The Impact Of Corporate Internationalization On Corporate Social Responsibility

With the integration of the global value chain,the upgrading of the industrial chain and the guidance of the "going out" policy,more and more local enterprises choose internationalization strategies,integrate multiple resources,expand market channels,and create new value growth points;multinational enterprises They are also committed to creating a strong and warm corporate image,and use the strong appeal of the brand to create thriving performance for the company.Enterprises not only create economic value,but also create social benefits.Corporate social responsibility is an important manifestation of corporate social benefits.Corporate social responsibility includes a company’s responsible attitude towards employees,customers,upstream and downstream enterprises,the environment and other stakeholders.Corporate social responsibility is related to all aspects of society and people’s livelihood,such as economy,food,medicine,environment,etc.It is an important topic that benefits the present and the future.The harm caused by the weak awareness of corporate social responsibility is shocking,such as product quality defects,personal safety cannot be guaranteed,environmental pollution and damage,etc.The endless stream of negative events not only damages a company’s image,but also affects consumers’ choices and preferences.The development of corporate social responsibility in China started late,and it is generally believed that the awareness of corporate social responsibility in Western countries is relatively high.When enterprises from emerging countries enter the international market,facing the international market with asymmetric information,the consumer groups with different preferences in different countries,and the trade barriers of various countries,enterprises should actively change their group identities,improve the legitimacy of their organizations,and meet the strict requirements of multinational enterprises.Strengthen the performance level of corporate social responsibility,actively demonstrate its own advantages to gain market recognition,and win the reputation of consumers.With the deepening of the internationalization of enterprises,the market tests faced by enterprises are becoming more and more stringent.The external supervision of the government,the media,professional institutions and industry competitors,as well as the external supervision of enterprises,in order to establish a corporate image,convey a signal that the company is well-run and has a sense of social responsibility.The voluntary behavior of stakeholder trust and the relevant requirements of market regulators urge enterprises to actively fulfill their corporate social responsibilities.Explore the impact of corporate internationalization decisions and the degree of corporate internationalization on corporate social responsibility,alleviate the economic recession and financial risks brought about by the new crown epidemic,consolidate and gradually improve the status of international companies in the international market and global value chain,and enhance the internationalization of companies.Competitiveness in the local market,realize the high-quality development of international enterprises,and improve the social value and social benefits of enterprises.This paper selects a sample of Chinese listed companies from 2009 to 2019 to study the impact of corporate internationalization on corporate social responsibility performance.The empirical results show that international companies have higher levels of corporate social responsibility than local companies.Both the degree of internationalization and international decision-making can promote the level of corporate social responsibility,and information transparency and corporate reputation play a negative role in regulating the level of corporate internationalization and corporate social responsibility.This result verifies that the degree of corporate internationalization enhances the economic purpose of corporate social responsibility,that is,to alleviate information asymmetry and enhance corporate reputation.Further sub-sample test shows that industry competition intensity,geographical location,industry nature and property rights structure have heterogeneity in corporate internationalization and corporate social responsibility performance.The degree of internationalization has a more significant effect on the promotion of corporate social responsibility in an environment with low industry competition intensity;the degree of internationalization has a more significant positive effect on the level of corporate social responsibility in heavily polluting industries and low value-added industries;The improvement of social responsibility level is higher than that of non-state-owned enterprises.The proportion of executives with overseas backgrounds is selected as a proxy indicator of the degree of internationalization.The results show that increasing the proportion of executives with overseas backgrounds in international companies can help improve corporate social responsibility.Further heterogeneity analysis of executives’ overseas backgrounds can be obtained: Hiring executives with dual backgrounds studying abroad has the best positive effect on the fulfillment of corporate social responsibility.Therefore,this paper puts forward suggestions from the government,enterprises,regulatory agencies,media,etc.It is hoped that through the research of this paper,the awareness of corporate social responsibility can be established,and suggestions are given to international enterprises and enterprises in the international strategic deployment stage.