This study examines how a mandatory corporate social responsibility (CSR) regime, implemented since 2014 in India, has triggered changes in the interorganizational field and has affected the interaction between corporations and non-profit organizations (NPOs). Taking a qualitative research approach, this study identified four approaches that corporations take to meet their CSR mandate: i) direct social project delivery; ii) engaged through CSR department (headed by internal executives); iii) engaged through CSR department (headed by ex-NPO executive); and, iv) engaged through foundations. These approaches have varied implications for firms’ cross-sectoral interactions with NPOs. Further, our findings reveal how these four approaches affect intra- and inter-organizational tensions, project implementation time, and social impact. We found that partnership, co-optation, and mutual learning are the key processes through which corporations could minimize inter- and intra-organizational tensions and enhance social impact. Our findings aim to contribute to the interorganizational field and organizational tension literature by enhancing the understanding of the implications of mandatory CSR regime on cross-sectoral interactions and how such interaction affect inter- and intra-organizational tension.
