The relationship between social responsibility fulfilment and industry competitiveness: Empirical evidence from construction industry in China

by Huan Shu, Jingyi Duan

Social responsibility fulfilment is an important part of the operation management (OM) and competitiveness of the construction industry (CIC). This study investigates the mechanisms through which social responsibility fulfilment in the construction industry affects industry competitiveness and the mediating role of industry operations management. From the intra-organizational stakeholder perspective, social responsibility fulfilment (SR) is divided into two dimensions: shareholder-dimensional (SH) and employee-dimensional social responsibility fulfilment (EM). By analysing a panel of the construction industry in 12 provinces of China from 2015 to 2020, an inverted U-shaped relationship between social responsibility fulfilment and construction industry competitiveness and between shareholder-dimensional social responsibility fulfilment and construction industry competitiveness was found, while a U-shaped relationship between employee-dimensional social responsibility fulfilment and construction industry competitiveness was found. Furthermore, social responsibility fulfilment and shareholder-dimensional social responsibility fulfilment had significant effects on operation management. Additionally, the study concludes that operation management is positively related to construction industry competitiveness and plays a partially mediating role between social responsibility fulfilment and construction industry competitiveness. The findings enrich the theoretical basis of the relationship between social responsibility fulfilment and competitiveness and demonstrates important management significance for the construction industry in managing its social responsibility behaviour and improving industry competitiveness, thus promoting high-quality development of the construction industry.