IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i13p6994-d579384.html
   My bibliography  Save this article

The Role of Corporate Social Responsibility in Supporting Second-Order Social Capital and Sustainable Innovation Ambidexterity

Author

Listed:
  • Asif Khan

    (Department of Marketing and Distribution Management, College of Management, National Kaohsiung University of Science and Technology, Kaohsiung 824005, Taiwan)

  • Li-Ru Chen

    (Ph.D. Program in Management, Da-Yeh University, Changhua 515006, Taiwan)

  • Chao-Yang Hung

    (Department of International Business Management, Da-Yeh University, Changhua 515006, Taiwan)

Abstract

This research contributes to the developing literature on CSR, second-order social capital, and sustainable innovation ambidexterity by (1) offering a complete theoretical framework grounded on related theories by clarifying the associations between the four components of CSR proposed by Carroll, because this model suggests a company to be a responsible member of the society by following the required laws while generating profits and conducting philanthropic initiatives, SSC, and sustainable innovation ambidexterity, and (2) testing this framework in a new setting and with a new target population. This study focuses on the top-level management of different manufacturing companies located in Pakistan. A total of 34 manufacturing industries were selected using a cluster sampling technique based on their proximity in the selected cluster. Geographical location and industry type were selected as the criteria to group the industries in clusters. The data collected from 220 top and middle-level managers were analyzed using a partial least square method while the moderation analysis was conducted by using variance analysis. According to the findings of this study, economic, ethical, legal, and philanthropical responsibilities of CSR were all found to have a positive influence on second-order social capital. The economic, ethical, and legal responsibility of CSR did not influence sustainable innovation ambidexterity, whereas the philanthropical responsibility of CSR was found to have a positive influence on sustainable innovation ambidexterity. The findings of this research study will allow the managers to identify the right mix of CSR initiatives required to manage SSC and sustainable innovation exploitation and exploration techniques.

