UNPACKING THE ROLE OF POLITICAL AFFILIATIONS IN SHAPING CSR PRACTICES IN CHINA

Purpose: This study examines how political connections influence corporate social responsibility (CSR) practices in China, aiming to shed light on the interplay between political affiliations and CSR engagement in a distinct socio-political landscape. Design/methodology/approach: The research combines a comprehensive review of literature with empirical data analysis of Chinese firms to understand the impact of various types of political connections on CSR activities. The study distinguishes between material and symbolic political ties, assessing their influence on CSR disclosure, governance, and stakeholder engagement. A unique mechanism illustrating how political connections shape CSR practices is also developed as part of this analysis. Findings: The study reveals that material political connections, characterized by close alignment with government directives, foster a governance-oriented approach to CSR, motivated by regulatory expectations and public accountability. In contrast, firms with symbolic connections often engage in CSR selectively, using these ties as a buffer against regulatory and reputational pressures rather than as a consistent driver for social responsibility. The mechanism developed in this study clarifies the pathways through which these political ties influence CSR outcomes, underscoring the heterogeneous nature of political impact on CSR in China. Research limitations/implications: This research focuses on CSR practices in Chinese firms with distinct types of political connections, which may not generalize across other emerging markets. Future studies could examine these dynamics across different institutional contexts or sectors within China to validate and expand these findings. Practical implications: For multinational corporations and stakeholders working with Chinese firms, understanding the type of political connection can aid in developing CSR strategies that align with local socio-political norms, enhancing CSR impact and regulatory compliance. Social implications: The findings underscore the dual role of political connections in promoting or hindering CSR efforts, based on connection type. This insight is valuable for policymakers and regulators seeking to encourage sustainable and transparent corporate practices in politically influenced environments. Originality/value: This research enriches the global CSR discourse by introducing a mechanism that illustrates how political connections shape CSR motivations and practices in China, highlighting the necessity of context-specific approaches to CSR in politically connected business settings.