This study investigates the social–psychological mechanisms leading individuals in organizations to engage in environmental citizenship behaviors, which entail keeping abreast of, and participating in, the environmental affairs of a company. Informed by the corporate greening and organizational behavior literature, we suggested that an employee’s level of involvement in the management of a company’s environmental impact was the overt manifestation of his or her discretionary sense of commitment to environmental concerns in the work context, and that such commitment developed through (...) the interplay of individual, organizational, and supervisory factors. Our general findings support the idea that when environmental protection is valued and encouraged by the company and line managers, organization members are more likely to experience a volitional sense of attachment and responsibility to corporate environmental goals and values, which is enacted through citizenship behaviors. We also expected that individual ecological beliefs would strengthen the environmental commitment of employees via identification with, and adherence to, the socially responsible cause embodied by the organization and its managerial staff. But it did not. On the contrary, the data indicated that corporate environmental policy is more likely to influence an employee’s level of environmental commitment when he or she holds weak versus strong personal ecological beliefs. Theoretical and managerial implications of our findings are discussed. (shrink)

We investigate the effect of Lesbian, Gay, Bisexual, and Transgender -supportive corporate policies on credit ratings. To the extent that LGBT-friendly policies are beneficial to the firm and therefore improve its expected cash flows, credit rating agencies should assign more favorable credit ratings to the firm. To alleviate endogeneity concerns, we exploit the variations in the LGBT populations across the states in the U.S. as our instrument. Our instrumental-variable analysis reveals that firms that adopt LGBT-supportive corporate (...) policies enjoy better credit ratings, supporting the stakeholder and good management hypothesis. Further analysis using propensity score matching also yields consistent results. (shrink)

Competitor intelligence, information that helps managers understand their competitors, is highly valued in today's marketplace. Firms, large and small, are taking a more systematic approach to competitor intelligence collection. At the same time, information crimes and litigation over information disputes appear to be on the rise, and survey data show widespread approval of unethical and questionable intelligence-gathering methods. Despite these developments, few corporations address the ethics of intelligence gathering in their corporate codes of conduct. Neither managers nor management educators (...) have paid sufficient attention to this topic. From a review of questionable intelligence-gathering practices reported in various literatures, the author identifies some important ethical principles to help managers draw the line between legitimate and illegitimate methods of information acquisition. The paper also discusses the costs of failure to heed these principles and suggests steps managers can take to provide ethical leadership in this area. (shrink)

This paper empirically examines how consumers react when a company marks a product with a gay label. The company under scrutiny is one of the largest video game developers in the world, and the labeled product is a popular video game character. We use a regression discontinuity design to exploit the quasi-experimental setting. The main finding was significant drop in demand for this character and a return to previous levels after approximately 3 months. Possible mechanisms and dynamics were explored by (...) analyzing demand for other characters and by surveying consumers. The results are consistent after performing robustness checks based on grid search, subsampling, and placebo tests. (shrink)

Over the last decade, Corporate Social Responsibility (CSR) has been defined first as a concept whereby companies decide voluntarily to contribute to a better society and cleaner environment and, second, as a process by which companies manage their relationship␣with stakeholders (European Commission, 2001. Nowadays, CSR has become a priority issue on governments’ agendas. This has changed governments’ capacity to act and impact on social and environmental issues in their relationship with companies, but has also affected the framework in which (...) CSR public policies are designed: governments are incorporating multi-stakeholder strategies. This article analyzes the CSR public policies in European advanced democracies, and more specifically the EU-15 countries, and provides explanatory keys on how governments have understood, designed and implemented their CSR public policies. The analysis has entailed the classification of CSR public policies taking into consideration the actor to which the governments’ policies were addressed. This approach to the analysis of CSR public policies in the EU-15 countries leads us to observe coinciding lines of action among the different countries analyzed, which has enabled us to propose a ‹four ideal’ typology model for governmental action on CSR in Europe: Partnership, Business in the Community, Sustainability, and Citizenship, and Agora. The main contribution of this article is to propose an analytical framework to analyze CSR public policies, which provide a perspective on the relationships between governments, businesses, and civil society stakeholders, and enable us to incorporate the analysis of CSR public policies into a broader approach focused on social governance. (shrink)

