Clarifying the dispute of corporate social responsibility: Evidence from green technological innovation

Although both corporate social responsibility (CSR) and green technological innovation (GTI) are beneficial to firm development, little is known about whether they can function well together. Drawing on the combination of stakeholder theory (ST) and attention-based view (ABV), this study adopts the double fixed effect model and the mediation effect model, using a sample of Chinese manufacturing listed firms from 2010 to 2021. The findings show: (1) CSR has a negative impact on GTI quantity and quality, with the impact on GTI quantity more severe. (2) Such hindering effects are caused by reduced R&D investment and increased internal control. (3) CSR's impediment of GTI is particularly significant among SOEs, high-tech, and non-high polluting firms. These conclusions remain robust after using alternative CSR measurements, Poisson/Probit regression model, instrumental variable test, and excluding the exogenous influence of COVID-19. These findings enhance the existing literature on CSR and GTI, and can be significant in improving investor decisions.

Automated summary

Although both corporate social responsibility (CSR) and green technological innovation (GTI) are beneficial to firm development, this study reveals that CSR has a negative impact on the quantity and quality of GTI due to reduced R&D investment and increased internal control. Furthermore, this hindrance is particularly significant among state-owned enterprises, high-tech firms, and non-high polluting firms.