Loading...
Is venture capital socially responsible? Exploring the imprinting effect of VC funding on CSR practices
Alakent, Ekin Goktan, Sinan M. Khoury, Theodore Andrew
Alakent, Ekin
Goktan, Sinan M.
Khoury, Theodore Andrew
Citations
Altmetric:
Publication Type
Journal article with impact factor
Editor
Supervisor
Publication Year
2020
Journal
Journal of Business Venturing
Book
Publication Volume
35
Publication Issue
3
Publication Begin page
Publication End page
Publication Number of pages
Collections
Abstract
We study how corporate social responsibility (CSR) is guided by ownership history, specifically whether a company receives venture capital (VC) funding or not. We argue that companies that receive VC funding are less likely to adopt CSR practices due to unique VC imprinting and that temporal and investment orientation moderate this relationship. We find that VC-backed companies have poorer CSR records, which do improve over time, but at a comparatively slower rate than non-VC-backed companies. However, when VC-backed companies receive funding from VC firms that have a responsible investment orientation and a broader stakeholder view, their CSR records are significantly better. This study contributes to our understanding of imprinting boundaries and related repercussions in stakeholder management strategies.
Research Projects
Organizational Units
Journal Issue
Keywords
Venture Capital, Corporate Social Responsibility (CSR), Imprinting, Decay, Stakeholder View, Investment Orientation, Impact investment, IPO