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Please use this identifier to cite or link to this item: http://hdl.handle.net/2108/287

Title: Corporate social responsibility and profit maximising behaviour under consumer tastes uncertainty
Authors: Becchetti, Leonardo
Giallonardo, Luisa
Tessitore, Maria Elisabetta
Keywords: corporate social responsibility
horizontal product differentiation
consumer tastes uncertainty
Issue Date: Jul-2006
Publisher: CEIS
Series/Report no.: Quaderni CEIS
Abstract: We extend the traditional horizontal differentiation models to the analysis of firm location into the space of corporate social responsibility (CSR) in presence of consumers with heterogeneous tastes and willingness to pay for it. We find that nonzero corporate social responsibility, even when modelled as a pure cost, may be an optimal choice for profit maximising producers is conditional to CSR costs, consumers’ sensitiveness for CSR and uncertainty about consumer tastes.
URI: http://hdl.handle.net/2108/287
Appears in Collections:Quaderni

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