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Narcissus lends a hand: Csr performance in light of ceo narcissism
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In this thesis, CEO narcissismis examined with regards to its impact on the firm’s CSR performance, for which the perspective of the upper echelons theory is appliedand advanced. Thisapproach posits that executives’ previous experiences, personal values and traitsplay a defining role in the direction of their strategic decisions.The managerial discretion lens is adoptedin order to comprehend the context therelationship between CEO narcissism and the CSR performance of the firm takes place in. For this, organizational factors, specificallysize, as an inertial force, and slack, indicatingresource availability, are observed as moderating forces. The analysis encompasses a multinational sample across 18 countries from 14 different sectors. In total, 1,318 firm-year observations provide the basis for analysis, covering data between 2001 and 2014.CEO narcissism is measured through an unobtrusive method, while the ASSET4 ESG scoreprovides the values for CSR performance.A positive relationship is found between CEO narcissism and the organization’s CSR performance. The negative moderating effect of firm size on the underlying relationship is supported by the findings, while no support is found for the hypothesized positive effect of slack. This study advances the upper echelons theory by examining narcissism, a thus far scantly chosen trait as a determining characteristic of the executive, and CSR as the firm outcome. The concept of managerial discretion also adds to the understanding of the focal relationship, while the value of considering country and sectorial factors is additionally highlighted.
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Upper Echelons Theory Ceo Narcissism Corporate Social Responsibility Managerial Discretion Resource Availability Inertial Forces