Corporate social responsibility and quality leadership in food industry

• Author(s): Ferreira, Fernanda A. ; Ferreira, Flávio ; Santos, Adriana Melo
• Date: 2025
• Persistent ID: http://hdl.handle.net/10400.22/30543
• Origin: Repositório Científico do Instituto Politécnico do Porto
• Document Type: Conference paper
• Language: English
• Contributor(s): REPOSITÓRIO P.PORTO

Description

Corporate social responsibility (CSR) is critical in the food industry as it builds consumer trust, promotes sustainability, upholds ethical practices, and encourages innovation. In this paper, we analyze some effects of CSR on food industry, by using a model in which one CSR restaurant competes with a for-profit (FP) one in the choice of the quality and quantities of their products. We will discuss two cases: (i) the CSR restaurant takes the leader position; (ii) the FP restaurant takes the leader position. The study was conducted using game theory techniques. The results allow us to conclude that CSR enhances both the quality and quantity of food at the CSR restaurant, while diminishing them at the FP restaurant. CSR also enhances both the overall quality and the quantity within the industry. Furthermore, CSR enhances both consumer surplus and social welfare.