Conflicting social expectations in a particular state affect the interpretation and implementation of international human rights law. Ideological, religious, and legal factors related to the protection of freedom of religion or belief (FoRB) and freedom from discrimination based on sexual orientation and gender identity (SOGI) in Ukraine put businesses under social pressure. Businesses thus face a legitimate dilemma whether to follow national social expectations perceiving FoRB and freedom from discrimination based on SOGI as rights in conflict or expectations arising from (...) international human rights law establishing both freedoms as equal and non-clashing. Based on desk research and in-depth interviews with business policymakers the article identifies neutrality, ignoring, and active engagement strategies when providing corporate respect to FoRB and SOGI under the business and human rights framework ‘Protect, Respect, Remedy’ which requires responsible business conduct. The article concludes with the implications each strategy has for resolving presumed clashes between FoRB and SOGI at the community level. (shrink)

We investigate the relationship of corporate social responsibility (CSR) (often assumed to reflect corporate voluntarism) and government (often assumed to reflect coercion). We distinguish two broad perspectives on the CSR and government relationship: thedichotomous(i.e., government and CSR are / should be independent of one another) and therelated(i.e., government and CSR are / should be interconnected). Using typologies of CSR public policy and of CSR and the law, we present an integrated framework for corporate discretion for engagement with (...) public policy for CSR. We make four related contributions. First, we explain the dichotomous and the related perspectives with reference to their various assumptions and analyses. Second, we demonstrate that public policy for CSR and corporate discretion coexist and interact. Specifically, we show, third, that public policy for CSR can inform and stimulate corporate discretion and, fourth, that corporations have discretion for CSR, particularly as to how corporations engage with such policy. (shrink)

Corporate fetal protection policies are designed to protect unborn children from exposure to harmful substances in the workplace. In recent years, a number of corporations have instituted fetal protection policies which excluded all fertile female employees from jobs which exposed them to hazardous substances. Critics argued that these policies discriminated against women, and several lawsuits were filed.The United States Supreme Court recently decided a case involving the fetal protection policy of Johnson Controls, Inc. This article will (...) analyze the impact of the Supreme Court decision from a legal and ethical perspective. Practical guidelines for policies which protect the unborn and comply with the law will also be addressed. (shrink)

Corporate social responsibility was historically a business-oriented idea that companies should voluntarily improve their social and environmental practices. More recently, CSR has increasingly attracted governments’ attention, and is now promoted in public policy, especially in the European Union. Conflicts can arise, however, when advanced welfare states introduce CSR into public policy. The reason for such conflict is that CSR leaves key public welfare issues to the discretion of private business. This voluntary issue assignment contrasts starkly with advanced welfare states’ (...) traditions favoring negotiated agreements and strong regulation to control corporate conduct. This article analyzes the conflicts and compatibilities arising when advanced welfare states introduce CSR, focusing on how the two traditions diverge and on how conflicts are reconciled. Empirically the study focuses on four Nordic countries—Denmark, Finland, Norway, and Sweden—widely recognized as the most advanced welfare states, and increasingly as leaders in CSR public policy. From interviews of 55 officials of government ministries, nongovernmental organizations, labor unions, and employer associations, the authors conclude that tension indeed exists between CSR public policies and advanced welfare state traditions in all four countries. Whereas CSR’s aims are compatible with Nordic institutional traditions, the means promoted in CSR is in conflict with such Nordic traditions as corporatist agreements and rights-based welfare state regulation of social and environmental issues. There is harmony of goals, but conflict in means between the four Nordic countries studied. (shrink)

This chapter examines the rapidly developing global institutional frameworks for corporate sustainability occurring in response to imminent climate change. Corporations need to engage fully and responsibly in the urgent tasks of adaptation and amelioration required to remedy the damage caused by their earlier externalization of the costs of emissions and other pollution and reach for the objective of eliminating future carbon emissions. Guiding and facilitating this immense paradigm shift in corporate sustainability is a vast framework of international and (...) civil institutions focusing on different elements of the transformation process. The resulting widening scope of corporate directors’ duties in this more dangerous context is considered. Finally, the remarkable burgeoning of international institutions and agencies advising and monitoring corporations on climate change, carbon disclosure, responsible investment, and integrated reporting are examined. Collectively, this huge and multifaceted effort by both business and civil society, by all the agencies and initiatives discussed, represents a great advance in the campaign for corporate environmental, social, and governance responsibility. The ideals manifested are often exemplary, and whatever weaknesses and limitations revealed in the complex challenges these initiatives face, in aggregate, the initiatives do represent a significant institutional development in the cause of corporate responsibility. (shrink)

