Managerial Myopia and Corporate Social Responsibility：Evidence from the Textual Analysis of Chinese Earnings Communication Conferences

Corporate social responsibility (CSR) plays an important role in developing countries achieving sustainable goals. Using the textual analysis of Chinese earnings communication conferences, this research examines the relationship between managerial time perspective and their company's CSR performance. We find that the level of managerial myopia is negatively related to CSR scores. This negative effect is shown asymmetrically under different tones. Further, based on the CSR pyramid theory, we find that managerial myopia deteriorates in both financial and legal responsibilities, which ultimately affects social responsibility commitment. Effective compensation incentives can appropriately dampen the negative effects of myopia. However, amplified external pressures stemming from capital and product markets may restrict managers' time horizons, causing the negative effects of myopia to be more pronounced