Abstract
Drawing on upper echelons theory and social welfare orientation (SWO), this study proposes a model that elucidates the mechanisms through which ecological responsiveness is triggered. It explores the antecedents of responsible leadership actions in multinational corporations. We construct a theoretical framework of social welfare orientation that suggests external supervisory pressure and societal expectations guide firms to consider the well-being of a wide array of stakeholders. This heightened awareness leads firms to focus more attentively on making responsible leadership decisions. We test the model by examining internal governance and external pressures—factors originating from both within and outside firms. Using a sample of 1,320 companies, we find that external pressures, including monitoring by foreign and domestic institutional investors as well as reputational concerns, significantly influence companies’ decisions regarding ecological responsiveness. Regarding internal governance, board size and board independence shape ecological response behaviors, although external pressures exert a notably stronger influence than internal governance mechanisms. The findings provide valuable insights into corporate ecological responsiveness, deepening the understanding of responsible leadership actions by integrating social welfare orientation and upper echelons theory.