4.6 Article

Corporate Social Responsibility, Product Differentiation Strategy and Export Performance

Journal

JOURNAL OF BUSINESS ETHICS
Volume 91, Issue -, Pages 325-346

Publisher

SPRINGER
DOI: 10.1007/s10551-010-0613-z

Keywords

CSR; developing and emerging economies; differentiation strategy; export performance

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This article argues that corporate social responsibility (CSR) may contribute to product differentiation in export markets and thus improve export performance We test this argument by observing a period of decreasing export competitiveness in a leading emerging economy (Brazil) Using a large-scale survey design with 252 questionnaires completed by medium- and large-sized Brazilian exporters, we used structural equations modelling to test our hypotheses The results suggest that CSR. product differentiation predicts export performance better than product quality differentiation and almost as well as product innovation differentiation Multi-group analysis further revealed that the positive and significant effect of CSR product differentiation on export performance is likely to be contingent on the number and type (developing vs developed) of countries that are targeted Our study contributes to the literature on CSR and export performance by developing and empirically validating a model tint explains under which conditions CSR-based product differentiation may lead to improved export performance

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