The Impact of the Confucian Culture on the Corporate Social Responsibility: An Empirical Evaluation Based on the 10th Survey Data of China's Private Enterprises
The Impact of the Confucian Culture on the Corporate Social Responsibility: An Empirical Evaluation Based on the 10th Survey Data of China's Private Enterprises
GAN Weiyu
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Published
2021-01-20
Issue Date
2020-12-23
Abstract
This paper examines the effect of Confucian and its implicit value norms on corporate social responsibility. Using the survey data of 10th private enterprises in 2012, we find that the Confucian culture has a significant influence on the corporate social responsibility because Confucians advocate “spreading your words when success strolls”. Specifically, firms located in provinces with higher levels of Confucian culture display better performances of its social responsibility. It shows higher corporate philanthropy and stronger environmental protection, and more active cooperation with non-governmental public welfare organizations. Further tests show that besides external cultural factors, the entrepreneurs' subjective socioeconomic status will significantly affect Confucians' effect. The higher subjective socioeconomic status of entrepreneurs, the more obvious the role of Confucian culture in fulfilling corporate social responsibility. Both the robustness test and the extended test results support the research hypothesis of this paper. By integrating the external informal system and the internal entrepreneur self-class judgment into a unified analysis framework, the study expands our understanding of the determinants of implementation of corporate social responsibilities in emerging countries, and it also deepens the theoretical cognition about the economic consequences of Confucian culture.
GAN Weiyu.
The Impact of the Confucian Culture on the Corporate Social Responsibility: An Empirical Evaluation Based on the 10th Survey Data of China's Private Enterprises. Jinan Journal. 2021, 43(1): 115-132