The Opinions of European Companies on Corporate Social Responsibility and Its Relation to Innovation

Abstract

In recent years there has been greater concern among companies to include responsible practices in their goals. To achieve this aim, companies are beginning to manage economic, social and environmental factors following socially responsible practices. Adopting a strategy of Corporate
Social Responsibility (CSR) may influence the different policies implemented by the company, one of which is that regarding innovation.  In this study, we analyze the opinions of 95 European companies, 42 of which form part of the Dow Jones Sustainability Index (DJSI) and 53 of which belong to the Dow Jones General Index (DJGI), concerning their CSR policy, the innovation carried out and the relation between the two concepts. Our results show that the DJSI companies, unlike those belonging to the DJGI, consider their CSR strategy to be a key factor in generating competitive advantages and profits. Moreover, the companies surveyed have implemented innovations that are more incremental than radical, and these innovation practices are found to be influenced by CSR strategies.