No Cover Image

Conference Paper/Proceeding/Abstract 260 views

Firm Risk and Values Resonance with Local Governments

Zaixin Chen Orcid Logo, Huiqun Feng, Pengfei Gao Orcid Logo, Hafiz Hoque Orcid Logo, Mengjia Li

Cardiff Business School Seminar, BAFA 2023 Annual Conference, BFWG Annual Conference, Loughborough Business School PGR Workshop

Swansea University Authors: Pengfei Gao Orcid Logo, Hafiz Hoque Orcid Logo

Abstract

This study investigates whether values resonance, the rhetorical alignment between corporate social responsibility (CSR) disclosures and local government narratives, mitigates firm risk among non-state-owned enterprises (non-SOEs) in China. Drawing on legitimacy theory, similarity-attraction theory,...

Full description

Published in: Cardiff Business School Seminar, BAFA 2023 Annual Conference, BFWG Annual Conference, Loughborough Business School PGR Workshop
Published:
URI: https://cronfa.swan.ac.uk/Record/cronfa70710
first_indexed 2025-10-16T15:20:44Z
last_indexed 2025-12-05T18:10:15Z
id cronfa70710
recordtype SURis
fullrecord <?xml version="1.0"?><rfc1807><datestamp>2025-12-04T12:01:48.5726053</datestamp><bib-version>v2</bib-version><id>70710</id><entry>2025-10-16</entry><title>Firm Risk and Values Resonance with Local Governments</title><swanseaauthors><author><sid>bd00b4a498e1c45d25e0fcdab1838b26</sid><ORCID>0009-0008-7818-1231</ORCID><firstname>Pengfei</firstname><surname>Gao</surname><name>Pengfei Gao</name><active>true</active><ethesisStudent>false</ethesisStudent></author><author><sid>06d1239b4524fff9c0a0f52a2a368910</sid><ORCID>0000-0002-4354-3895</ORCID><firstname>Hafiz</firstname><surname>Hoque</surname><name>Hafiz Hoque</name><active>true</active><ethesisStudent>false</ethesisStudent></author></swanseaauthors><date>2025-10-16</date><deptcode>CBAE</deptcode><abstract>This study investigates whether values resonance, the rhetorical alignment between corporate social responsibility (CSR) disclosures and local government narratives, mitigates firm risk among non-state-owned enterprises (non-SOEs) in China. Drawing on legitimacy theory, similarity-attraction theory, and impression management, we argue that linguistic conformity with local political rhetoric enhances perceived legitimacy and stakeholder trust. Using textual analysis of CSR reports and provincial government work reports from 2010-2022, we find that higher values resonance significantly reduces firm-specific risk. Mechanism tests suggest this effect operates through enhanced corporate reputation and more stable relationships with key stakeholders. The effect is stronger among financially constrained firms, during periods of high policy uncertainty, and when CSR disclosure is voluntary. Results remain robust to alternative risk measures, endogeneity checks, and political connection proxies. This study highlights how non-market, discourse-based strategies help firms navigate institutional uncertainty in politically embedded environments.</abstract><type>Conference Paper/Proceeding/Abstract</type><journal>Cardiff Business School Seminar, BAFA 2023 Annual Conference, BFWG Annual Conference, Loughborough Business School PGR Workshop</journal><volume/><journalNumber/><paginationStart/><paginationEnd/><publisher/><placeOfPublication/><isbnPrint/><isbnElectronic/><issnPrint/><issnElectronic/><keywords/><publishedDay>0</publishedDay><publishedMonth>0</publishedMonth><publishedYear>0</publishedYear><publishedDate>0001-01-01</publishedDate><doi/><url/><notes/><college>COLLEGE NANME</college><department>Management School</department><CollegeCode>COLLEGE CODE</CollegeCode><DepartmentCode>CBAE</DepartmentCode><institution>Swansea University</institution><apcterm>Not Required</apcterm><funders/><projectreference/><lastEdited>2025-12-04T12:01:48.5726053</lastEdited><Created>2025-10-16T16:14:30.1529041</Created><path><level id="1">Faculty of Humanities and Social Sciences</level><level id="2">School of Management - Accounting and Finance</level></path><authors><author><firstname>Zaixin</firstname><surname>Chen</surname><orcid>0009-0003-3456-3215</orcid><order>1</order></author><author><firstname>Huiqun</firstname><surname>Feng</surname><order>2</order></author><author><firstname>Pengfei</firstname><surname>Gao</surname><orcid>0009-0008-7818-1231</orcid><order>3</order></author><author><firstname>Hafiz</firstname><surname>Hoque</surname><orcid>0000-0002-4354-3895</orcid><order>4</order></author><author><firstname>Mengjia</firstname><surname>Li</surname><order>5</order></author></authors><documents/><OutputDurs/></rfc1807>
