Firm Absorptive Capacity: Multidimensionality, Drivers, and Contextual Conditions

Purpose: This paper aims to enrich absorptive capacity literature by specifically highlighting and adding environmental conditions and internationalisation process to the original conceptualisation. Design/methodology/approach: The authors undertake a conceptual analysis and present an enhanced framework of absorptive capacity by integrating multiple literature streams. The authors have analysed the most relevant literature to provide underlying justifications for the proposed conceptual model. Findings: Absorptive capacity ensures the long-term survival and success of a business. To develop absorptive capacity successfully, firms should focus on its various dimensions and existing intangible assets and external environment. The multidimensionality and richness of absorptive capacity is an under-explored area in the existing literature. The authors revisit the conceptualisation of absorptive capacity and add environmental conditions and the internationalisation process to the original conceptualisation. Absorptive capacity does not lead to a competitive advantage independent of its environment. To successfully develop it, firms have to adopt a holistic approach by considering the multi-dimensions, drivers and contextual conditions of absorptive capacity. Originality/value: This study contributes by conceptualising absorptive capacity as a dynamic capability. It is one of the first studies to specifically propose a framework that combines antecedents (prior knowledge, combinative capabilities and IT capabilities), moderators (environmental conditions, namely, market and technological turbulence, competitiveness and the internationalisation process) and consequences (competitive advantage). The study offers a unique conceptualisation with implications for researchers and managers. As a result, managers will have a well-defined blueprint to create value by using firm capabilities

Connecting the dots : Do financial analysis help corporate boards improve corporate social responsibility?

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Connecting the Dots : Do Financial Analysts Help Corporate Boards Improve Corporate Social Responsibility?

This paper presents an examination of the joint impact of board structural elements at firm level and financial analysts as market-level corporate governance (CG) on corporate social responsibility (CSR) performance. Our study contributes to the CG–CSR literature by adopting the bundling approach, a perspective that has recently attracted researchers’ attention as an answer to any heterogeneity and fragmentation in existing findings. It is based on an extensive sample consisting of 7,739 firm-year observations of US firms for the 2006–2015 period. The findings suggest that financial analysts complement the corporate board with more independence, gender diversity and a specialized CSR committee to realize a certain level of CSR performance of a firm. The findings also indicate that analysts substitute for those internal governance factors that are associated with weaker boards – larger sizes and dual-role CEOs. We also draw implications for research and practice from our findings.© 2021 The Authors. British Journal of Management published by John Wiley & Sons Ltd on behalf of British Academy of Management. Published by John Wiley & Sons Ltd, 9600 Garsington Road, Oxford OX4 2DQ, UK and 350 Main Street, Malden, MA, 02148, USA. This is an open access article under the terms of the Creative Commons Attribution License, which permits use, distribution and reproduction in any medium, provided the original work is properly cited.fi=vertaisarvioitu|en=peerReviewed

Do Markets Punish or Reward Corporate Social Responsibility Decoupling?

This article analyzes the relationship between corporate social responsibility (CSR) decoupling and financial market outcomes. CSR decoupling refers to the gap between CSR disclosure and CSR performance. More specifically, we analyze the effect of CSR decoupling on analysts’ forecast errors, cost of capital, and access to finance. We also examine the moderating effect of forecast errors on relationships between CSR decoupling and cost of capital and access to finance. For a sample of U.S. firms consisting of 7,681 firm-year observations for the period 2006–2015, our empirical evidence supports the idea that a wider gap results in higher analysts’ forecast errors, a greater cost of capital, and reduced access to finance. In addition, our results show that forecast errors enhance the effect of the CSR decoupling on cost of capital and access to financial resources. We also note that external monitoring, in the form of greater analysts’ coverage, reduces CSR decoupling

Determinants and consequences of corporate social responsibility disclosure: a survey of extant literature

This paper systematically analyzes and synthesizes the literature on the determinants and consequences of corporate social responsibility (CSR) disclosure. The study is unique in that it synthesizes based on the geographical setting of the original research. We analyzed 135 empirical studies published in Chartered Association of Business Schools (ABS) ranked journals from 1982 to 2020. The results reveal that various global, country-specific, market-specific, and firm-specific factors are important in determining a firm's CSR disclosure policies. These factors are consistently relevant in both developed and developing economies. Furthermore, the synthesis shows that companies achieve various CSR disclosure-related benefits in the form of a better reputation, enhanced financial performance, better access to external finances, better stakeholder management, and enhanced corporate accountability. In terms of theories, we observe a high heterogeneity among various studies examining the same empirical phenomenon. Based on the analysis and review results, we identify avenues for future research

Assurance of corporate social responsibility reports:Examining the role of internal and external corporate governance mechanisms

