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Blessing or curse? The link between firm CSR practices and leaders’ unethical decisions: The mediating role of moral cognition

Author

Listed:
  • Leying Wang

    (Nanjing Audit University)

  • Jun Li

    (University of New Hampshire)

  • Yiyuan Mai

    (Huazhong University of Science and Technology)

  • Zhuxin Ye

    (Huazhong University of Science and Technology)

Abstract

When a firm actively engages in CSR practices, does the leader always make ethical decisions? Drawing on social cognitive theory and the ethical decision-making literature, we develop a model to explain how a leader makes unethical decisions in an active CSR-practicing environment. Specifically, we argue that a firm's CSR practices do not necessarily translate into the leader's ethical decisions, and on the contrary, it may lead to the opposite. The relationship between a firm's CSR practices and its leader's unethical decisions is mediated by the leader's moral cognitive process (moral licensing and moral imagination) toward the firm's CSR practices, and this relationship is further moderated by the leader's altruistic values. Results from multi-method studies largely support our predictions.

Suggested Citation

  • Leying Wang & Jun Li & Yiyuan Mai & Zhuxin Ye, 2024. "Blessing or curse? The link between firm CSR practices and leaders’ unethical decisions: The mediating role of moral cognition," Asia Pacific Journal of Management, Springer, vol. 41(4), pages 2405-2435, December.
    • Handle: RePEc:kap:asiapa:v:41:y:2024:i:4:d:10.1007_s10490-023-09920-6
    DOI: 10.1007/s10490-023-09920-6
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