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korean management review - Vol. 54, No. 4
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korean management review - Vol. 54, No. 4, pp. 1003-1031
Abbreviation: kmr
ISSN: 1226-1874 (Print)
Print publication date 31 Aug 2025
Received 14 May 2025 Revised 17 Jun 2025 Accepted 23 Jun 2025
DOI: https://doi.org/10.17287/kmr.2025.54.4.1003

CSR and Shareholder Value in the Restaurant Industry: Moderating Effects of Advertising Spending Contingent on CSR Types
YongHee Kim ; HyunJin Lee
(First Author) Professor, Department of Business Administration, College of Business, Pusan National University (kimyh@pusan.ac.kr)
(Corresponding Author) Visiting Professor, Department of Business Administration, College of Business and Economics, Kyungsung University (a197137@ks.ac.kr)

외식 기업의 사회적 책임(CSR) 활동이 주주 가치에 미치는 영향 분석: CSR 유형별 광고비 지출의 조절 효과를 중심으로
김영희 ; 이현진
(주저자) 부산대학교
(교신저자) 경성대학교

Copyright 2025 THE KOREAN ACADEMIC SOCIETY OF BUSINESS ADMINISTRATION
This is an open access article distributed under the terms of the Creative Commons Attribution License 4.0, which permits unrestricted, distribution, and reproduction in any medium, provided the original work is properly cited.
Funding Information ▼
Abstract

Corporate social responsibility (CSR) and marketing initiatives are the key strategic tools necessary to improve restaurant firms’ competitive advantages and financial performances. Previous literature has showed that CSR is positively associated with stock returns and negatively related to their volatility, thus increasing shareholder value in the restaurant industry. However, insights into whether advertising spending―a proxy for spending on marketing activities―moderates the CSR effects are lacking. If so, what CSR types strongly drive such moderation effects? Drawing on stakeholder theory, this study decomposes CSR into two types: CSR directed toward primary versus non-primary stakeholders. Given that restaurant firms' advertising spending is typically short-term and sales-oriented, which contrasts with the long-term objectives of CSR, we hypothesize that increased advertising spending reduces the positive effect of CSR (particularly CSR for non-primary stakeholders) on shareholder value. Our findings are consistent with these hypotheses, providing several important implications for CSR researchers and restaurant practitioners.

Keywords: Corporate Social Responsibility, Shareholder Value, Restaurant Industry, Advertising Spending, CSR Types
Acknowledgments

This work was supported by the Financial Supporting Project of Long-term Overseas Dispatch of PNU's Tenure-track Faculty, 2022

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∙The author YongHee Kim is currently a faculty member in the Department of Business Administration (Marketing) at Pusan National University. She received her Ph.D. in Hospitality Management from The Pennsylvania State University. Her main research interests include marketing strategy-particularly the relationship between ESG strategies and corporate financial performance-as well as digital marketing.

∙The author HyunJin Lee is currently a visiting professor in the Department of Business Administration at Kyungsung University. He received his Ph.D. in Business Administration from Pusan National University. His main research interests include marketing strategy, digital marketing, and ESG.

 
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