ABSTRACT
This chapter explores why a large number of socially responsible firms engage in convergent corporate social responsibility (CSR) instead of exploring unique ways to deal with stakeholders. It compares the distinction between divergent and convergent CSR with other typologies that have been proposed in the literature. The chapter also shows that the distinction has an impact on the societal benefits of CSR, since divergent and convergent CSR practices are associated with different private incentives to invest in social innovation. For both certified managerial standards and ethical labels, the convergent CSR approach is followed by the firms that adhere to the standard or request the label without going beyond the recommended practices. Institutional theory includes three mechanisms that may force firms to adapt to their institutional environment. These mechanisms are: coerciveisomorphism, mimeticisomorphism, and normative isomorphism. Finally, the chapter outlines the implications for future research and for management.
