The CSR-performance nexus in the French tourism sector: do MCs matter?

Abstract

Purpose The concept of corporate social responsibility (CSR) covers a wide range of actions toward sustainable development. While there are growing bodies of research examining the drivers of CSR, little has been done to examine the effect of the characteristics of the managerial team on CSR. This paper aims to investigate the interplay between managerial characteristics and CSR practices to discover how such a fit affects financial performance. Design/methodology/approach A partial least squares-path modeling approach was applied to a sample of 60 French companies in the tourism sector (hotels, restaurants, leisure and leisure equipment) from 2014 to 2019. This choice was triggered by the importance of this sector in job creation, which has been strongly impacted by the pandemic crisis. Findings The findings suggest the positive impact of the managerial characteristics on the practices of CSR activities under certain financial constraints related to the size and indebtedness level. Then, the authors clarify that the variable characteristics component of the managerial team is mainly the educational level, the managerial experience and the ethical behavior. However, no age effect is mentioned. Third, the authors show that the managerial team characteristics and the practices of CSR activities restore the financial tourism sector performance. Research limitations/implications This study has obviously certain limitations: first, the selected European sample can mark a big difference in the founding results because of the difference in civil rights. Second, the sample is more marked in the CSR activities. Third, this study did not take into consideration variables operationalizing ownership structure and board nature. Originality/value This study develops a model based on “managerial team” mechanisms in a sensitive area. This is a breakthrough in understanding the determinants of CSR strategies and their impact on performance while taking into account the management team’s personal characteristics.