spelling 2025-12-04T12:01:48.5726053 v2 70710 2025-10-16 Firm Risk and Values Resonance with Local Governments bd00b4a498e1c45d25e0fcdab1838b26 0009-0008-7818-1231 Pengfei Gao Pengfei Gao true false 06d1239b4524fff9c0a0f52a2a368910 0000-0002-4354-3895 Hafiz Hoque Hafiz Hoque true false 2025-10-16 CBAE This study investigates whether values resonance, the rhetorical alignment between corporate social responsibility (CSR) disclosures and local government narratives, mitigates firm risk among non-state-owned enterprises (non-SOEs) in China. Drawing on legitimacy theory, similarity-attraction theory, and impression management, we argue that linguistic conformity with local political rhetoric enhances perceived legitimacy and stakeholder trust. Using textual analysis of CSR reports and provincial government work reports from 2010-2022, we find that higher values resonance significantly reduces firm-specific risk. Mechanism tests suggest this effect operates through enhanced corporate reputation and more stable relationships with key stakeholders. The effect is stronger among financially constrained firms, during periods of high policy uncertainty, and when CSR disclosure is voluntary. Results remain robust to alternative risk measures, endogeneity checks, and political connection proxies. This study highlights how non-market, discourse-based strategies help firms navigate institutional uncertainty in politically embedded environments. Conference Paper/Proceeding/Abstract Cardiff Business School Seminar, BAFA 2023 Annual Conference, BFWG Annual Conference, Loughborough Business School PGR Workshop 0 0 0 0001-01-01 COLLEGE NANME Management School COLLEGE CODE CBAE Swansea University Not Required 2025-12-04T12:01:48.5726053 2025-10-16T16:14:30.1529041 Faculty of Humanities and Social Sciences School of Management - Accounting and Finance Zaixin Chen 0009-0003-3456-3215 1 Huiqun Feng 2 Pengfei Gao 0009-0008-7818-1231 3 Hafiz Hoque 0000-0002-4354-3895 4 Mengjia Li 5
title Firm Risk and Values Resonance with Local Governments
spellingShingle Firm Risk and Values Resonance with Local Governments
Pengfei Gao
Hafiz Hoque
title_short Firm Risk and Values Resonance with Local Governments
title_full Firm Risk and Values Resonance with Local Governments
title_fullStr Firm Risk and Values Resonance with Local Governments
title_full_unstemmed Firm Risk and Values Resonance with Local Governments
title_sort Firm Risk and Values Resonance with Local Governments
author_id_str_mv bd00b4a498e1c45d25e0fcdab1838b26
06d1239b4524fff9c0a0f52a2a368910
author_id_fullname_str_mv bd00b4a498e1c45d25e0fcdab1838b26_***_Pengfei Gao
06d1239b4524fff9c0a0f52a2a368910_***_Hafiz Hoque
author Pengfei Gao
Hafiz Hoque
author2 Zaixin Chen
Huiqun Feng
Pengfei Gao
Hafiz Hoque
Mengjia Li
format Conference Paper/Proceeding/Abstract
container_title Cardiff Business School Seminar, BAFA 2023 Annual Conference, BFWG Annual Conference, Loughborough Business School PGR Workshop
institution Swansea University
college_str Faculty of Humanities and Social Sciences
hierarchytype
hierarchy_top_id facultyofhumanitiesandsocialsciences
hierarchy_top_title Faculty of Humanities and Social Sciences
hierarchy_parent_id facultyofhumanitiesandsocialsciences
hierarchy_parent_title Faculty of Humanities and Social Sciences
department_str School of Management - Accounting and Finance{{{_:::_}}}Faculty of Humanities and Social Sciences{{{_:::_}}}School of Management - Accounting and Finance
document_store_str 0
active_str 0
description This study investigates whether values resonance, the rhetorical alignment between corporate social responsibility (CSR) disclosures and local government narratives, mitigates firm risk among non-state-owned enterprises (non-SOEs) in China. Drawing on legitimacy theory, similarity-attraction theory, and impression management, we argue that linguistic conformity with local political rhetoric enhances perceived legitimacy and stakeholder trust. Using textual analysis of CSR reports and provincial government work reports from 2010-2022, we find that higher values resonance significantly reduces firm-specific risk. Mechanism tests suggest this effect operates through enhanced corporate reputation and more stable relationships with key stakeholders. The effect is stronger among financially constrained firms, during periods of high policy uncertainty, and when CSR disclosure is voluntary. Results remain robust to alternative risk measures, endogeneity checks, and political connection proxies. This study highlights how non-market, discourse-based strategies help firms navigate institutional uncertainty in politically embedded environments.
published_date 0001-01-01T05:32:08Z
_version_ 1856805723414986752
score 11.096007

Similar Items