Customer spillover effects of corporate social responsibility and supply chain sustainability

Abstract

Corporate Social Responsibility (CSR) is crucial for business growth, yet empirical evidence on its spillover effects within supply chains and its role in supply chain sustainability remains limited. This study investigates the customer spillover effects of CSR and their impact on supply chain resilience from a supply chain perspective. We find that customer CSR has a positive effect on supplier CSR, with this effect being more pronounced in the context of state-owned supplier firms, when customer size exceeds that of the supplier, and when customer external environmental regulations exceed those of the supplier. This effect is primarily achieved through the convergence of green ideas, absorption of green knowledge, and stimulation of green innovation. Meanwhile, the supplier's network position and customer concentration have a positive moderating effect. Moreover, our results confirm that the customer spillover effect of CSR positively affects supply chain sustainability. These findings enrich the existing literature and offer valuable insights for corporate managers and policymakers aiming to improve CSR performance and foster sustainable supply chain development.