CIRIEC Nº 77 April 2013
ISBN: 978-84-95003-71-3 / 84-95003-71-6
Corporate social responsibility, finance and social capital in the Social Economy
Disclosure of social responsibility information by Aragonese cooperative banks and savings banks
Authors: José Mariano Moneva Abadía, Eduardo Ortas Fredes, Isabel Acero Fraile
Keywords: Social performance, sustainability reporting, social audit, savings banks, cooperative banks.
Econlit Keywords: M140, G210, G340, Q010.
The aim of the present work is to evaluate the corporate social performance of savings banks and cooperative banks from Aragon by analysing the information disclosed by these firms. We have developed a model to measure the corporate social performance reported by these banks, based on their interaction with their stakeholders. Moreover, the quantitative analysis is complemented by interviews. The main results show that the information on these issues disclosed in 2004-2008 is limited and mainly focuses on corporate governance and community concerns. However, we have observed a positive trend in the social performance information disclosed. The number of organisations that publish a sustainability report has grown from one in 2004 to three in 2008. This could indicate that savings banks and cooperative banks in Aragón are showing increasing interest in corporate responsibility principles and transparency.
Social responsibility and openness in solidarity economy enterprises
Authors: Antoni Socias Salvà, Patricia Horrach Rosselló
Keywords: Solidarity economy, corporate social responsibility, social accounting.
Econlit Keywords: L300, M140, M410.
Solidarity economy enterprises constitute a subsector of the social economy with special characteristics. Regardless of their legal form – commercial or non-profit – they are organizations that operate on the market, offering goods and services, and incorporate the concept of solidarity into their social mission. This essentially implies helping to improve the financial and social conditions of disadvantaged groups. Solidarity economy enterprises are managed according to social values. From a theoretical approach, we will analyse the main content of these principles and how they are assimilated into the elements and principles of corporate social responsibility. In addition, we will examine which basic details should be included in the information that is given about the sustainability and solidarity of these enterprises. If these organizations subordinate their financial goals to their social purpose, they should improve the information they convey in order to achieve greater recognition, thus allowing them to survive and grow.
The role of the third sector in corporate social responsibility. A qualitative analysis in Extremadura
Authors: Mª Isabel Sánchez Hernández, Dolores Gallardo Vázquez
Keywords: Social responsibility, third sector, SMEs, Extremadura.
Econlit Keywords: M140, M190, L310, R100, R520.
The Third Sector can play an important role in defining and implementing Corporate Social Responsibility. The organizations that comprise it have social objectives and therefore enjoy a certain degree of legitimacy when making reasonable judgments about how businesses operate. The aim of this study was to ascertain the third sector organisations’ perception of corporate responsibility and how it can contribute to the creation of social value. We suggest that these organisations are a natural and necessary link for SMEs to implement responsible actions. The qualitative analysis of the views of twelve representative organisations corroborates this approach, although the third sector appears not to be considered a major agent of interest. Strengthening its position against other companies, becoming more visible and inspiring greater trust will allow the Third Sector to assume its rightful liaison role.
Related party transactions and cooperativised transactions in international financial reporting standards: reflections in relation to the Spanish accounting system
Authors: Fernando Polo-Garrido, Cristina P. Sarasa
Keywords: Related parties, transactions with related parties, cooperatives, IAS 24, transactions with members.
Econlit Keywords: M140, P130, K290, E300.
The question of considering a cooperative’s transactions with its members in pursuance of its objects (its ‘cooperativised activity’) to be related party transactions and applying the fair value criterion to them has given rise to some debate in Spain. To move the debate forward, this article first studies the related party rules in the IFRS, the US GAAP and the Spanish PGC-2007 accounting standards then examines the economic background to cooperativised transactions, concluding that the fair value criterion is not appropriate in these cases. It continues with an empirical study of information on related party transactions divulged by cooperatives and the valuation criterion employed in transactions with their members by cooperatives that report in accordance with IFRS, and concludes by comparing the results of the empirical study with the previous analytical study. The main contributions of this paper are that to the best of our knowledge this is the first study of this kind on related parties; the comparison between its conclusions and the recent Normas sobre los Aspectos Contables de las Sociedades Cooperativas or Rules on Accounting Aspects of Cooperative Societies (Order EHA/3360/2010); and the suggestions to the accounting regulators for improving financial information.
Members' willingness to invest in agricultural marketing cooperatives: a property rights theory approach
Authors: Gustavo Marcos Matás, Miguel Hernández Espallardo, Narciso Arcas Lario
Keywords: Agricultural marketing cooperatives, property rights theory, willingness to invest, market orientation.
Econlit Keywords: D230, M310, P130, Q130.
Innovation and adaptation are key factors for success in today’s agricultural markets. The ability to mobilise funds to finance investment therefore plays a key role. This is particularly relevant in marketing cooperatives, whose property structure has been identified as a handicap compared to investor-owned firms. The aim of this study is to test the roles of market orientation and property rights problems in explaining the cooperative members’ willingness to invest in their marketing cooperatives. The hypotheses were tested on a sample of 172 first level marketing cooperatives. The results show the positive effect of market orientation on the member’s willingness to invest and the role that property rights problems have in moderating this effect.