This study examines the determinants of corporate social responsibility (CSR) and its implications on firms’ investment policy, organizational strategy, and performance. First, we find that firms with better performance, higher R&D intensity, better financial health, and firms in new economy industries are more likely to engage in CSR activities, while riskier firms are less likely to do so. We also find U-shaped relation between firm size and CSR, indicating that either very small or very large firms exhibit high levels (...) of CSR strengths and concerns. Next, we find that firms’ CSR strengths relate favorably with their investments, organizational strategy, and performance, whereas CSR concerns and firm attributes are by and large negatively related. Using a 2SLS procedure, we verify that the CSR–performance relation is robust to corrections for endogeneity through reverse causation and/or biases introduced by time varying omitted variables. Finally, we find that the CSR–firm attributes relation is strengthened when the CEO’s incentives are below the sample median, suggesting that CSR participation is especially important when monetary incentives are lower than benchmark levels. (shrink)

This paper examines the status of Corporate Ethical Policies (CEP) in large companies in Argentina, Brazil and Spain, with a special emphasis on Corporate Ethics Statements (CES), documents that define the firms’ philosophy, values and norms of conduct. It is based on a survey of the 500 largest companies in these nations. The findings reveal many similarities between these countries. Among other things, it emerges that most companies give consideration to ethics in business and have adopted some (...) kind of formal or informal ethical policies. Regardless of whether or not they have a CES, companies agree that ethical conduct must be taken into account when selecting, appraising and promoting personnel as an important ethical policy. There is a growing tendency to draw up formal corporate ethics documents. These documents are perceived, first and foremost, as supporting the development of corporate culture. Most respondents believe that primary responsibility for ethical issues in the company rests with the CEO. Finally, the findings indicate that most companies that devote more resources to communicating and implementing CESs have two or more formal ethics documents. The main differences between the countries included in the study concern the emphasis given to specific aspects, such as avoiding misconduct or taking ethical criteria into account when selecting personnel. The emphasis is greatest in countries where corruption seems most prevalent. (shrink)

Using a combination of network analysis and descriptive statistics, this study examines the extent to which six important and longstanding policy-oriented nonprofit organizations — foundations, think tanks, and policy-discussion groups — were connected via their directors with the 250 largest corporations in the United States in 1935–1936 and 2010–2011. The results demonstrate that the six nonprofit organizations included in the study were well integrated into corporate networks in both periods, and had an even greater integrative role in 2010–2011 than (...) they did in 1935–1936. This finding supports the hypothesis that policy-oriented nonprofit organizations allow the corporate community to develop proposals, and to reach consensus, on major policy issues. This hypothesis is further supported by an overview of existing studies that illustrate the success of these organizations in shaping policy outcomes on a range of issues. Based on the overall results, the longstanding claim that corporations influence government primarily or solely at the “interest-group” level can be supplemented by the conclusion that policy-oriented nonprofits support a policy-planning process that links the corporate community to government on general issues. In addition, the findings cast doubt on the claim that the corporate community has lost its capacity for policy cohesion in recent decades, due primarily to a “fracturing” caused by a decline in bank centrality. Since general policies have been created within the policy-planning process since at least the mid-1930s, the decline in bank centrality is irrelevant to the corporate community’s ability to formulate general policy proposals. (shrink)

Corporate social responsibility (CSR) concerns the realm of business behavior in which the firm tries to effectively manage its business and non-market environment interface. Coerced CSR refers to taking socially responsible action in response to or in anticipation of retaliation in some form (boycott, adverse publicity, introduction of regulatory laws, etc.) from interest groups who are not directly part of the market to which the firm caters. In contrast, strategic CSR or altruistic CSR refers to socially responsible activities undertaken (...) out of enlightened self-interest. The focus of this paper is to understand whether the impact of coercion is different for government-owned organizations and privately owned firms in developing countries. Activities that are in response to or in anticipationof threats by interest groups are identified and compared across publicly and privately owned firms, against the backdrop of weak enforcement of fairly stringent environmental regulation. We then generalize our observations and attempt to distinguish the intensity of pressures felt by public and privately owned firms and their speed of response. As a result of this understanding, we attempt to suggest specific policy mixes for various types of industry, depending on whether they are dominated by the public sector or private sector. (shrink)

In this article, we examine an important but relatively under-researched form of corporate social responsibility, namely, employer support for employee voluntary activity. Using Canadian data, we examine two questions. First, we analyze the impacts of employer support on the total number of hours volunteered and on the voluntary activities which are undertaken. Second, we examine how employer support is distributed between male and female employees. Our results indicate that employer support is associated with a greater amount of volunteer activity (...) by both men and women employees and in a wide range of voluntary activities. However, we also find that women are less likely to receive employer support than men and are less likely to receive support in the form of flexible work hours and time-off. These results are puzzling given that women typically face more binding time constraints than men. We conclude the paper by discussing how employer policies might be changed to address this finding. (shrink)

