Paradox strategic cognition and ECSR in China: a three-tripod perspective

ABSTRACT

Literature rooted in institutional theory and stakeholder theory offers conflicting views on the relationship between environmental corporate social responsibility (ECSR) and financial performance. However, both failed to explain why firms interpret this relationship variously which is subjective to a firm’s strategic cognition. How firms interpret this relationship affects the ECSR decision and implementation. Drawing on the paradox theory, four hypotheses were proposed and examined using data from 170 manufacturing firms in China. This study found paradox strategic cognition positively affects ECSR. Legal enforcement inefficiency, competitive intensity and industrial power weaken the effect of paradox strategic cognition on ECSR.

KEYWORDS:

• China
• competitive intensity
• environment corporate social responsibility
• industrial power
• legal enforcement inefficiency
• paradox strategic cognition

Disclosure statement

No potential conflict of interest was reported by the authors.

Additional information

Funding

This study was supported by the National Natural Science Foundation of China under Grant [number 71572142].

Notes on contributors

Zelong Wei

Zelong Wei, PhD, is a Professor with the School of Management, Xi’an Jiaotong University. His research interests include strategy, innovation, and entrepreneurship in an emerging economy, with special emphasis on business model, technological innovation, and technological entrepreneurship. His research studies have been published in journals including the Journal of Business Ethics, the Journal of Management Studies, the Journal of Product Innovation Management, R&D Management, the Asia Pacific Journal of Management, the International Journal of Production Economics, the IEEE Transactions on Engineering Management, etc. Dr. Wei was a Member of the Editorial Board of the Journal of Management Studies from 2012 to 2015.

Xi Song

Xi Song is a PhD student at the school of management, Xi’an Jiaotong University. Her research interests include technological innovation and management innovation. Her recent study is published in the International Journal of Production Economics.

Zohaib Hussain Makhdoom

Zohaib Hussain Makhdoom is a master student at the school of management, Xi’an Jiaotong University. His research interests include corporate social responsibility and technological innovation.

Paike Xie

Paike Xie is a PhD student at the school of management, Xi’an Jiaotong University. His research interests include technological innovation and business model.