This article examines the effects of various internal (board independence, gender diversity, and specialized sustainability committee) and external (analysts' coverage and institutional ownership) corporate governance mechanisms on firms' decision to purchase external assurance for their corporate social responsibility (CSR) report. Using an international sample, we show that board diversity, the existence of a CSR committee, analysts' coverage, and institutional investors increase the probability of assuring a CSR report, while board independence decreases it. The findings further suggest that several configurations of these mechanisms complement each other in improving the credibility of nonfinancial disclosure through assurance. However, other configurations do not work in tandem, supporting the existence of substitution effects. Overall, bundling various governance mechanisms effectively could be more useful in formulating and implementing a corporate strategy than individual mechanisms

Macrolide and fluoroquinolone resistance in helicobacter pylori isolates: An experience at a tertiary care centre in Pakistan

Objective: To assess fluoroquinolone and clarithromycin susceptibility pattern along with the types of genomic mutations involved in the resistance of Helicobacter pylori isolates.Methods: The cross-sectional study was conducted at the Department of Pathology and Microbiology, Aga Khan University Hospital, Karachi, from June 2009 to July 2010, and comprised 162 gastric biopsy samples which were tested with GenoTypeHelicoDR (Hain Lifescience GmbH, Germany), a reverse hybridisation multiplex polymerase chain reaction (PCR) line probe assay (LiPA). Also, 23S rRNA (ribosomal ribonucleic acid) gene was analysed with three-point mutations at A2146G, A2146C and A2147G for clarithromycin, and gyrA gene was analyzed at two codon positions 87 and 91 for fluoroquinolone susceptibility testing. SPSS 19 was used for statistical analyses.Results: Clarithromycin resistance was seen in 60 (37.0%) of the isolates mainly involving mutation at A2147G (85%) followed by A2146G (n=35; 21.6%) and A2146C (n=19; 11.6%). Fluoroquinolone resistance was noted in 101(62.3%) isolates, while gyrA mutations at codon 87 was seen in 64 (39.6%) and at codon 91 in 66 (40.6%). Isolates showing combined resistance to both antibiotics were 44 (26.9%).Conclusion: High rate of resistance to fluoroquinolones was seen despite the fact that the drug was not part of the first-line anti-helicobacter therapy. There was moderate increase of clarithromycin resistance beyond the cutoff rates where empirical use of this antibiotic is abandoned. The findings warrant the need for pre-treatment susceptibility testing in Helicobacter pylori infections, especially in Pakistan where burden of disease is high and very limited data is available, to improve patient care by providing targeted therapy

Shedding light on the psychological and behavioral determinants of travel mode choice: A meta-analysis

Mobility represents a relevant topic from the standpoint of environmental degradation, health-related consequences and social inclusion. Since private mobility is responsible for the greatest share of polluting emissions, it is necessary to gain deeper understanding of the mechanisms underpinning the choice of individuals to use either cars or alternative, environment-friendly transport modes. A meta-analysis on 58 primary studies is conducted to synthesize evidence on the determinants of travel mode choice, as regards both behavioral intentions and actual behaviors. Results suggest that, besides intentions, habits and past use represent the most relevant predictor, followed by constructs referring to the Theory of Planned Behavior framework. Environmental variables, on the other hand, play a relevant role in shaping behavioral intentions while their effect on actual behaviors is negligible, so that a deep intention behavior gap emerges. A moderator analysis is performed to explain the high heterogeneity in the results. Behaviors’ operationalization and measurement emerges as the moderator affecting heterogeneity of outcomes the most; trip purpose, sample type and year of the study also show a moderate effect on heterogeneity, while location does not appear to be a relevant moderator

CRM Implementation: A Descriptive Study of the Service Industry in Pakistan

In service industries, the customer relationship has become a core issue for achieving competitive advantage. The firms prefer to invest in the technology based Customer Relationship Management (CRM). However, mere implementing the CRM applications does not itself ensure success until the consequent factors of the CRM are considered by the enterprises concerned. This study provides the descriptive analysis of the CRM implementation and two important factors: customer knowledge and customization. The aim is to analyze the degree to which service firms utilize CRM technology, customize services and store customer knowledge. The results show that CRM application is extensively used in the firms who store and manage customer knowledge. This helps in increasing organizational performance. However, customization is not always the practice of the service firms

Governing Corporate Social Responsibility Decoupling : The Effect of the Governance Committee on Corporate Social Responsibility Decoupling

This paper presents an examination of the relationship between the presence and composition of a corporate social responsibility (CSR) committee on the corporate governance board and CSR decoupling. Using a sample of listed firms drawn from 41 countries, we found that the presence of a CSR committee on the corporate board is negatively associated with CSR decoupling. We also noted that the nature of the industry to which a firm belongs, a firm's level of CSR orientation, and corporate governance quality strengthen such association. Further analysis of the relationship between the structure of the CSR committee and CSR decoupling shows that larger CSR committee size and a greater independence and longer tenure of its members negatively affect CSR decoupling. Our results are robust to various alternative specifications and offer important research and managerial implications. The findings of this study contribute to the growing literature on corporate governance and CSR.© 2022 Springer. This is a post-peer-review, pre-copyedit version of an article published in Journal of Business Ethics. The final authenticated version is available online at: https://doi.org/10.1007/s10551-022-05181-3fi=vertaisarvioitu|en=peerReviewed