How do we deal with difference personally, interpersonally, nationally? Can we weave a cohesive social fabric in a religiously plural society without suppressing differences? This collection of significant essays suggests that to truly honour differences in matters of faith and religion we must publicly exercise and celebrate them. The secular/sacred, public/private divisions long considered sacred in the West need to be dismantled if Canada (or any nation state) is to develop a genuine mosaic that embraces fundamental differences instead of a (...) melting pot that marginalizes. An ethics of difference starts with a recognition of difference, not as deviance or deficit that threatens but as otherness to connect with, cherish, and celebrate. The book begins with the suggestion that our inability to come to terms with social plurality is not fundamentally the fault of religious differences, and that a public/private split inadequately deals with matters of basic difference. It then explores how encouraging people to live out their respective faiths may open new possibilities for respectful, honourable, and just negotiations of contemporary dilemmas arising out of the multicultural fabric of Canadian life. Towards an Ethics of Community introduces readers to some of the most challenging and divisive dilemmas we face in this increasingly pluralistic, postmodern world — issues such as family and domestic violence, Aboriginal rights, homosexuality and public policy, and female genital mutilation. This is a book truly global in scope and significance. (shrink)

Corporate social responsibility (CSR) concerns the realm of business behavior in which the firm tries to effectively manage its business and non-market environment interface. Coerced CSR refers to taking socially responsible action in response to or in anticipation of retaliation in some form (boycott, adverse publicity, introduction of regulatory laws, etc.) from interest groups who are not directly part of the market to which the firm caters. In contrast, strategic CSR or altruistic CSR refers to socially responsible activities undertaken (...) out of enlightened self-interest. The focus of this paper is to understand whether the impact of coercion is different for government-owned organizations and privately owned firms in developing countries. Activities that are in response to or in anticipationof threats by interest groups are identified and compared across publicly and privately owned firms, against the backdrop of weak enforcement of fairly stringent environmental regulation. We then generalize our observations and attempt to distinguish the intensity of pressures felt by public and privately owned firms and their speed of response. As a result of this understanding, we attempt to suggest specific policy mixes for various types of industry, depending on whether they are dominated by the public sector or private sector. (shrink)

The overall policy and strategies of an organization i.e. employeepolicy or employee development strategies, resource management as well asmonitoring and control strategies characteristically have an effect on the qualitymanagement of the organization. These policies usually also have impact onthe stakeholders i.e. satisfaction of the wider community and employees ofthe particular organization. The aim of this paper is to examine the policyand strategies of the Chittagong City Corporation for quality improvementand how these policy and strategies impact on the needs of (...) its stakeholders.This paper is guided by the EFQM model as the theoretical underpinning thatprovides specific enabler criteria of quality management of organizations suchas employee policy, development of partnerships and resource management,and the monitoring of strategies. These enabler criteria help to explain the waysin which total quality management is implemented in any organization.Data for this study was collected from a total of 142 participants, includingselective officials of the Chittagong City Corporation, city dwellers,government officials and civil society representatives by using a structuredquestionnaire. The findings of this study reveal that the CCC has failed toconvey clearly its quality mission and objectives to its employees at all levels. (shrink)

This article connects the previously isolated literatures on corporate citizenship and corporate political activity to explain how firms construct political influence in the public sphere. The public engagement of firms as political actors is explored empirically through a discursive analysis of a public debate between the mining industry and the Australian government over a proposed tax. The findings show how the mining industry acted as a corporate citizen concerned about the common good. This, in turn, legitimized (...) class='Hi'>corporate political activity, which undermined deliberation about the common good. The findings explain how the public sphere is refeudalized through corporate manipulation of deliberative processes via what we term corporate citizenspeak—simultaneously speaking as corporate citizens and for individual citizens. Corporate citizenspeak illustrates the duplicitous engagement of firms as political actors, claiming political legitimacy while subverting deliberative norms. This contributes to the theoretical development of corporations as political actors by explaining how corporate interests are aggregated to represent the common good and how corporate political activity is employed to dominate the public sphere. This has important implications for understanding how corporations undermine democratic principles. (shrink)

