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How a different engagement in CSR efforts affects firm’s propensity to innovate: an empirical investigation

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Academic year: 2021

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How a different engagement in CSR efforts affects firm’s

propensity to innovate: an empirical investigation

Novella Talà, Stefania Testa, Silvano Cincotti(*) and Giovanni Lombardo

DIME-DOGE – University of Genoa, Via Opera Pia, 15, 16145 Genoa – ITALY

The relationship between CSR and innovation is scarcely recognized in literature. Using data of 167 enterprises, we performed a cluster analysis and identified two CSR firm profiles -intensive and weak CSR adopters- based on number and intensity of CSR efforts undertaken.

We developed a bivariate probit model to test:

Hyp1: The engagement of a firm in intensive CSR efforts has a positive effect on its propensity to innovate (in both products and processes).

Hyp2: The engagement of a firm in intensive CSR efforts has a positive effect on its propensity to innovate (in both products and processes).

Hypotheses are confirmed. .

Keywords: Corporate Social Responsibility, Innovation, Stakeholder Theory

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