  Save this article

Structural Models in Corporate Social Responsibility: Attraction of Investment in Tunisia

Author

Listed:
  • Hosn el Woujoud Bousselmi

    (Department of Management, University of Tunis el Manar, Tunis 2092, Tunisia)

  • Lorena Caridad

    (Department of Statistics and Econometrics, University of Cordova, 14002 Cordova, Spain)

  • Nuria Ceular Villamandos

    (Department of Business Organization, University of Cordova, 14001 Cordova, Spain)

Abstract

The attraction of foreign direct investment is a common objective in developing countries, and this broad aim is carried out with different approaches in public policies. Corporate social responsibility is very common in international corporations, and it tends to produce a positive image for investors and in the surrounding society. This study aims to clarify the influence of the enhancement of corporate social responsibility by companies established in Tunisia as a consequence of the host country government general policies on the attraction of direct foreign investment. We propose the testing of a conceptual framework that describes this influence and explains the benefits of the social commitment, especially when it will be encouraged by public policies which can favor the attraction of foreign investments. The paper opted for an exploratory analysis on a sample of foreign companies with subsidiaries in the country. It contains a descriptive analysis, a study of the reliability of the scales of measurement and a principal components analysis. This approach is completed by an analysis of moment structures (AMOS) through a structural equation model linking the interactions of public policies with the development of strategies in social responsibility in companies, and their induced effects on the investment decisions in their subsidiaries. This approach tends to be associated with the sustainability and the commitment in the country, which is especially important in the present moment, with the political changes in the Maghreb region. With the models proposed, it has been shown that public policies, in addition to having a direct impact on investment decisions, can produce positive effects when they are carried out with the aim of promoting sustainable growth, and using indirect tools like the promotion of corporate social strategies in the companies that are already established in the country.