A travel management programme allows an organisation to manage corporate travel expenditure, and through a well-formulated travel policy, to control its travel expenses. However, traveller non-compliance of the travel policy is an increasing area of concern with surveys conducted amongst travellers showing various reasons for non-compliance, both deliberate and unknowing. The purpose of this article is to look beyond the reasons and identify the underlying factors that influence travel policy compliance. Two broad categories of factors that lead to non-compliance (...) are distinguished: those related to the corporate travel policy as formulated and communicated by the organisation, referred to as corporate-related factors and including issues of corporate culture and business ethics; and those related to the person of the corporate traveller, referred as personal-related factors and including issues of personal ethics. This article makes a first attempt at identifying factors that have not previously been recognised in those industry or academic studies done on non-compliance or violation of the corporate travel policy. (shrink)

By highlighting the specific characteristics of corporate-responsibility(CR)-oriented public governance and juxtaposing them with more traditional regulatoryapproaches, this paper will highlight some of the issues, challenges and policy tools associated with this regulatory orientation. Through stylized examples the paper also illustrates how CR-oriented public governance, interfacing with CR-oriented business strategies may play itself out in the global economy.

Recent empirical work has offered strong support for ‘biased pluralism’ and ‘economic elite’ accounts of political power in the United States, according a central role to ‘business interest groups’ as a mechanism through which corporate influence is exerted. Here, we propose an additional channel of influence for corporate interests: the ‘policy-planning network,’ consisting of corporate-dominated foundations, think tanks, and elite policy-discussion groups. To evaluate this assertion, we consider one key policy-discussion group, the Council on Foreign Relations. We (...) first briefly review the origins of this organization and then review earlier findings on its influence. We then code CFR policy preferences on 295 foreign policy issues during the 1981–2002 period. In logistic regression analyses, we find that the preferences of more affluent citizens and the CFR were positive, statistically significant predictors of foreign policy outcomes while business interest group preferences were not. These findings are discussed with a consideration of the patterns of CFR ‘successes’ and ‘failures’ for the issues in our dataset. Although a full demonstration of a causal connection between corporate interests, the policy-planning network and policy outcomes requires further research, we conclude that this has been shown to be a plausible mechanism through which corporate interests are represented and that ‘biased pluralism’ researchers should include it in their future investigations. (shrink)

The article identifies the challenges that multinational corporations (MNCs) from the developed world face in sub-Saharan Africa and examines the direct foreign-investment and development interests of the region. In light of these challenges and interests, it also explores answers to the question What is to be done?The occurrence of MNCs' operations in culturally pluralistic societies suggest that they use, as the basis for a corporation-formulated regional code of conduct, a value-based corporate social policy process. That process should embody utilitarian (...) and situation ethics in the exercise of MNCs' prima facie operations and of their responsibilities to society. For the African normative environment, the appeal of this approach is substantiated by the notion that both utilitarian and situation ethics are at once consistent with the region's investment codes, development interests, and value systems. But more than that, utilitarian and situation ethics are consistent with corporate social policy process and can assist MNCs to meet effectively their social responsibilities by helping them reverse the economic stagnation of most of the continent. (shrink)

Three global developments situate the context of this investigation: the increasing use of social media by organizations and their employees, the burgeoning presence of social media policies, and the heightened focus on corporate social responsibility. In this study the intersection of these trends is examined through a content analysis of 112 publicly available social media policies from the largest corporations in the world. The extent to which social media policies facilitate and/or constrain the communicative sensibilities and (...) values associated with contemporary notions of CSR is considered. Overall, findings indicate that a large majority of policies, regardless of sector or national headquarters, increasingly inhibit communicative tenets of contemporary CSR and thereby diminish employee negotiation and participation in the social responsibilities of corporations. Moreover, policies generally enact organizational communication practices that are contrary to international CSR guidelines. Findings suggest that social media policies represent a relatively unrecognized development in the institutionalization of CSR communicative norms and practices that call into question the promising affordances of social media for the inclusion of various voices in the public negotiation of what constitutes corporate social responsibility. (shrink)

Globalization has increased the economic power of the multinational corporation (MNC), engendering calls for greater corporate social responsibility (CSR) from these companies. However, the current mechanisms of global governance are inadequate to codify and enforce recognized CSR standards. One method by which companies can impact positively on global governance is through the mechanism of Global Public Policy Networks (GPPN). These networks build on the individual strength of MNCs, domestic governments, and non-governmental organizations to create expected standards of behaviour in (...) such areas as labour rights, environmental standards, and working conditions. This article models GPPN in the issue area of CSR. The potential benefits of GPPN include better overall coordination among industry and government in establishing what social expectations the modern MNC will be expected to fill. (shrink)

