Trolls at the gate: How Chinese “internet water armies” undermine corporate social responsibility

This paper examines how internet water armies affects the fulfillment of corporate social responsibility (CSR) and explores its underlying mechanisms. By fabricating false information and manipulating public opinion, these armies exerts a significant negative impact on CSR performance. Findings reveal that this presence not only discourages firms from fulfilling CSR but also weakens their motivation by intensifying financing constraints and damaging corporate reputation. Heterogeneity analysis further shows that these negative effects are stronger among firms with high media exposure and poor information disclosure quality, as well as state-owned enterprises. This study enriches the literature on digital governance and CSR while offering policy insights for enhancing online governance and fostering responsible corporate behavior.