The transmission of socially responsible behaviour through international trade

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Abstract

We investigate the relationship between corporate social responsibility (CSR) practices of domestic Vietnamese firms and their engagement with foreign markets. We develop a measure of CSR that combines compliance with labour standards, management commitment to CSR, and corporate community related actions; and find a strong relationship between this measure and participation in international markets. Results suggest that both exporting and importing firms engage in more CSR activities. Conditional on exporting, we show that Vietnamese exporters to China are less involved in CSR related activities, and that exporters to the US engage in more community related CSR. This may reflect differences in stakeholder preferences across markets.
Original languageEnglish
JournalEuropean Economic Review
Volume101
Pages (from-to)250-267
ISSN0014-2921
DOIs
Publication statusPublished - Jan 2018

Keywords

  • Corporate social responsibility
  • Trade
  • Spill overs
  • Vietnam

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