Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/226016
Authors: 
Görg, Holger
Hanley, Aoife
Seric, Adnan
Year of Publication: 
2018
Citation: 
[Journal:] Sustainability [ISSN:] 2071-1050 [Volume:] 10 [Issue:] 10 (Article No.:) 3675
Abstract: 
The disconnect between the lofty aspirations of firms claiming Corporate Social Responsibility (CSR) and their shortcomings in practice have caused some observers to question its usefulness. The fallout from events like the Rana Plaza catastrophe has highlighted some of these shortcomings—namely, deficiencies in how multinational enterprises (MNEs) transact with suppliers in developing countries. Specifically, our paper aims to investigate whether or not MNEs behave hypocritically by examining the alignment of CSR to business practices in MNE affiliates in developing countries. To answer this question, we apply standard ordinary least squares (OLS) techniques to data for over 1000 MNEs that claim to have a CSR ethos. We find that CSR-active enterprises report significantly higher worker wages, ceteris paribus. Local African suppliers benefit from CSR through knowledge transfer, but only when MNEs make tangible investments in supplier development.
Subjects: 
corporate social responsibility
corporate hypocrisy
Africa
wages
knowledge transfer
JEL: 
F23
M14
O14
Persistent Identifier of the first edition: 
Creative Commons License: 
https://creativecommons.org/licenses/by/4.0/
Document Type: 
Article
Document Version: 
Published Version

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.