Corporate Social Responsibility in Emerging Market Economies: Determinants, Consequences, and Future Research Directions

Abstract

The last two decades have witnessed a growing interest in corporate social responsibility (CSR) worldwide by corporations, investors, policy makers, and researchers across different disciplines. This paper is part of a Special Issue devoted to CSR practices of firms in emerging market economies (EMEs). It complements prior research focusing mainly on developed countries. We begin with an assessment of CSR practices in EMEs, and examine their determinants and performance implications. We then review key findings in the empirical CSR literature, including studies published in the Emerging Markets Review Special Issue. We conclude by describing pertinent avenues for future research.

Keywords: Corporate Social Responsibility; Emerging Markets; Determinants; Valuation; Cost of Capital

JEL Classification: G32, M14