Can CEOs’ characteristics influence CSR engagement in emerging economies: evidence from India

In parallel with the growing emphasis on corporate social responsibility (CSR), management scholars have increasingly explored the factors that drive CSR engagement. While most previous research has concentrated on institutional and organizational drivers in developed economies, this study aims to broaden our knowledge by examining whether individual factors, i.e., CEOs’ characteristics, can directly or indirectly promote CSR engagement in emerging economies. Specifically, based on agency theory, we argue that dominant-owner CEOs will have a negative influence on CSR engagement, and based on the upper echelons theory, we argue that dominant-owner CEOs’ expertise and education may influence CSR engagement in emerging economies. We tested our hypotheses using a longitudinal sample of the 500 largest Indian firms listed on the Bombay Stock Exchange (BSE) between 2015 and 2019. Our results support our theoretical predictions and make three key contributions to the literature: (i) deepen our understanding of individual drivers of CSR in emerging economies, (ii) advances agency theory by showing the negative impact of dominant-owner CEOs on CSR engagement, and (iii) extends the upper echelons theory by highlighting the moderating role of CEOs’ financial expertise and education on the baseline relationship.