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Journal of Business Ethics

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08.02.2021 | Original Paper

Non-economic Performance of Benefit Corporations: A Variance Decomposition Approach

verfasst von: Pankaj C. Patel, C. S. Richard Chan

Erschienen in: Journal of Business Ethics | Ausgabe 2/2022

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Abstract

Drawing on evolutionary realism as a guiding framework and using relevant theoretical bases at macro- (country-), meso- (industry-), and micro- (firm-) levels, we investigate the relative variance explained by each level on selection (non-economic performance) and retention (decertification) of Benefit Corporations (B-Corps). Based on a sample of 5052 observations of certified B-Corps and 1403 observations of decertified B-Corps, relative to the country and industry differences, firm-level differences explain most of the variance in non-economic performance, especially for workers and community impact areas. Industry-level differences explain small differences in customers and environmental performance while country differences do not explain meaningful performance differences. The results also show a similar pattern in relative effects for decertified B-Corps. Our findings point to the value of disaggregating the relative effects of multilevel factors in further understanding drivers of non-economic performance and the decertification of B-Corps.

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Source: https://bcorporation.net/about-b-corps.

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Titel: Non-economic Performance of Benefit Corporations: A Variance Decomposition Approach
verfasst von: Pankaj C. Patel
C. S. Richard Chan
Publikationsdatum: 08.02.2021
Verlag: Springer Netherlands
Erschienen in: Journal of Business Ethics / Ausgabe 2/2022
Print ISSN: 0167-4544
Elektronische ISSN: 1573-0697
DOI: https://doi.org/10.1007/s10551-021-04754-y

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