Suggested Citation

  • Asif Khan & Li-Ru Chen & Chao-Yang Hung, 2021. "The Role of Corporate Social Responsibility in Supporting Second-Order Social Capital and Sustainable Innovation Ambidexterity," Sustainability, MDPI, vol. 13(13), pages 1-15, June.
  • Handle: RePEc:gam:jsusta:v:13:y:2021:i:13:p:6994-:d:579384
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/13/6994/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/13/13/6994/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Liu, Na & Guan, JianCheng, 2016. "Policy and innovation: Nanoenergy technology in the USA and China," Energy Policy, Elsevier, vol. 91(C), pages 220-232.
    2. James G. March, 1991. "Exploration and Exploitation in Organizational Learning," Organization Science, INFORMS, vol. 2(1), pages 71-87, February.
    3. Guichuan Zhou & Lan Zhang & Liming Zhang, 2019. "Corporate Social Responsibility, the Atmospheric Environment, and Technological Innovation Investment," Sustainability, MDPI, vol. 11(2), pages 1-13, January.
    4. Nurlan Orazalin & Mady Baydauletov, 2020. "Corporate social responsibility strategy and corporate environmental and social performance: The moderating role of board gender diversity," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 27(4), pages 1664-1676, July.
    5. John Hulland, 1999. "Use of partial least squares (PLS) in strategic management research: a review of four recent studies," Strategic Management Journal, Wiley Blackwell, vol. 20(2), pages 195-204, February.
    6. Wynne W. Chin & Barbara L. Marcolin & Peter R. Newsted, 2003. "A Partial Least Squares Latent Variable Modeling Approach for Measuring Interaction Effects: Results from a Monte Carlo Simulation Study and an Electronic-Mail Emotion/Adoption Study," Information Systems Research, INFORMS, vol. 14(2), pages 189-217, June.
    7. Asif Khan & Chih-Cheng Chen & Kuan-Hua Lu & Ardy Wibowo & Shih-Chih Chen & Athapol Ruangkanjanases, 2021. "Supply Chain Ambidexterity and Green SCM: Moderating Role of Network Capabilities," Sustainability, MDPI, vol. 13(11), pages 1-13, May.
    8. Kyu Kim, Kyung & Yul Ryoo, Sung & Dug Jung, Myung, 2011. "Inter-organizational information systems visibility in buyer-supplier relationships: The case of telecommunication equipment component manufacturing industry," Omega, Elsevier, vol. 39(6), pages 667-676, December.
    9. Robert Huggins & Andrew Johnston & Piers Thompson, 2012. "Network Capital, Social Capital and Knowledge Flow: How the Nature of Inter-organizational Networks Impacts on Innovation," Industry and Innovation, Taylor & Francis Journals, vol. 19(3), pages 203-232, April.
    10. Yan, Yan & Guan, JianCheng, 2018. "Social capital, exploitative and exploratory innovations: The mediating roles of ego-network dynamics," Technological Forecasting and Social Change, Elsevier, vol. 126(C), pages 244-258.
    11. Lee, Seoki & Seo, Kwanglim & Sharma, Amit, 2013. "Corporate social responsibility and firm performance in the airline industry: The moderating role of oil prices," Tourism Management, Elsevier, vol. 38(C), pages 20-30.
    12. Abagail McWilliams & Donald Siegel, 2000. "Corporate social responsibility and financial performance: correlation or misspecification?," Strategic Management Journal, Wiley Blackwell, vol. 21(5), pages 603-609, May.
    13. Christiana Weber & Jan Kratzer, 2013. "Social entrepreneurship, social networks and social value creation: a quantitative analysis among social entrepreneurs," International Journal of Entrepreneurial Venturing, Inderscience Enterprises Ltd, vol. 5(3), pages 217-239.
    14. Ioana-Maria Dragu & Adriana Tiron-Tudor, 2014. "Integrating Best Reporting Practices for Enhancing Corporate Social Responsibility," Springer Books, in: Asli Yüksel Mermod & Samuel O.Idowu (ed.), Corporate Social Responsibility in the Global Business World, edition 127, chapter 0, pages 27-47, Springer.
    15. Marcos Ferasso & Tatiana Beliaeva & Sascha Kraus & Thomas Clauss & Domingo Ribeiro‐Soriano, 2020. "Circular economy business models: The state of research and avenues ahead," Business Strategy and the Environment, Wiley Blackwell, vol. 29(8), pages 3006-3024, December.
    16. Tenenhaus, Michel & Vinzi, Vincenzo Esposito & Chatelin, Yves-Marie & Lauro, Carlo, 2005. "PLS path modeling," Computational Statistics & Data Analysis, Elsevier, vol. 48(1), pages 159-205, January.
    17. Sangho Chae & Thomas Y. Choi & Daesik Hur, 2017. "Buyer Power and Supplier Relationship Commitment: A Cognitive Evaluation Theory Perspective," Journal of Supply Chain Management, Institute for Supply Management, vol. 53(2), pages 39-60, April.
    18. Yunhui Zhao & Taiwen Feng & Hongbo Shi, 2018. "External involvement and green product innovation: The moderating role of environmental uncertainty," Business Strategy and the Environment, Wiley Blackwell, vol. 27(8), pages 1167-1180, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Elahe Hosseini & Alireza Rajabipoor Meybodi, 2023. "Proposing a Model for Sustainable Development of Creative Industries Based on Digital Transformation," Sustainability, MDPI, vol. 15(14), pages 1-30, July.
    2. Lu, Hui Ting & Li, Xue & Yuen, Kum Fai, 2023. "Digital transformation as an enabler of sustainability innovation and performance – Information processing and innovation ambidexterity perspectives," Technological Forecasting and Social Change, Elsevier, vol. 196(C).
    3. Hongyi Mao & Zongjun Wang & Lin Yi, 2021. "Does Entrepreneurial Orientation Lead to Successful Sustainable Innovation? The Evidence from Chinese Environmentally Friendly Companies," Sustainability, MDPI, vol. 13(18), pages 1-19, September.
    4. Asif Khan & Chih-Cheng Chen & Kwanrat Suanpong & Athapol Ruangkanjanases & Santhaya Kittikowit & Shih-Chih Chen, 2021. "The Impact of CSR on Sustainable Innovation Ambidexterity: The Mediating Role of Sustainable Supply Chain Management and Second-Order Social Capital," Sustainability, MDPI, vol. 13(21), pages 1-25, November.
    5. Alla Mostepaniuk & Elsie Nasr & Razan Ibrahim Awwad & Sameer Hamdan & Hasan Yousef Aljuhmani, 2022. "Managing a Relationship between Corporate Social Responsibility and Sustainability: A Systematic Review," Sustainability, MDPI, vol. 14(18), pages 1-23, September.

