The relationship between virtuous CEOs and corporate social responsibility

Abstract

This study tests the effects of virtuous CEOs on corporate social responsibility views (narrow vs broad). Using the data envelopment analysis (DEA) technique, we find that virtuous CEOs correlated positively with a broad view of corporate social responsibility (CSR). We also examine the moderating role the board of directors plays in the relationship between virtuous CEOs and CSR but finds no positive association. Our results indicate that CEOs matter and that their virtuous values may be a major source of motivation for their behavior with respect to their firms’ CSR orientation.