Corporate Social Performance, Resource Dependence and Firm Performance

Abstract

Using resource dependence perspective we examine the relationship between different stakeholder groups and firm performance. Our results indicate that different stakeholder groups have different levels of salience for firm’s financial performance. Proactive policies with respect to employees, consumers and diversity show the maximum beneficial effects. Our results also indicate that commitment-based work practices help firms improve their capacity to benefit from their performance on other CSP domains, which we believe indicates preliminary support for the concept of stakeholder influence capacity.

Keywords: corporate social performance, corporate governance, financial performance

JEL Classification: G34