The Opinions of European Companies on Corporate Social Responsibility and Its Relation to Innovation

Abstract

In recent years there has been greater concern among companies to include responsible practicesin their goals. To achieve this aim, companies are beginning to manage economic, socialand environmental factors following socially responsible practices. Adopting a strategy of CorporateSocial Responsibility (CSR) may influence the different policies implemented by thecompany, one of which is that regarding innovation. In this study, we analyze the opinions of95 European companies, 42 of which form part of the Dow Jones Sustainability Index (DJSI)and 53 of which belong to the Dow Jones General Index (DJGI), concerning their CSR policy,the innovation carried out and the relation between the two concepts. Our results show that theDJSI companies, unlike those belonging to the DJGI, consider their CSR strategy to be a keyfactor in generating competitive advantages and profits. Moreover, the companies surveyedhave implemented innovations that are more incremental than radical, and these innovationpractices are found to be influenced by CSR strategies.