Since the mid-1980s, internal corporate investigations have become commonplace in the U. S., with an upsurge occurring as a result of the corporate scandals of 2001-02 involving Adelphi Communications Corporation, Enron, Merck & Company, Riggs Bank, and other companies accused of financial malfeasance. After an introduction, this article first presents the U. S. public policy framework (as implemented through the U. S. Sentencing Commission, the U. S. Department of Justice, and the Securities and Exchange Commission) encouraging the use (...) of corporate internal investigations and self-reporting of these results to federal authorities; second, evaluates this framework, identifying the public policy issues inhibiting companies from using corporate internal investigations and self-reporting significant results; third, proposes a policy incentive regime which attempts to ameliorate these outstanding issues; and fourth, offer policy recommendations and suggestions for further research on this topic, including increasing the maximum deduction in the Organizational Sentencing Guidelines Culpability Score available to a firm for development of an Effective Compliance and Ethics Program (from 3 to 5 points), and self-reporting the results of an internal investigation (from 5 to 7 points); evaluating the effectiveness of these enhancements in legal incentives over a period of 5-7 years after implementation; instituting a formal federal government effort to educate the American business community on the corporate reputation (and financial) benefits of an effective compliance program; and protecting attorney-client privilege and work product protection, through legislative action, to encourage company executives and directors to utilize independent, outside attorneys to conduct fair, comprehensive, and impartial internal investigations. (shrink)

Although many small businesses and a great number of large enterprises have environmental policies, the contents of such policies vary widely according to their emphases either on technical rationality and technocentrism/technocracy or on ecological rationality and ecocentrism/ecocracy. I present them in four categories: with regard to strong anthropocentrism, (1) the neo-technocratic enterprise and (2) the techno-environmentalist enterprise; and with regard to weak anthropocentrism, (3) the pseudo-environmentalist enterprise and (4) the quasi-environmentalist enterprise. Such a typology can be useful for (...) business managers to write and/or review their environmental policies. However, it only reflects the “ideal values” of the enterprise, not the corporate story with regard to environmental issues. (shrink)

“Female sexual dysfunction” is the type of contested disease that has sparked concern about the role of the pharmaceutical industry in medical science. Many policies have been proposed to manage industry influence without carefully evaluating whether the proposed policies would be successful. We consider a proposal for incorporating citizen stakeholders into scientific research and show, via a detailed case study of the pharmaceutical regulation of flibanserin, that such programs can be co-opted. In closing, we use Holman’s asymmetric arms (...) race framework as a tool for evaluating policies in industry-funded science. (shrink)

The growing awareness that corporate and public policy forming processes are intensively utilitarian has provoked a variety of criticism. The procedural difficulties of utilitarianism are well known; less well known but potentially more devastating is a set of charges that utilitarian policy processes intrude upon important relationships and societal processes. This paper defends utilitarian methods against these charges.More specifically, two criticisms are singled out for examination. The first is the claim that utilitarian policy processes systematically discriminate against the rights (...) of non-human life and suppress any feelings of sympathy or obligation humans might have for animals or plants. The second is the argument that utilitarianism ultimately circumvents considerations of process which are essential for the development of individual and societal identity. (shrink)

The political environment has a significant impact on the sustainable development of enterprises. This manuscript aims to investigate the effect of policy uncertainty and official social capital on enterprises’ effective tax rate due to the change of officials. Based on the panel data from the Chinese Industrial Enterprise Database from 1998 to 2009, it is shown that the policy uncertainty caused by the change of local government officials significantly increases the ETR of enterprises. Meanwhile, municipal officials who have social ties (...) with provincial officials in their province also tend to raise the ETR of industrial enterprises, and this tendency is more evident when the officials take office. Further research shows that the effects vary in many aspects for policy uncertainty and social capital on the ETR of enterprises. The findings of this manuscript provide support for a deeper understanding of the change in local government fiscal policies and give suggestions to strengthen political environmental governance for the sustainable development of enterprises. (shrink)

Do environmental policy statements accurately represent corporate commitment to environmental sustainability? Because companies are not required by law to publish environmental policy statements or to verify that these statements are true using independent third parties, external stakeholders often wonder when a published commitment to a policy translates into actual policy implementation. The authors analyzed two independent databases to predict the circumstances under which large, leading-edge corporations in industry sectors will commit to and/or implement proactive corporate environmental policies (...) and when it is unlikely they will do so. The authors found that commitment to specific environmental policies does not vary greatly between industry sectors; however, policy implementation does. (shrink)