Suggested Citation

  • Hosn el Woujoud Bousselmi & Lorena Caridad & Nuria Ceular Villamandos, 2019. "Structural Models in Corporate Social Responsibility: Attraction of Investment in Tunisia," Sustainability, MDPI, vol. 11(18), pages 1-11, September.
  • Handle: RePEc:gam:jsusta:v:11:y:2019:i:18:p:5009-:d:266859
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/11/18/5009/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/11/18/5009/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Forest L. Reinhardt & Robert N. Stavins, 2010. "Corporate social responsibility, business strategy, and the environment," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 26(2), pages 164-181, Summer.
    2. Seojin Stacey Lee & Yaeri Kim & Taewoo Roh, 2019. "Modified Pyramid of CSR for Corporate Image and Customer Loyalty: Focusing on the Moderating Role of the CSR Experience," Sustainability, MDPI, vol. 11(17), pages 1-21, August.
    3. Kubler, Dorothea, 2001. "On the Regulation of Social Norms," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 17(2), pages 449-476, October.
    4. Shang-Jin Wei, 2000. "How Taxing is Corruption on International Investors?," The Review of Economics and Statistics, MIT Press, vol. 82(1), pages 1-11, February.
    5. Quan He & Xishen Cao, 2019. "Pattern and Influencing Factors of Foreign Direct Investment Networks between Countries along the “Belt and Road” Regions," Sustainability, MDPI, vol. 11(17), pages 1-23, August.
    6. Dima Jamali & Ramez Mirshak, 2007. "Corporate Social Responsibility (CSR): Theory and Practice in a Developing Country Context," Journal of Business Ethics, Springer, vol. 72(3), pages 243-262, May.
    7. Alberto Alesina & Reza Baqir & William Easterly, 1999. "Public Goods and Ethnic Divisions," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(4), pages 1243-1284.
    8. Smith, Pamela J., 2001. "How do foreign patent rights affect U.S. exports, affiliate sales, and licenses?," Journal of International Economics, Elsevier, vol. 55(2), pages 411-439, December.
    9. Eugene Burgos Mutuc & Jen-Sin Lee & Fu-Sheng Tsai, 2019. "Doing Good with Creative Accounting? Linking Corporate Social Responsibility to Earnings Management in Market Economy, Country and Business Sector Contexts," Sustainability, MDPI, vol. 11(17), pages 1-20, August.
    10. Laura Albareda & Josep Lozano & Tamyko Ysa, 2007. "Public Policies on Corporate Social Responsibility: The Role of Governments in Europe," Journal of Business Ethics, Springer, vol. 74(4), pages 391-407, September.
    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. Etienne Pfister & Bruno Deffains & Myriam Doriat-Duban & Stéphane Saussier, 2006. "Institutions and contracts: Franchising," European Journal of Law and Economics, Springer, vol. 21(1), pages 53-78, January.
    2. Etienne Pfister & Bruno Deffains, 2005. "Patent Protection, Strategic FDI and Location Choices: Empirical Evidence from French Subsidiaries' Location Choices in Emerging Economies," International Journal of the Economics of Business, Taylor & Francis Journals, vol. 12(3), pages 329-346.
    3. Adeel Malik, 2002. "State of the Art in Governance Indicators," Human Development Occasional Papers (1992-2007) HDOCPA-2002-07, Human Development Report Office (HDRO), United Nations Development Programme (UNDP).
    4. Pellegrini Lorenzo & Luca Tasciotti, 2019. "Corruption: Public and Private," Working Papers 220, Department of Economics, SOAS University of London, UK.
    5. Yoo, Dasun & Reimann, Felix, 2017. "Internationalization of Developing Country Firms into Developed Countries: The Role of Host Country Knowledge-Based Assets and IPR Protection in FDI Location Choice," Journal of International Management, Elsevier, vol. 23(3), pages 242-254.
    6. Agnès Bénassy‐Quéré & Maylis Coupet & Thierry Mayer, 2007. "Institutional Determinants of Foreign Direct Investment," The World Economy, Wiley Blackwell, vol. 30(5), pages 764-782, May.
    7. Michał Jurek, 2014. "The genesis and evolution of CSR self-regulation with special refer-ence to the case of financial institutions," Working papers wpaper70, Financialisation, Economy, Society & Sustainable Development (FESSUD) Project.
    8. Verardi, Vincenzo, 2004. "Elecotral Systems and Corruption," Revista Latinoamericana de Desarrollo Economico, Carrera de Economía de la Universidad Católica Boliviana (UCB) "San Pablo", issue 3, pages 117-150, Octubre.
    9. Tavares, José & Larrain B., Felipe, 2007. "Can Openness Deter Corruption? The Role of Foreign Direct Investment," CEPR Discussion Papers 6488, C.E.P.R. Discussion Papers.
    10. Michael W Nicholson, 2007. "The Impact of Industry Characteristics and IPR Policy on Foreign Direct Investment," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 143(1), pages 27-54, April.
    11. Leeson, Peter T., 2005. "Endogenizing fractionalization," Journal of Institutional Economics, Cambridge University Press, vol. 1(1), pages 75-98, June.
    12. J. Clark & Robert Lawson & Alex Nowrasteh & Benjamin Powell & Ryan Murphy, 2015. "Does immigration impact institutions?," Public Choice, Springer, vol. 163(3), pages 321-335, June.
    13. Mina, Wasseem, 2009. "External commitment mechanisms, institutions, and FDI in GCC countries," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 19(2), pages 371-386, April.
    14. Leopoldo Fergusson & Carlos Molina, 2020. "Facebook Causes Protests," HiCN Working Papers 323, Households in Conflict Network.
    15. Qamar Farooq & Jie Hao & Xuan Liu & Di Xiao & Yunhong Hao, 2020. "Social and environmental development: Fresh concepts and soft measures towards sustainable development," Sustainable Development, John Wiley & Sons, Ltd., vol. 28(6), pages 1796-1803, November.
    16. Sapanna Laysiriroj & Walter Wehrmeyer, 2020. "Intergenerational differences of CSR activities in family-run businesses in eastern Thailand," Asian Journal of Sustainability and Social Responsibility, Springer, vol. 5(1), pages 1-15, December.
    17. Blackburn, Keith & Forgues-Puccio, Gonzalo F., 2009. "Why is corruption less harmful in some countries than in others?," Journal of Economic Behavior & Organization, Elsevier, vol. 72(3), pages 797-810, December.
    18. George A. Akerlof & Rachel E. Kranton, 2002. "Identity and Schooling: Some Lessons for the Economics of Education," Journal of Economic Literature, American Economic Association, vol. 40(4), pages 1167-1201, December.
    19. Olivier Bargain & Victor Stephane & Jérôme Valette, 2022. "Another brick in the wall. Immigration and electoral preferences: Direct evidence from state ballots," Review of International Economics, Wiley Blackwell, vol. 30(5), pages 1452-1477, November.
    20. Klaus Desmet & Ignacio Ortuño-Ortín & Romain Wacziarg, 2009. "The political economy of ethnolinguistic cleavages," Working Papers 2009-17, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales.

    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:gam:jsusta:v:11:y:2019:i:18:p:5009-:d:266859. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    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.