Corporate Social Responsibility in China: Cultural and Ownership Influences on Perceptions and Practices

133 Pages·2017·2.428 MB·English

by  Dashi Zhang (auth.)

Communication, Culture and Change in Asia 4
Dashi Zhang
Corporate
Social
Responsibility
in China
Cultural and Ownership Influences on
Perceptions and Practices
Communication, Culture and Change in Asia
Volume 4
Series editor
Jan Servaes, Hong Kong, China
More information about this series at http://www.springer.com/series/13565
Dashi Zhang
Corporate Social
Responsibility in China
fl
Cultural and Ownership In uences
on Perceptions and Practices
123
DashiZhang
University of Melbourne
Melbourne, VIC
Australia
ISSN 2366-4665 ISSN 2366-4673 (electronic)
Communication, Culture andChangein Asia
ISBN978-981-10-4824-1 ISBN978-981-10-4825-8 (eBook)
DOI 10.1007/978-981-10-4825-8
LibraryofCongressControlNumber:2017941063
©SpringerNatureSingaporePteLtd.2017
Thisworkissubjecttocopyright.AllrightsarereservedbythePublisher,whetherthewholeorpart
of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations,
recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission
orinformationstorageandretrieval,electronicadaptation,computersoftware,orbysimilarordissimilar
methodologynowknownorhereafterdeveloped.
The use of general descriptive names, registered names, trademarks, service marks, etc. in this
publicationdoesnotimply,evenintheabsenceofaspecificstatement,thatsuchnamesareexemptfrom
therelevantprotectivelawsandregulationsandthereforefreeforgeneraluse.
The publisher, the authors and the editors are safe to assume that the advice and information in this
book are believed to be true and accurate at the date of publication. Neither the publisher nor the
authorsortheeditorsgiveawarranty,expressorimplied,withrespecttothematerialcontainedhereinor
for any errors or omissions that may have been made. The publisher remains neutral with regard to
jurisdictionalclaimsinpublishedmapsandinstitutionalaffiliations.
Printedonacid-freepaper
ThisSpringerimprintispublishedbySpringerNature
TheregisteredcompanyisSpringerNatureSingaporePteLtd.
Theregisteredcompanyaddressis:152BeachRoad,#21-01/04GatewayEast,Singapore189721,Singapore
Preface
The purpose of this study is to explore how company managers in China perceive
andpracticecorporatesocialresponsibility(CSR).PerceptionsofCSRbymanagers
and executives from three different organisation types—state-owned enterprises
(SOEs), private companies, and multinational companies (MNC)—were compared
in this study employing a qualitative approach (in-depth interviews supplemented
by document research). A total of 33 managers from 32 companies in China par-
ticipated inthestudy, including twomanagers from onecompany. After analysing
CSR perceptions and practices in China, this study found that culture and owner-
ship influence CSR in China. The results show that SOEs undertake CSR for
sustainable development, which reflects Taoism. They also practiced corporate
philanthropy,whichreflectsConfucianismandMohism.VeryfewSOEsconducted
strategic CSR (SCSR).
Most private companies (include social enterprises) practice corporate philan-
thropy, while few large or medium private companies conduct SCSR. The study
findsthatmostMNCsinChinaconductedSCSR,andfourmultinationalcompanies
considerCSRasatoolforsustainabledevelopmentandforthegoodofsociety.The
results suggest that ownership and Chinese culture (Confucianism, Taoism,
I-Ching, Mohism, and Sunzi) influence the CSR programs of companies in China.
While philanthropy plays an important role in CSR, respondents still believe eco-
nomic responsibility and employee relationships are most important.
IproposeanewtableofCSRstagesbydifferentownershipcompaniesinChina.
A company’s CSR programmes usually lead to positive outcomes, except in some
isolated cases, for example when there are scandals involving transparency prob-
lems about donations. CSR is not equivalent to “good deeds” of companies in
China, because although some participants’ companies do very well on some
aspects of CSR/corporate philanthropy, they still have corruption problems at a
management level.
This study is useful to PR and CSR practitioners of companies in China who
intend to undertake CSR, and to scholars who are interested in CSR in China by
v
vi Preface
helping them to understand CSR in China through the lens of Chinese culture. In
particular, the discussion of I-Ching’s influence on CSR in China reflects a new
contribution to international public relations scholarship.
Melbourne, Australia Dashi Zhang
Acknowledgements
I want to acknowledge the Endeavour scholarships and fellowships of Australia,
the 2012 Prime Minister’s Award Asia Postgraduate Award, for financially sup-
portingmyPh.D.studywithafullscholarshipatRMITUniversity.Iwouldliketo
thank my supervisors, Dr. Marianne Sison and Dr. Emsie Arnoldi, for their
devotion to my dissertation and doctorate study and their knowledge, advice,
support, care, time, and patience. I want to thank the following people, who had a