Effective public policy to mitigate climate change footprints should build on data-driven analysis of firm-level strategies. This article’s conceptual approach augments the resource-based view of the firm and identifies investments in four firm-level resource domains to develop capabilities in climate change impact mitigation. The authors denote the resulting framework as the GISTe model, which frames their analysis and public policy recommendations. This research uses the 2008 Carbon Disclosure Project database, with high-quality information on firm-level climate change strategies for 552 companies (...) from North America and Europe. In contrast to the widely accepted myth that European firms are performing better than North American ones, the authors find a different result. Many firms, whether European or North American, do not just “talk” about climate change impact mitigation, but actually do “walk the talk.” European firms appear to be better than their North American counterparts in “walk I,” denoting attention to governance, information management, and systems. But when it comes down to “walk II,” meaning actual Technology-related investments, North American firms’ performance is equal or superior to that of the European companies. The authors formulate public policy recommendations to accelerate firm-level, sector-level, and cluster-level implementation of climate change strategies. (shrink)

Using the promulgation of Green Credit Guidelines in China as the research setting, this paper exploits a quasi-natural experiment to examine the impact of green credit policy on the stock price crash risk of heavy-polluting firms. The results show that green credit policy significantly increases the risk of stock price crash of heavy-polluting firms. Such impact is transmitted through increased financial constraints and reduced information transparency. In addition, we find that the impact of green credit policy on the stock price (...) crash risk is more pronounced in firms with weak external governance and a small size. Our findings provide policy implications for mitigating corporate risks and promoting corporate sustainability. (shrink)

This article presents the results of the empirical testing of the corporate travel policy compliance model conceptualised by the authors and first published in the Journal of Business Ethics in 2009. In the previous article, the theory underlying the model was explained. This article follows with the results of the empirical testing of the model and focusses on those related to the influence of personal factors on policy compliance. The constructs used to define personal-related factors include personal ethics, individual (...) morality, self-interest, levels of job- and life satisfaction and the conditions of travel. The empirical investigation sought to determine if personal-related factors significantly influenced travel policy compliance and from the study it could be concluded that there is a correlation, with certain factors exhibiting a stronger correlation than others. The implication is that organisations need to understand the impact of factors previously ignored or under-valued as determinants of non-compliance and take steps to recognise and remedy the situation to achieve higher levels of travel policy compliance amongst corporate travellers. (shrink)

We study how changes in unemployment risk affect firms’ productivity and whether firm-initiated policies can mitigate the moral hazard problem created by increases in unemployment insurance benefits that might decrease workers’ incentives to work hard. We focus on state-specific changes in UIB levels as a quasi-natural experiment. While a large body of research has examined UIBs, including their effect on unemployed workers, few studies investigate whether UIBs have any impact on a firm’s overall productivity. Using data on firm-level total (...) factor productivity and state-level UIBs, we find a negative association between productivity and UIBs. We also find that the negative association is weaker for firms with higher employee-welfare indices than for firms with lower indices, suggesting that the adverse effect of higher UIBs on productivity is mitigated by policies that benefit workers’ welfare. More specifically, we find that among policies that are under the umbrella of corporate social responsibility, a subset of employee-welfare policies are more effective in managing moral hazard problems than other policies. (shrink)

The role of corporate counsel in the corporate governance process has been long overlooked. This paper uses recent comments by Breeden as the springboard for a discussion of the issues surrounding significant roles for lawyers in corporations. It considers these both from a practical and a theoretical perspective and identifies why it is problematic merely to assume hiring lawyers will ensure good compliance both in terms of legal and ethical obligations.

This study aims to discover marketing professionals'' perceptions on ethical problems and current level of ethics in Greece, as well as, on the policy instruments used by companies to help employees make decisions in a more ethical fashion, using a qualitative research design. Specifically, it reports the results of a series of in-depth interviews conducted with Greek marketing professional employed by multinationals in Greece. A number of topics examining ethical problems, ethical standards, corporate policy instruments and corporate cultureserved (...) as a basis for discussion. While the occasionally contrasting opinions revealed in part the perplexity of marketing ethics, respondents also arrived at points of convergence. All recognized government as playing the most prominent role in issues of public concern, legislation and overall ethical standards. Moreover, all marketers identified multinational and other foreign firms as a positive influence to the level of ethics, due to the introduction of policy instruments and control mechanisms. Finally, they also accepted the need for better informed customers and a strong organizational culture. Several recommendations are offered for consideration by marketing professionals interested in promoting ethical business conduct. (shrink)

This essay re-examines and challenges the conventional wisdom regarding American laissez-faire capitalism, illuminates the extent of government activism and the currents of social democracy, and underscores the significance of the federal structure of the United States political system. We propose Critical Institutionalism to facilitate understanding of the complex, dynamic and contested nature of our political economy.

