Industry Competition Degree, The Institutional Environment And The Fulfillment Of Corporate Social Responsibility

In the past20years, corporate social responsibility issues have been paid widely attention. Not only commercial media, business leaders and political leaders have paid much attention to corporate social responsibility, but also a large number of related academic literature is emerging. But, what factors lead enterprises take responsible behavior for society, or irresponsible activities for the social, under what conditions, companies tend to adopt socially responsible behavior. What factors promote or inhibit the motivation of corporate social responsibility or constraints of corporate behavior? Will the institutional environment and competitive level of the industry affect the fulfillment of corporate social responsibility? What kind of differences in the performance of corporate social responsibility in different institutional environment and industry, where the difference comes from and what is the relationship between industry competition degree, the institutional environment and the fulfillment of corporate social responsibility? In this paper, we choose Shanghai and Shenzhen A-share listed companies that disclose CSR reports from2009to2011and included by Yun Ling global professional rating agency’s rating system as samples, making an empirical analysis of the fulfillment of the degree of CSR in different industry and domestic regions and investigating the impact of the different industry competition degree, the degree of government intervention in the economy system environment, the perfect degree of the legal environment and the development degree of factor markets (Three aspects of the institutional environment) on Chinese companies’ corporate social responsibility fulfillment.This article draws conclusions as follows:The lower the degree of competition in the industry, the better CSR performance. The industry which is paid more attention by the general public about the CSR performance will fulfill in relatively good condition. Lower the degree of government intervention in the economy, the better CSR performance. The more perfect the legal environment, the better CSR performance. The more advanced the factor market, the better CSR performance. This study suggests that to promote and improve the performance of our corporate social responsibility, we must improve the relevant competitive market environment and institutional environment so as to provide an external constraint mechanism and inside dynamic mechanism to enhance the fulfillment of corporate social responsibility.