significant influence in my life: my parents Yukun Zhang and Jiling Liu, Profs.
LenaChao,BerylBellman,ChunshengBai,KevinBaasske,RobertDeChaine,and
David Olsen at California State University during my M.A.; Profs. Flora Hung,
Ling Chen, Ringo Ma, and Regina Chen of Hong Kong Baptist University during
myM.Phil.inCommunicationStudies(PRfocus),andProfs.XiaohuaQi,Wuming
Wei, and Hui He at the Communication University of China during my B.A. in
Public Relations (major) and TV Production (minor). I would like to acknowledge
the participants in this study as well.
vii
Contents
1 Introduction.... .... .... ..... .... .... .... .... .... ..... .... 1
1.1 Background .... .... ..... .... .... .... .... .... ..... .... 1
1.2 Research Gaps .. .... ..... .... .... .... .... .... ..... .... 3
1.3 Research Questions... ..... .... .... .... .... .... ..... .... 4
1.3.1 How do Company Managers in China Perceive
and Practice CSR? .. .... .... .... .... .... ..... .... 4
1.4 Delimitations of the Study .. .... .... .... .... .... ..... .... 4
1.5 Contributions to the Study .. .... .... .... .... .... ..... .... 5
1.6 Structure of the Thesis ..... .... .... .... .... .... ..... .... 6
References.. .... .... .... ..... .... .... .... .... .... ..... .... 7
2 Corporate Social Responsibility, Culture, and Ownership..... .... 11
2.1 Introduction .... .... ..... .... .... .... .... .... ..... .... 11
2.2 Corporate Social Responsibility Concepts and Theories..... .... 11
2.2.1 The Development of CSR. .... .... .... .... ..... .... 12
2.2.2 CSR Theories . ..... .... .... .... .... .... ..... .... 13
2.3 Factors Influencing CSR: Culture. .... .... .... .... ..... .... 17
2.3.1 Definition of Culture. .... .... .... .... .... ..... .... 19
2.4 Summary .. .... .... ..... .... .... .... .... .... ..... .... 22
References.. .... .... .... ..... .... .... .... .... .... ..... .... 22
3 Business Environment in China. .... .... .... .... .... ..... .... 31
3.1 Introduction .... .... ..... .... .... .... .... .... ..... .... 31
3.2 The Economic and Political System in China.... .... ..... .... 31
3.2.1 Company Ownership in China . .... .... .... ..... .... 32
3.3 Chinese Culture and CSR... .... .... .... .... .... ..... .... 33
3.3.1 I-Ching, Taoism, and Sunzi ... .... .... .... ..... .... 34
3.3.2 Confucianism and Mohism.... .... .... .... ..... .... 37
ix
x Contents
3.3.3 Mohism.. .... ..... .... .... .... .... .... ..... .... 40
3.4 CSR in Asia.... .... ..... .... .... .... .... .... ..... .... 41
3.4.1 CSR Practice in China ... .... .... .... .... ..... .... 42
3.5 Summary .. .... .... ..... .... .... .... .... .... ..... .... 44
References.. .... .... .... ..... .... .... .... .... .... ..... .... 44
4 Methodology ... .... .... ..... .... .... .... .... .... ..... .... 49
4.1 Introduction .... .... ..... .... .... .... .... .... ..... .... 49
4.2 Research Approach: Qualitative Methods... .... .... ..... .... 49
4.2.1 Interview. .... ..... .... .... .... .... .... ..... .... 50
4.2.2 Document Review... .... .... .... .... .... ..... .... 50
4.2.3 Sampling Design.... .... .... .... .... .... ..... .... 51
4.3 Data Collection.. .... ..... .... .... .... .... .... ..... .... 51
4.3.1 Interview Process ... .... .... .... .... .... ..... .... 52
4.3.2 Participants’ Profile.. .... .... .... .... .... ..... .... 53
4.4 Data Analysis... .... ..... .... .... .... .... .... ..... .... 53
4.5 Evaluation of Research Design... .... .... .... .... ..... .... 55
4.6 Summary .. .... .... ..... .... .... .... .... .... ..... .... 57
References.. .... .... .... ..... .... .... .... .... .... ..... .... 57
5 Results .... .... .... .... ..... .... .... .... .... .... ..... .... 59
5.1 Introduction .... .... ..... .... .... .... .... .... ..... .... 59
5.2 Cultural Influence on CSR.. .... .... .... .... .... ..... .... 59
5.2.1 Harmony with People: Influence of Confucianism
and Mohism .. ..... .... .... .... .... .... ..... .... 60
5.2.2 Harmony with Nature: Taoism, I-Ching, and Sunzi .. .... 74
5.2.3 Harmony in the Universe: I-Ching, Taoism,
and Confucianism... .... .... .... .... .... ..... .... 77
5.3 Ownership Influence on CSR.... .... .... .... .... ..... .... 79
5.3.1 Strategic Corporate Social Responsibility . .... ..... .... 80
5.3.2 Government Relations (Wu Lun) with Different
Companies ... ..... .... .... .... .... .... ..... .... 84
5.3.3 Leadership and Decision Making in CSR. .... ..... .... 85
5.3.4 Social Enterprises and “Being the Opinion Leader” .. .... 87
5.3.5 Sensitive Political Issues.. .... .... .... .... ..... .... 89
5.4 Summary .. .... .... ..... .... .... .... .... .... ..... .... 89
References.. .... .... .... ..... .... .... .... .... .... ..... .... 89
6 Discussion . .... .... .... ..... .... .... .... .... .... ..... .... 91
6.1 Introduction .... .... ..... .... .... .... .... .... ..... .... 91
6.2 Overall CSR Environment in China... .... .... .... ..... .... 91
6.3 Cultural Influence Varies by Different Ownerships.... ..... .... 93