Optimal Distinctiveness in CSR Practices: Examining the CSR Profile Extensiveness and Deviation among Chinese Publicly Listed Companies
Building on recent development in optimal distinctiveness (OD) research, we identify two dimensions of corporate social responsibility (CSR) practices—CSR proﬁle extensiveness and CSR proﬁle deviation—and examine the antecedents of both. We theorize on how state control and analyst coverage of a ﬁrm shape its CSR proﬁle extensiveness and deviation, and how these main effects vary depending on whether a ﬁrm is part of a stigmatized industry and the competitive intensity of its industry. We test our predictions using a proprietary database of 942 Chinese publicly listed ﬁrms between 2008 and 2016. Our ﬁndings demonstrate that the behavioral patterns that OD encompasses are more heterogeneous than generally recognized.