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The Mediating Role of CSR on the Market Orientation and Strategic Performance Relationship—A Study of the Public Housing Companies in Sweden

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  • Agneta Sundström

    (Department of Business and Economics Studies, Faculty of Education and Business, University of Gävle, SE-80176 Gävle, Sweden)

  • Zahra Ahmadi

    (Department of Business and Economics Studies, Faculty of Education and Business, University of Gävle, SE-80176 Gävle, Sweden)

Abstract

This article serves to analyze the impact of corporate social responsibility (CSR) on (1) the market orientation and strategic performance relationship related to public housing companies’ choice of construction strategies and (2) the companies’ responsiveness to gathered and disseminated customer information. The quantitative method is applied, with data analyzed by the PROCESS analysis. The result is based on a survey sent to 289 public housing companies in Sweden. Previous research suggests a positive relationship between market orientation and strategic performance, which was not confirmed by this study. When testing the mediation effects of CSR on the market orientation and construction strategies relationship, these hypotheses were confirmed related to social and environmental dimensions—not economic ones. This study was limited to public housing companies, a sector that radically differs from the situation of companies in the open market. The study increases public housing companies’ knowledge of CSR effects on the market orientation and strategic performance relationship. This result contributes useful information for companies implementing CSR in their activities. The study highlights the importance of integrating CSR into an organization’s market orientation work and shows how CSR improves the companies’ ability to meet customers’ strategic needs.

Suggested Citation

  • Agneta Sundström & Zahra Ahmadi, 2019. "The Mediating Role of CSR on the Market Orientation and Strategic Performance Relationship—A Study of the Public Housing Companies in Sweden," Sustainability, MDPI, vol. 11(6), pages 1-18, March.
    • Handle: RePEc:gam:jsusta:v:11:y:2019:i:6:p:1537-:d:213674
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    References listed on IDEAS

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    Cited by:

    1. Yu Jia & Jinglu Yan & Tianyuan Liu & Jun Huang, 2019. "How Does Internal and External CSR Affect Employees’ Work Engagement? Exploring Multiple Mediation Mechanisms and Boundary Conditions," IJERPH, MDPI, vol. 16(14), pages 1-17, July.
    2. Appiah-Nimo Christina & Chovancová Miloslava, 2020. "Improving firm sustainable performance: the role of market orientation," Proceedings of the International Conference on Business Excellence, Sciendo, vol. 14(1), pages 780-787, July.
    3. Huy Quang Pham & Phuc Kien Vu, 2023. "Does Public Value Commitment Leadership and Corporate Social Responsibility Fuel Accountant’s Productivity During Covid-19 Pandemic and New Normal: A Case Study on Public Sector in Vietnam," Public Organization Review, Springer, vol. 23(2), pages 575-603, June.

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