Regional culture, top executive values, and corporate donation behaviors

摘要

This study linked top executives' values to firm charitable donation behaviors. Based on a unique database which combined native place of chairmen of listed companies in China and provincial level regional culture data in China, we find that: firms with chairmen from provinces with stronger humane orientation and collectivism orientation will be more likely to donate, and the donation amount will be greater; while firms with chairmen from provinces with stronger assertiveness will be less likely to donate and the donation amount will be less. Further analysis indicates that top executives' hometown identity, which is the consistency between the chairman's native place and the listed company's registration place will significantly moderate the relationship between top executives' values and firm donation. The higher hometown identity of top executives, the positive correlations between collectivism and firm donation will be stronger, while the negative correlation between assertiveness and firm donation will be weaker. This paper has implications for upper echelons theory, research on top managers' value and firm social responsibility research.