    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. Asif Khan & Chih-Cheng Chen & Kwanrat Suanpong & Athapol Ruangkanjanases & Santhaya Kittikowit & Shih-Chih Chen, 2021. "The Impact of CSR on Sustainable Innovation Ambidexterity: The Mediating Role of Sustainable Supply Chain Management and Second-Order Social Capital," Sustainability, MDPI, vol. 13(21), pages 1-25, November.
    2. Asif Khan & Chih-Cheng Chen & Kuan-Hua Lu & Ardy Wibowo & Shih-Chih Chen & Athapol Ruangkanjanases, 2021. "Supply Chain Ambidexterity and Green SCM: Moderating Role of Network Capabilities," Sustainability, MDPI, vol. 13(11), pages 1-13, May.
    3. Gupta, Prashant & Seetharaman, A. & Raj, John Rudolph, 2013. "The usage and adoption of cloud computing by small and medium businesses," International Journal of Information Management, Elsevier, vol. 33(5), pages 861-874.
    4. Mooradian, Todd & Matzler, Kurt & Uzelac, Borislav & Bauer, Florian, 2016. "Perspiration and inspiration: Grit and innovativeness as antecedents of entrepreneurial success," Journal of Economic Psychology, Elsevier, vol. 56(C), pages 232-243.
    5. Costa, Cláudia & Lages, Luis Filipe & Hortinha, Paula, 2015. "The bright and dark side of CSR in export markets: Its impact on innovation and performance," International Business Review, Elsevier, vol. 24(5), pages 749-757.
    6. Hall, Matthew, 2011. "Do comprehensive performance measurement systems help or hinder managers' mental model development?," LSE Research Online Documents on Economics 36703, London School of Economics and Political Science, LSE Library.
    7. Garbade, Philipp J.P. & Fortuin, Frances T.J.M. & Omta, S.W.F. (Onno), 2011. "Alliance Performances in the Dutch Biotechnology Sector," 2011 International European Forum, February 14-18, 2011, Innsbruck-Igls, Austria 121999, International European Forum on System Dynamics and Innovation in Food Networks.
    8. Ismael Barros-Contreras & Héctor Pérez-Fernández & Natalia Martín-Cruz & Juan Hernangómez B., 2023. "Can we make family social capital flourish? The moderating role of generational involvement," Journal of Family and Economic Issues, Springer, vol. 44(3), pages 655-673, September.
    9. Loureiro, Sandra Maria Correia & Araújo, Cristiano Mineiro Branco de, 2014. "Luxury values and experience as drivers for consumers to recommend and pay more," Journal of Retailing and Consumer Services, Elsevier, vol. 21(3), pages 394-400.
    10. Kraus, Sascha & Rehman, Shafique Ur & García, F. Javier Sendra, 2020. "Corporate social responsibility and environmental performance: The mediating role of environmental strategy and green innovation," Technological Forecasting and Social Change, Elsevier, vol. 160(C).
    11. Lei, Jing & de Ruyter, Ko & Wetzels, Martin, 2008. "Consumer Responses to Vertical Service Line Extensions," Journal of Retailing, Elsevier, vol. 84(3), pages 268-280.
    12. Ana Lanero & José-Luis Vázquez & César Sahelices-Pinto, 2020. "Heuristic Thinking and Credibility of Organic Advertising Claims: The Role of Knowledge and Motivations," Sustainability, MDPI, vol. 12(21), pages 1-19, October.
    13. Bertrand Venard, 2013. "Institutions, Corruption and Sustainable Development," Post-Print hal-00874275, HAL.
    14. Linder, Christian, 2019. "Customer orientation and operations: The role of manufacturing capabilities in small- and medium-sized enterprises," International Journal of Production Economics, Elsevier, vol. 216(C), pages 105-117.
    15. Bertrand Venard, 2013. "Institutions, Corruption and Sustainable Development," Economics Bulletin, AccessEcon, vol. 33(4), pages 2545-2562.
    16. Mareike Bergmann & Christian Brück & Thorsten Knauer & Anja Schwering, 2020. "Digitization of the budgeting process: determinants of the use of business analytics and its effect on satisfaction with the budgeting process," Journal of Management Control: Zeitschrift für Planung und Unternehmenssteuerung, Springer, vol. 31(1), pages 25-54, April.
    17. Andreas Strobl & Kurt Matzler & Bright Adu Nketia & Viktoria Veider, 2020. "Individual innovation behavior and firm-level exploration and exploitation: how family firms make the most of their managers," Review of Managerial Science, Springer, vol. 14(4), pages 809-844, August.
    18. Zhang, Zhengang & Luo, Taiye, 2020. "Network capital, exploitative and exploratory innovations——from the perspective of network dynamics," Technological Forecasting and Social Change, Elsevier, vol. 152(C).
    19. Jörg Henseler & Marko Sarstedt, 2013. "Goodness-of-fit indices for partial least squares path modeling," Computational Statistics, Springer, vol. 28(2), pages 565-580, April.
    20. Unai Arzubiaga & Amaia Maseda & Txomin Iturralde, 2019. "Exploratory and exploitative innovation in family businesses: the moderating role of the family firm image and family involvement in top management," Review of Managerial Science, Springer, vol. 13(1), pages 1-31, February.

    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:13:y:2021:i:13:p:6994-:d:579384. 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.