AIB 2012 Conference Proceedings - Academy of International ...

SUNDAY
Do Socially Responsible Activities Help Firms Achieve Their Financial Goals Evidence from China
Jie Zhang, China HuaRong Asset Management Corporation; Peking University
Chang Song, Renmin University of China
Jiawen Yang, George Washington University
Xiyou Liu, Audit Research Institute of China's National Audit Office
Corporate social responsibility (CSR) is a dramatically expanding area of activity for managers and academics.
This study explores the question of whether socially responsible activities can help firms achieve their financial
goals. The evolution of CSR in China offers a unique setting for studying the issues. Our results suggest that
firm social responsibility performance (CSP) is relevant to corporate financial performance. Specifically, we
found a significant, positive main effect of firm CSP on financial performance, which indicate that firms may
actually benefit from socially responsible actions and a high level of CSR can lead to superior financial
performance. Further, our evidence indicates that the relationship between corporate social performance and
financial performance will be stronger in non-state owned firms, but little evidence in the state owned firms.
The link between CSP and financial performance is robust to various specifications. (For more information,
please contact: Jie Zhang, China HuaRong Asset Management Corporation; Peking University, China:
jacqueline35@sina.com)
An Integrative Model of Corporate Social Responsibility in Multinational Enterprises
Leighton Robert Wilks, University of Calgary
Julie Rowney, University of Calgary
Corporate social responsibility (CSR) within multinational enterprises (MNEs) is now emerging as an important
area of research. This paper reviews the current lenses through CSR in MNEs has been studied (stakeholder
theory, institutional theory, the strategic implementation of CSR, and international management literature), and
then proposes an integrative model of CSR using Rugman, Verbeke, and Yuan's (2010) reconceptualization of
Bartlett & Ghoshal's (1986) classification of national subsidiary roles. The descriptive, normative, and
prescriptive implications of this model are discussed with regard to both academics and practitioners. (For more
information, please contact: Leighton Robert Wilks, University of Calgary, Canada: lrwilks@ucalgary.ca)
A Comparison of Ethical Decision-Making Between Chinese and American Managers: An Analysis Through the
Lens of Linear/Nonlinear Thinking Style
Yongsun Paik, Loyola Marymount University
Kevin. S. Groves, Pepperdine University
Charles M. Vance, Loyola Marymount University
This paper presents an empirical study comparing thinking style and ethical decision-making patterns of 200
American and 204 Chinese managers. Contrary to our expectations, Chinese managers demonstrated a
significantly greater linear thinking style compared to American managers, while the latter showed a
significantly greater nonlinear thinking style. As hypothesized, Chinese and American managers with a balanced
thinking style profile demonstrated greater ethical intent across a series of ethics vignettes compared to
managers with predominantly linear or nonlinear thinking style profiles. Also as predicted, Chinese managers
were more likely to adopt a utilitarian rationale for explaining their ethical intent across the vignettes compared
to their American counterparts. We conclude with a discussion of the theoretical as well as important practical
implications for this comparative study of American and Chinese managerial thinking style and ethical decisionmaking.
(For more information, please contact: Yongsun Paik, Loyola Marymount University, USA:
yspaik@lmu.edu)
AIB 2012 Conference Proceedings
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