The New Entrepreneurial Leader

*The academic literature uses both CSR and corporate social performance (CSP), although the distinction is not always clear. CSR is the socially responsible behavior the firm undertakes, whereas CSP represents how stakeholders assess the quality and the impact of those behaviors. Luo and Bhattacharya (2009, 201) summarize the distinction as follows: “While firms invest in CSR initiatives, CSP, as the measure of firms’ aggregated historical social performance relative to competition, is what stakeholders reward the firms for and, therefore, what is potentially linked to firm financial performance.”