Corporate life cycle, organizational financial resources and corporate social responsibility. Issue 1 (April 2017)

• Record Type: Journal Article
• Authors: Hasan, Mostafa Monzur; Habib, Ahsan
• Is Part Of: Journal of contemporary accounting & economics. Volume 13:Issue 1(2017:Apr.)
• Page Start: 20
• Page End: 36
• Publication Date: 2017-04
• Subjects: D22 -- M14; Corporate life cycle -- Corporate social responsibility -- Financial resources; Accounting -- Periodicals; Accounting -- Research -- Periodicals; Accounting -- Periodicals; Accounting; Accounting -- Research; Periodicals; 657.05
• DOI: 10.1016/j.jcae.2017.01.002
• Languages: English
• ISSNs: 1815-5669

Abstract

Abstract: This study examines the association between the corporate life cycle and corporate social responsibility (CSR). Motivated by the resource-based theory, we hypothesize and find supportive evidence that the resource base and competitive advantages allow mature firms to invest more in CSR-related activities than firms at other stages of the corporate life cycle. We further examine the role of financial resources in explaining the relation between the corporate life cycle and CSR. Our results show that size, profitability and slack resources moderate the association between the corporate life cycle and CSR. These findings are robust when subjected to a series of sensitivity tests.