This thesis consists of three empirical studies investigating, from various perspectives, the corporate motivations to join one of the largest voluntary initiatives promoting sustainability: the United Nations Global Compact (UNGC). I employ three different statistical techniques, logistic regression analysis, event history analysis and structural equation modelling. The first study provides evidence from a field experiment on shareholder engagement effectiveness in general and on which tactics are more effective in engaging publicly traded firms. The experiment consists of an invitation letter sent by the Principles for Responsible Investment Clearinghouse, one of the largest worldwide coalition of investors, to encourage companies to sign up the United Nations Global Compact. I use a theoretical model for investor salience in order to understand the impact of the engagement. To the best of my knowledge, this is the first large-scale research on engagement using randomized controlled trials in the academic literature and in practice. The aim of the second study is three fold. First, most academic literature focuses on how the adoption of the UNGC impacts on the implementation of environmental, social and corporate governance (ESG) performance; this study addresses how ESG performance shapes the CSR strategy, namely, the UNGC. Next, I explore to what extent the ESG performance of firms adopting the UNGC change over time. Finally, this paper investigates whether the existence of controversies is a determinant for joining the initiative. Results show that, in all cases, ESG performance is significant and positively related to the adoption of the Ten Principles. Furthermore, results show that ESG performance differs across different points in time. Contrary to my expectations, controversies have no influence on UNGC membership. The third and final study examines the effect of the characteristics of the board of directors on the adoption of the UNGC/GRI by US-based firms. I investigate whether and how a CSR oriented board chooses the UNGC/GRI as part of their firms reporting strategy. I also consider the level of environmental and social performance as a mediator for such a decision. Results show that there is a positive and significant relationship between the board and environmental and social performance, and between environmental and social performance and the adoption of voluntary CSR initiatives. This relationship is stronger for social performance and for the GRI. Overall, this thesis provides further evidence about motivations to join the UNGC. The outcomes of this thesis are of relevance for shareholders and investor coalitions, policy makers, and other groups of stakeholders. Theoretically, this thesis adds to the literature on shareholder engagement, strategy and corporate governance.

Abstract Sustainability has been one of the most discussed topics among the business world and society for the last decade. The globally growing concern about sustainability related issues has led to businesses and non-businesses meet the demand of their stakeholders by producing a sustainability report to demonstrate their work and development in sustainability and how they have measured it. There has been a fast-growing trend of sustainability reporting in few years and there are a number of different initiatives and requirements that define what kind of sustainability reports are produced. From the different sustainability initiatives, the largest principle-based initiative is the United Nations Global Compact (UNGC) with almost 13 000 signatories and the largest reporting-based initiative is the Global reporting initiative (GRI). These two initiatives entered in to a partnership in 2010 with the aim of the GRI providing guidance for the signatories on how to disclose information from different areas in sustainability in their sustainability reports. There has been previous research that criticized the UNGC to be too broad and the principles difficult to translate in to sustainability reporting despite the existing partnership with the GRI. These previous studies expressed the lack of qualitative studies about the subject especially from the signatories’ perspective and the importance of approaching the topic from a practical point of view. The purpose of our research study was to create an understanding of the practicalities in UNGC signatories’ sustainability reporting, the challenges they face in the progress and how are they approaching those challenges. The thesis focuses on the Nordic region and the two research questions are:   How are the UNGC signatories practically translating the 10 principles into their sustainability reporting? What challenges do UNGC signatories find in sustainability reporting in general and how have they approached these challenges?   To answer these research questions the authors conducted a qualitative study by semi-structured interviews with company representatives from different Nordic UNGC signatories. The research study identified how do they practically identify what to report about the principles which is determined by materiality assessment provided by the GRI framework. This determines what is material for the company and its industry and focus on those areas in their sustainability report. Legal requirements, internal regulations and other commitments were also identified guiding sustainability reporting. The main challenges related to the sustainability reporting were mainly about data related issues, satisfying the stakeholders and the high number of different frameworks and regulations that are not necessarily interrelated. Majority of the participants approached these challenges by carrying out the materiality assessment as accurate and clear as possible in order to avoid data related difficulties. Some participants offer their different stakeholders with sustainability related information by different forms in order to make the sustainability reporting easier to read and understand. For the high number of frameworks and regulations, the participants have expectations for alignment among them in the future in order to make the reporting easier for everyone involved with sustainability reporting. The results of our findings were supported by theories and concepts such as the stakeholder’s theory, signalling theory and the CSR concept. Previous studies about sustainability reporting and UNGC were also compared to our findings in the analysis.

Many firms from emerging markets flocked to developed countries at high cost with hopes of acquiring strategic assets that are difficult to obtain in home countries. Adequate research has focused on the motivations and strategies of emerging country firms' (ECFs') internationalization, while limited studies have explored their survival in advanced economies years after their venturing abroad. Due to the imprinting effect of home country institutions that inhibit their development outside their home market, ECFs are inclined to hire executives with international background and affiliate to world-wide organizations for the purpose of linking up with the global market, embracing multiple perspectives for strategic decisions, and absorbing the knowledge of foreign markets. However, the effects of such orientation on survival are under limited exploration. Motivated by the discussion above, I explore ECFs’ survival and stock performance in a developed country (U.S.). Applying population ecology, signaling theory and institutional theory, the dissertation investigates the characteristics of ECFs that survived in the developed country (U.S.), tests the impacts of global orientation on their survival, and examines how global-oriented activities (i.e. joining United Nations Global Compact) affect their stock performance. The dissertation is structured in the form of three empirical essays. The first essay explores and compares different characteristics of ECFs and developed country firms (DCFs) that managed to survive in the U.S. The second essay proposes the concept of global orientation, and tests its influences on ECFs’ survival. Employing signaling theory and institutional theory, the third essay investigates stock market reactions to announcements of United Nation Global Compact (UNGC) participation. The dissertation serves to explore the survival of ECFs in the developed country (U.S.) by comparison with DCFs, enriching traditional theories by testing non-traditional arguments in the context of ECFs’ foreign operation, and better informing practitioners operating ECFs about ways of surviving in developed countries and improving stockholders’ confidence in their future growth.

