• Being credited while being censured: Multinationality and sustainability of EMNEs

      Park, Sang-Bum (2018-07-02)
      Based on the liability of origin and the attention-based view of firms, we examine how the international business of emerging economy multinationals (EMNEs) affects their corporate sustainability (CS). We develop a contrasting perspective with respect to the dual impacts of international diversification on CS strengths (“being credited” for sustainability), and CS concerns (“being censured” for sustainability). On the one hand, we contend that international diversification improves CS strengths because the firm managers of EMNEs that rely on foreign sales are highly motivated to adopt CS as a global business norm for overcoming the liability of origin and the legitimacy challenge in foreign markets. On the other hand, we argue that international diversification also increases CS concerns since the firm managers in foreign subsidiaries of EMNEs may be less motivated to internalize CS. The results from a 2SLS instrumental variable approach support our hypotheses. Our results reaffirm that “it is misleading to simply say that international diversification is either good or bad” for corporate social responsibility and sustainability (Strike, Gao, & Bansal, 2006: 859). We contribute to the literature on CS antecedents by empirically showing that firm internationalization is a driver of CS in emerging economies. Our findings present implications for future research on CS and international business.
    • Family leadership and CSR decoupling: Founder-descendant differences of socioemotional wealth

      Park, Sang-Bum (2019-08-01)
      The differences between family firms and nonfamily firms have gained increasing scholarly attention in the field of management, and socioemotional wealth has been argued as the main source of family firm distinctiveness. However, previous researchers have paid little attention to the heterogeneity in socioemotional wealth across family firms. Moreover, little is studied about the generational differences between founder-led family firms and descendant-led family firms. In this study, we address this gap by focusing on how these differences in family leadership are reflected in the gap between firms’ rhetorical CSR policies (CSR talk) and their substantive CSR implementation (CSR walk), which we refer to as CSR decoupling. We argue that the founders of family firms are distinct from descendants regarding three aspects: affective attachment, cognitive identification, and social concern. Our findings reveal that the relationship between socioemotional wealth and CSR decoupling is contingent on family generations. Family ownership decreases CSR decoupling only in founder-led family firms, while it increases CSR decoupling in descendant-led family firms. We discuss our contributions to research at the interaction of family business and CSR.
    • How does family governance shape corporate philanthropy? Interaction effects between family ownership and management controls

      Park, Sang-Bum; Kim, H. (2019-12)
      We examine the effect of family governance on corporate philanthropy by focusing on the motives of controlling families. We emphasize that controlling families have two different motives, namely, financial and socioemotional motives. On this basis, we argue that the two motives have contrasting effects on corporate philanthropy. Given that family ownership represents the financial motive of family principals, the first hypothesis posits that family ownership is negatively related to corporate philanthropy. Family management increases family visibility and thus encourages controlling families to be concerned with their socioemotional wealth. That is, the higher the visibility of controlling families in the firm, the more likely the overlap will be between family and firm identity. Thus, the second and third hypotheses predict that family involvement in management as a family CEO or director positively moderates the relationship between family ownership and corporate philanthropy. We test our hypotheses using fixed effects panel regression models and the sample of large nonfinancial Korean family firms listed in KOSPI, Korea’s major stock market. Test results support our hypotheses. We find that family firms become reluctant to engage in discretionary wealth transfer to nonfamily stakeholders as family ownership increases. However, this negative effect of family ownership on corporate philanthropy is weakened by family involvement in top management and the board of directors. Our findings reconcile the inconsistent results in the literature on family business and CSR, which is divided into positive and negative perspectives. In this manner, we revisit the assumption of prior research, which often treats family firms as homogeneous and reveals the limitation of a dichotomous approach to family business. We conclude by discussing the implications and theoretical contributions of this study and offering future research directions.
    • Institutional works in scholarly networks: A rapprochement between agency and structure

      Park, Sang-Bum (2014-01-01)
      In an academic field, where does brand new idea come from? To understand how noble ideas emerge, this study elucidates how network brokers and high status actors contribute to the creation of knowledge institutions, by paying a specific attention to the interplay between institutional structure and an individual agency in academia. Although numerous scholars have been attempted to relieve the tensions around the agency versus structure debate, accurate explanations of interactive aspects between them are not well documented. To fill this void, this study suggests a conceptual model to explain the complementary and synergetic effects of network structure and agency on the knowledge innovation. In doing so, this study provide an answer to the question of why some actors often fail to obtain significant advantages from a privileged network position while others succeed.
    • Managing institutionalization: Means-ends decoupling in human resource practices

      Park, Sang-Bum (2018-07-02)
      Although various firms adopt and implement multiple human resource practices as best practices (means), a substantial number of firms fail to realize their objectives (ends). The practices of firms are frequently decoupled from their intended outcomes. By leveraging the concept of means-ends decoupling, which refers to the gap between practices and outcomes, our research examines this important but underexplored phenomenon, which the traditional concept of policy-practice decoupling fails to fully account for. Hence, organizational agency is both conceptualized and measured as consistency and competence. The manner in which this variable affects the implementation and performance of human resource practices is tested with the effect of means-ends decoupling on firm performance. Our results add new evidence that organizational agency has an important role in the process of implementing practices and that it provides additional insights into the relationships between adoption and implementation, which are two distinct institutional dimensions of practices, as well as their different firm consequences.