The relationship between corporate social responsibility (CSR) and corporate financial performance has been heavily studied in past research. However, little theory has been developed on how CSR may lead to greater corporate financial performance. In this paper, the authors attempt to fill this theoretical gap by explaining how CSR leads to the tangible benefits of attracting better employees, reduced turnover rate, greater efficiency, and reduced operating costs, via the intangible benefits of firm reputation, organizational commitment, and learning. Thereafter, managerial implications and further research opportunities are discussed.
Strategy, CSR, Organizational Theory
Business Law, Public Responsibility, and Ethics
Strategy and Organisation
International Review of Business Research Papers
World Business Institute
CHONG, Wei Nurn and TAN, Gilbert.
Obtaining Intangible And Tangible Benefits from Corporate Social Responsibility. (2010). International Review of Business Research Papers. 6, (4), 360-371. Research Collection Lee Kong Chian School Of Business.
Available at: http://ink.library.smu.edu.sg/lkcsb_research/2939