A random sample of 146 fortune 500 firms were surveyed in 1996 to determine whether firm size and industry type affect employers' level of involvement and support of ethical and environmental policies and practices. The study found relationships between firm size and ethical and environmental policies and practices. While the majority of firms (90.3%), regardless of size, have a formal written code of ethics, large firms are more likely to employ an ombudsperson to handle ethical concerns and to (...) have a network confidentiality policy. Although most firms (83.5%) have a formal written environmental policy, large firms are more inclined to invest in new ways to reduce the production of various types of waste. Another interesting twist to the study has to do with the relationships found between industry type and ethical and environmental policies and practices. Industries, such as the computers and electronics and scientific and photographics sectors, that are involved with high precision products and industries, such as mining, crude oil, and petroleum refining, that utilize natural resources are more inclined to have a formal written code of ethics and social responsibility. In addition, industries that utilize natural resources are more likely than other industries to have formal written environmental policies and practices. (shrink)

Corporate social responsibility is frequently defined primarily in terms of the social and environmental impact of systemic organisational activity. This misses the point. To be applicable, corporate responsibility should be understood as a process, through which individuals’ moral values and concerns are articulated. Moreover, there are important grounds for asserting that such a process should be participative, involving employees . It seems inconsistent not to respect such groups’ right to an opinion, while at the same time purporting to (...) be ethical and responsible; also, a better alignment of organisational policy and employees’ values holds possibilities for enhanced motivation and work performance. Through such a participative process, matters of social responsibility may be identified in the expectations and moral claims of an organisation’s stakeholders. Such claims constitute prima facie obligations to which those responsible for corporate policy should attend, and where such demands conflict then dialogue is required in order to establish an appropriate course of action. (shrink)

This article examines the relation between policies concerning Corporate Social Responsibility and philosophical moral theories. The objective is to determine which moral theories form the basis for CSR policies. Are they based on ethical egoism, libertarianism, utilitarianism or some kind of common-sense morality? In order to address this issue, I conducted an empirical investigation examining the relation between moral theories and CSR policies, in companies engaged in CSR. Based on the empirical data I collected, I start (...) by suggesting some normative arguments used by the respondents. Secondly, I suggest that these moral arguments implicitly rely on some specific moral principles, which I characterise. Thirdly, on the basis of these moral principles, I suggest the moral theories upon which the CSR policies are built. Previous empirical studies examining the relation between philosophical moral theories and the ethical content of business activities have mainly concentrated on the ethical decision-making of managers. Some of the most prominent investigations in that regard propose that managers mainly act in accordance with utilitarian moral theory, 166–175; Premeaux, S. and W. Mony: 1993, Journal of Business Ethics12, 349–357; Premeaux, S.: 2004, Journal of Business Ethics52, 269–278). I conclude that CSR policies are not based on utilitarian thinking, but instead, on some kind of common-sense morality. The ethical foundation of companies engaged in CSR, thus, does not mirror the ethical foundation of managers. (shrink)

This paper argues for seeing in-depth news coverage of political, social, and economic issues as “public policy pedagogy.” To develop my argument, I draw on Nancy Fraser’s democratic theory, which attends to social differences and does not assume that unity is a starting point or an end goal of public dialogue. Alongside the formation of “subaltern counterpublics”, alternative media outlets sometimes develop. There, members of alternative publics debate their interests and strategize about how to be heard in wider, mass-mediated public (...) arenas. I address the normative implications of this non-unitary, multiple-publics model for news journalism, analyzing how current conventions in mainstream news journalism can restrict public debate and impoverish the public policy pedagogy on offer. I illustrate my arguments with a case study of media coverage of the creation and implementation of a social justice curriculum in British Columbia, Canada. (shrink)

Corporate social policy can be viewed as three legs of a tripod: efficient production, stable employment, and a social and political environment that promotes high performance of both workers and managers.Social policy process consists of achieving a balance of corporate interest with other interests in the society. Each policy position taken by the firm alters its relationships with all other interests and creates a new balance. This entails the risk of creating unfriendly interests and losing the support of (...) others, depending on the issue and shift in power. (shrink)