Session 90

Stakeholder Strategies in Emerging Markets

Track M

Date: Tuesday, October 6, 2015

 

Time: 17:30 – 18:45

Paper

Room: Director's Row E


Session Chair:

  • Jennifer Oetzel, American University

Title: Do Sustainability Practices Help Firms Gain Competitive Advantage? Evidence From Latin America

Authors

  • Punit Arora, CUNY
  • Prabal De, CUNY

Abstract: We contextualize stakeholder theory to examine whether and how environment sustainability practices (ESP) helps focal firms gain competitive advantage in domestic and foreign markets. While previous research on ESP has primarily tried to understand the nature of relationship between ESP and financial performance, we instead focus on uncovering mechanisms by which it may influence a firm’s competitive performance in its targeted markets. Using World Bank’s enterprise surveys in Latin America, our preliminary results indicate that ESP not only helps firms compete better in foreign markets, but that it also helps them build defenses against corruption in their home countries. These results suggest that ESP may offer firms, especially those operating in emerging markets, a strategic option for overcoming institutional constraints and competing better.

Title: Integrating Economic, Social & Environmental Priorities in Extractive Industries: A Model for Sustainable Business Practice

Authors

  • Lite Nartey, University of South Carolina
  • Hildy Teegen, University of South Carolina

Abstract: Firms face a dilemma, specifically how to effectively integrate their economic, social and environmental responsibilities. In the extractive industry context, these firms must mitigate stakeholder conflict and protect their assets through useful and often expensive social projects; but these firms must also ensure that these social projects are sustainable in the long-term and provide lasting socioeconomic benefits to a panoply of stakeholders, critically, without incurring untenable long-term firm costs. We outline a model of sustainable business practice that integrates the economic, social and environmental aspects of business for these extractive firms. We explore the factors of social projects that increase stakeholder ownership and responsibility which increases long term socioeconomic development, decreases social development costs borne by firms, mitigates stakeholder conflict and diminishes overall project risk.

Title: Will Corporate Philanthropy License to Corporate Financial Fraud in China?

Authors

  • Yuehua Xu, Sun Yat-sen University
  • Shenjiang Mo, Sun Yat-Sen University
  • Weiwen Li, Sun Yat-sen University

Abstract: There is a dispute in organization research that as whether prior good deeds prevent firms from or license them to wrongdoings. This study attempts to address this dispute by examining the relationship between corporate philanthropy and corporate financial fraud. Drawing on moral licensing theory, we argue that in emerging markets, firms that make charitable contributions to social causes will obtain moral credits from such charitable behaviors, which permit them to engage in unethical behaviors, like corporate financial frauds. However, the above moral licensing effect can be mitigated by stronger formal and informal institutions in terms of market institutions and family control.

All Sessions in Track M...

Sun: 08:00 – 09:15
Session 49: Stakeholder Strategy and Corporate Growth
Sun: 09:45 – 11:00
Session 48: On Teaching CSR as a Strategic Management Topic
Sun: 11:15 – 12:30
Session 47: On the Emerging B Corp Phenomenon and the Future of Capitalism
Sun: 17:45 – 00:00
Session 322: Stakeholder Strategy Business Meeting
Mon: 08:00 – 09:15
Session 39: Who is a stakeholder?
Mon: 11:15 – 12:30
Session 34: New Explanations of Contextual Differences in CSR
Session 244: Legitimacy, Stakeholders, and Competition
Session 257: Explaining CSR: Internal Factors
Mon: 13:45 – 15:00
Session 37: Political Ties: Knots or Bows?
Mon: 16:45 – 18:00
Session 42: The Word is Out! Stakeholder Responses to Public Signals of Firms' Behaviors
Session 89: Integrating Theories of Stakeholders, Ownership, Governance and Boards
Tue: 08:00 – 09:15
Session 43: First Principles in Creating Value: Stakeholder Theory
Tue: 11:00 – 12:15
Session 260: CSR Challenges
Tue: 14:15 – 15:30
Session 44: What's New? Intersecting Stakeholders with Entrepreneurial Industries, Firms, and Organizational Forms
Tue: 15:45 – 17:00
Session 46: Accidents, Disasters, and Stakeholder Demands
Session 265: Performance Effects of CSR and Non Market Strategy
Tue: 17:30 – 18:45
Session 90: Stakeholder Strategies in Emerging Markets


Strategic Management Society

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