Analysis shows philanthropic overinvestment reduces green innovation in firms, suggesting strong management of corporate social responsibility is crucial.
Key Points
Philanthropic overinvestment crowds out green innovation, indicating a strategic trade-off involved.
Results from 2873 firm-year observations illustrate the impact of executive backgrounds on investment decisions.
Observation highlights how ex-military executives' strengths in resource mobilization can mitigate the substitution effect.
Emphasizes the need for firms to manage corporate social responsibility portfolios amidst competing stakeholder demands.