Arguedas, Carmen; Blanco, Esther - 2014
consumers' beliefs about the credibility of firms' CSR claims, which depend in turn on the (expected) fines for fraud. First, we … likelihood of certification. Second, fraud only arises when the fines for fraud are at intermediate levels and some CSR firms do … not certify their practices. Third, the presence of fraud comes at a cost for firms by inducing lower equilibrium prices …