Der Prozess der Globalisierung hat zu einem enormen Anstieg globaler wirtschaftlicher Interdependenzen und entsprechender Interaktionsmöglichkeiten geführt. Gleichzeitig ist die globale Rahmenordnung als defizitär zu charakterisieren und es stellt sich die Frage nach der Vertrauensbasis globaler wirtschaftlicher Zusammenarbeit. Vor diesem Hintergrund untersucht die vorliegende Dissertation den Beitrag Globaler Chartas zur Stabilisierung des Vertrauensverhältnisses von (Welt-) Gesellschaftsmitgliedern und transnationalen Unternehmen. Die Forschungsarbeit verfolgt hierbei zwei Ziele: Erstens die systematische Verortung des Konzepts Vertrauen im Drei-Ebenen-Paradigma der ökonomischen Ethik sowie zweitens die Entwicklung einer Heuristik zur Gestaltung bzw. Weiterentwicklung Globaler Chartas in der Praxis. Die entwickelte Heuristik wird anhand von drei Globalen Chartas beispielhaft illustriert. Zu diesen zählen der UN Global Compact, das Manifest Globales Wirtschaftsethos sowie die Caux Round Table Prinzipien.:1 Einleitung 1.1 Problemexposition 1.2 Theoretischer Zugriff 1.3 Zielsetzung und Vorgehensweise 2 Grundlegende Axiome der ökonomischen Ethik 2.1 Der Grundkonflikt zwischen Gewinn und Moral 2.2 Die erweiterte Goldene Regel 2.3 Unternehmensverantwortung aus Sicht der ökonomischen Ethik 3 Vertrauen als Grundlage gelingender Kooperation 3.1 Der Vertrauensprozess 3.1.1 Vertrauen des Vertrauensgebers 3.1.1.1 Spezifisches Vertrauen 3.1.1.2 Generalisiertes Vertrauen 3.1.2 Vertrauenswürdigkeit des Vertrauensnehmers 3.1.3 Von Vertrauenswürdigkeit und Vertrauen zu Kooperation 3.2 Vertrauen im Drei-Ebenen-Paradigma 3.2.1 Akteure im Drei-Ebenen-Paradigma 3.2.2 Das Drei-Ebenen-Paradigma 3.2.2.1 Spielzüge 3.2.2.2 Spielregeln 3.2.2.3 Spielverständnis 3.2.2.3.1 Begriffsbestimmung 3.2.2.3.2 Funktionen 3.2.3 Relevante Inkonsistenzen 3.3 Investitionsheuristik 3.4 Synopsis 4 Globale Chartas als Investition in den Faktor Vertrauen 4.1 Begriffsbestimmung „Globale Chartas“ als Initiativen der Global Governance 4.2 Bedingungen der Globalität 4.2.1 Moderne Strukturbedingungen von Interaktionen 4.2.2 Defizitäre globale Rahmenordnung 4.2.3 Globaler (Werte-, Normen- und Motivations-) Pluralismus 4.3 Ansatzpunkte Globaler Chartas im Vertrauensprozess 4.3.1 Globale Chartas als (Meta-) Signal auf Spielzugebene? 4.3.2 Globale Chartas als Institution auf Spielregelebene? 4.3.3 Globale Chartas als Investition in ein gemeinsames Spielverständnis? 4.4 Heuristik zur Gestaltung Globaler Chartas 4.5 Synopsis 5 Illustration der Heuristik 5.1 Der United Nations Global Compact 5.1.1 Zum Bekanntheitsgrad des UNGC 5.1.2 Zum Selbstverständnis des UNGC 5.1.3 Zur Sicherstellung der Glaubwürdigkeit des UNGC 5.1.4 Zum Angebot an belastbaren Orientierungspunkten des UNGC 5.1.5 Zur Ermöglichung der lokalen Interpretation der UNGC Prinzipien 5.2 Das Manifest Globales Wirtschaftsethos 5.2.1 Zum Bekanntheitsgrad des Manifest Globales Wirtschaftsethos 5.2.2 Zum Selbstverständnis des Manifest Globales Wirtschaftsethos 5.2.3 Zur Sicherstellung der Glaubwürdigkeit des Manifest Globales Wirtschaftsethos 5.2.4 Zum Angebot an belastbaren Orientierungspunkten des Manifest Globales Wirtschaftsethos 5.2.5 Zur Ermöglichung der lokalen Interpretation des Manifest Globales Wirtschaftsethos 5.3 Die Caux Round Table Prinzipien für verantwortungsvolle Unternehmen 5.3.1 Zum Bekanntheitsgrad der Caux Round Table Prinzipien 5.3.2 Zum Selbstverständnis der Caux Round Table Prinzipien 5.3.3 Zur Sicherstellung der Glaubwürdigkeit der Caux Round Table Prinzipien 5.3.4 Zum Angebot an belastbaren Orientierungspunkten der Caux Round Table Prinzipien 5.3.5 Zur Ermöglichung der lokalen Interpretation der Caux Round Table Prinzipien 5.4 Synopsis 6 Schlussbemerkung LITERATURVERZEICHNIS