Assessing business performance through multi-criteria analysis techniques, applied to Valencian agri-food cooperatives
Authors: Cristina P. Sarasa, Fernando Polo-Garrido, Elíes Seguí-Mas
Keywords: Efficiency, co-operative, performance, ranking, Single Price Model (SPM).
Econlit Keywords: L250, M100, P130, Q130.
Studying the performance of agricultural cooperatives has become increasingly important in recent years due to the significant role they play in the agricultural food sector. In this context, the purpose of this study is to obtain a performance index of agri-food cooperatives. The opportunity set comprises 42 companies from the Valencian Community region. Their financial statements were used as the primary information source. The additive index was computed by single price model (SPM) operations research methods that allow managerial behaviour to be ranked according to efficiency criteria, identifying the most efficient alternative and distinguishing it from the remaining alternatives in the ranking. This ranking is an aid to detecting leading positions over time.
The contributions of social support to social capital: proposal for an integrated and convergent model
Authors: Ana Mª Fuertes Eugenio, Mª Raquel Agost Felip, Iluminada Fuertes Fuertes, Grisela Soto Personat
Keywords: Social networks, third sector, social support, social capital.
Econlit Keywords: A120, A130, L310, O170, O180, Z130.
Social capital has recently become remarkably important in all social science disciplines. Its multidisciplinary character, intangibility and circular nature are significant obstacles to its being quantified and incorporated into the models that explain economic reality. Recent papers have established relationships among social capital, social networks and social support as a result of the convergence of research in areas such as economics and psychology. In economics, social capital is considered a resource for development and is measured through indicators that are related with trust and social networks, among others. The social support research tradition, however, approaches it from a perspective which facilitates its measurement by level (micro, meso, macro). This paper shows the convergence between the social capital and social support concepts and incorporates psychosocial elements into the measurement of social capital in order to facilitate its inclusion in multidisciplinary models that explain the economic or social reality.
Sources for the history of agricultural co-operatives in Spain: business archives
Authors: Francisco J. Medina-Albaladejo
Keywords: Agricultural co-operatives, legislation, sources, business archives, Spain, 20th century, history.
Econlit Keywords: N010, N540, P130, Q130.
In Spain, business archives have only become places of historical research during the last forty years, somewhat belatedly compared to other countries, and only in some economic sectors. This article is intended to show the kind of sources that researchers can find in the archives of agricultural co-operatives, their usefulness for historical research, state of conservation, main problems and opportunities for consultation. The conclusion is that these archives contain a wealth of documentation but at the same time present a series of considerable problems such as the risk of destruction, low awareness of their importance among the management, the lack of adequate storage space, skilled staff or computerised cataloguing facilities, and difficulties of access for researchers.
The economic dimension of the cultural nonprofit sector: the musical societies in the Valencian Community
Authors: Pau Rausell Köster, Vicente Coll Serrano, Francisco Marco Serrano, Raúl Abeledo Sanchís
Keywords: Musical societies, cultural economy, non-profit institutions, economic dimension, regression methods.
Econlit Keywords: C130, L300, Z110.
In the Valencia region of Spain, the sociocultural significance of musical societies is undeniable. These associations have 138,753 members, support the activities of 39,015 musicians – organized into 529 bands – and offer a musical training to a similar number of students. Nowadays, researchers internationally are increasingly focusing on the close relationship between culture and territorial development, highlighting creativity and innovation as factors for social cohesion, territorial competitiveness and job creation. From this perspective, the case study of musical societies is of particular interest, especially given the lack of economic data available on this subsector. This article offers an approximation to the economic dimension of musical societies as a first step towards studying and evaluating the impact of these cultural organizations on regional development processes. From estimates for the year 2009 based on regression methods, it provides an overview of production, added value and employment in the musical societies of the Valencia region.
Reputation of education cooperatives as perceived by teaching staff: measurement and influence
Authors: Inocencia María Martínez León, Isabel Olmedo Cifuentes, Juan Zapata Conesa
Keywords: Reputation, cooperatives, education, job satisfaction, job retention, quality of service.
Econlit Keywords: M100, M120, I200, I280.
Corporate reputation is an important intangible asset of organizations which is created from the different stakeholders’ perceptions and opinions. Employees have a decisive role in its construction and configuration, due to their continuous interaction with customers and other stakeholders. The aim of this paper is to examine how the reputation perceived by the teaching staff of education cooperatives has a positive and significant influence on the job satisfaction and job stability of these valuable employees and, in turn, influences the customers’ perceptions of the quality of service they receive. To measure this, a reliable, valid tool for measuring the reputation perceived by teachers was developed through exploratory and confirmatory factor analysis. The results obtained support the hypotheses, which were tested by structural equation modelling.