Exploring the Curvature of the Relationship Between HRM–CSR and Corporate Financial Performance

Olivier Meier, Philippe Naccache, Guillaume Schier

Journal of Business Ethics · 2021 · Volume 170 · Issue 4

Abstract

This article contributes to the general literature on the relationship between corporate social performance and corporate financial performance, as well as to the emerging HRM–CSR literature, by exploring the curvature of the relationship between HRM–CSP and CFP. We advance conceptual arguments in favor of an inverted U-shaped relationship. Our results demonstrate a significant quadratic relationship between HRM–CSP and CFP. We provide evidence that this relationship is not linear or S-shaped but rather inverted U-shaped.

Keywords

HRM–CSR, Corporate financial performance, Corporate social performance, Inverted U-shaped relationship

Enable JavaScript for citation tools and additional paper interactions.