The Impact of Social Investing on Charitable Donations

2021 ◽  
Author(s):  
Jake An ◽  
Donnel A. Briley ◽  
Shai Danziger ◽  
Shai Levi
2017 ◽  
Vol 23 (3) ◽  
pp. 303-312 ◽  
Author(s):  
Janne van Doorn ◽  
Marcel Zeelenberg ◽  
Seger M Breugelmans

This article investigates if and when anger appeals (communications that elicit anger in people), can be used to increase donations to charity. In an experimental study the idea was tested that anger leads to higher charitable donations, under the condition that people can restore equity with that donation (i.e., restore the harm done to the victim). Results indeed show that when one’s donation serves a specific restorative function (i.e., compensates the suffering of women so that they can start a new life) as compared to a non-restorative function (i.e., offers help in special crisis centers for women, to alleviate their suffering and not worsen their situation), angry participants donated more to charity. This difference was absent when people did not experience anger. Furthermore, angry people donated more to the restorative charity than people not experiencing this emotion. The effect of anger on charitable donations occurred independently from people’s empathic concern. These results thus suggest that anger can act as an emotional appeal in soliciting charitable donations.


2019 ◽  
Vol 13 (3) ◽  
pp. 664-686
Author(s):  
Zheming Liu ◽  
Saixing Zeng ◽  
Xiaodong Xu ◽  
Han Lin ◽  
Hanyang Ma

Purpose The purpose of this paper is to investigate how revelations of corporate misconduct are associated with trade credit. Specifically, it investigates how this association varies in different regions, in different types of industries and in response to companies’ subsequent charitable donations. Design/methodology/approach The authors empirically tested various hypotheses using a sample of 2,725 Chinese A-share listed companies from 2009 to 2014 based on signaling theory. Fixed effect models underpinned the methods used. Findings The authors found that corporate misconduct has a significant negative impact on an irresponsible company’s trade credit received and granted, and the negative impact is heterogeneous for different regions and industries. There is no evidence that charitable donations mitigate the effect on the trade credit of irresponsible companies following revelations of corporate misconduct. Practical implications The results suggest that listed companies in China should obey national and local laws and regulations if they wish to avoid the risk of significant trade credit loss. If a company’s violation of these laws and regulations is disclosed, making charitable donations is not an effective strategy for safeguarding trade credit. Originality/value This study enriches understanding on the consequences of corporate misconduct and extends the literature on trade credit. It fills a research gap by identifying the impact of corporate misconduct on trade credit.


2014 ◽  
Vol 27 (3) ◽  
pp. 259-274 ◽  
Author(s):  
Junsheng Dou ◽  
Zhongyuan Zhang ◽  
Emma Su

This article follows recent development on the socioemotional wealth perspective to examine the impact of family involvement on corporate charitable donations. Based on data collected from 2,821 Chinese private firms, we find that (a) family ownership and the duration of family control positively affect charitable donations and (b) when the next generation is unwilling to take over the business, the positive relationship between family ownership and charitable donations becomes weaker. These findings show that firms’ proactive stakeholder engagement is susceptible to family involvement. They also highlight the possible existence of the “dark” effect of certain socioemotional wealth dimensions on firms’ proactive stakeholder engagement.


2016 ◽  
Vol 32 (3) ◽  
pp. 399-422 ◽  
Author(s):  
Jillian K. Peterson ◽  
Roxane Cohen Silver

This study explores the consequences of fostering empathy—for both victims and perpetrators—after large-scale violent events. Participants ( N = 834) read a description of a school shooting and were randomly assigned to one of six conditions revealing varying amounts of background information about the victim and the perpetrator of violence. The impact of empathy on reactions toward the victim and perpetrator were then assessed. Empathy for the perpetrator could be fostered with increased information about his background, resulting in recommendations of increased leniency. Fostering empathy for the victim promoted positive community responses, including increased intentions to engage in helping behavior and make charitable donations. The degree to which participants could make sense of the violent event was also associated with decreases in blame and anger toward the perpetrator. Potential implications of the findings for news media and community coping strategies are explored.


2018 ◽  
Vol 48 (1) ◽  
pp. 108-127 ◽  
Author(s):  
Alex Bradley ◽  
Claire Lawrence ◽  
Eamonn Ferguson

In fundraising, it is common for the donor to see how much a charity has received so far. What is the impact of this information on (a) how much people choose to donate and (b) which charity they choose to donate to? Conditional cooperation suggests that people will donate to the charity that has received the most prior support, while the Underdog Effect suggests increased donations to the charity with the least support. Across two laboratory experiments, an online study (combined N = 494) and a qualitative survey ( N = 60), a consistent preference to donate to the charity with the least prior support was observed. Thus, the Underdog Effect was supported. We suggest people will show a preference for the underdog if there are two or more charities to donate to, one of the charities is at a disadvantage, and people have little preexisting loyalty to either charity.


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