Does CSER is a driver of innovation? Evidence from French listed companies Online publication date: Mon, 19-Apr-2021
by Sana Triki Damak
International Journal of Innovation and Sustainable Development (IJISD), Vol. 15, No. 2, 2021
Abstract: This study examines whether socially responsible firms carry higher research and development (R&D) intensity and how corporate governance quality influences this investment. Based on a sample of French firms belonging to the SBF 120 index from 2012 to 2016, the results show that firms with higher corporate social and environmental responsibility (CSER) score have greater R&D intensity. These companies try to protect environment and to create positive social impact by the use of new technologies. Moreover, the findings confirm that firms with better corporate governance quality invest more on R&D. Finally, the results reveal that some control variables influence significantly R&D intensity. The findings in this research may be of practical interest to investors, sustainable professionals and modern consumers who are aware of social and environmental concerns and who are trying to keep themselves informed about strategies used by businesses to improve CSER practices.
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