ABSTRACT
As noted in Chapter 2, a considerable amount of extant research has examined the different determinants affecting the amount of corporate community involvement (CCI) that UK and US firms have engaged in. However, researchers have yet to explore the drivers for investing in the different types of CCI, nor have they yet investigated the nature of trade-offs of these types in firm CCI strategies In order to address this, in this chapter there are four key objectives. First, having provided a broad examination of the relationship between companies and their community, previous studies are built upon by exploring this in relation to different types of CCI. Second, the aim is to test the factors that impact upon CCI decision making by applying three determinants taken from the behavioural theory of the firm – namely stakeholder pressures, the institutional climate and the availability of slack resources – as the independent variables, as well as employing a set of control variables taken from previous research. Third, given the lack of availability of secondary data, as explained previously, a measure is devised for assessing the impact of the presence or absence of slack resources on CCI behaviour. Fourth, drawing on institutional literature, a set of institutional variables are constructed and subsequently included in the model for investigating CCI decision making.
