Corporate social responsibility commitment of small‐to‐medium enterprises and organizational competitive differentiation: Stakeholder pressure, market orientation, and socioeconomic context effects

Abstract

This paper aims to examine the role of stakeholder pressure and market orientation in explaining the corporate social responsibility (CSR) commitments and the organizational competitive differentiation of small and medium enterprises. The socioeconomic context, that is, favorable versus unfavorable, was used as a moderator in above links. The results verify the strong influence of stakeholder's pressure on CSR commitments and the influence of stakeholder pressure and market orientation on organizational competitive differentiation. The socioeconomic context confirms to have a significant moderating role in the hypothesized links. In a favorable context, stakeholder pressure turns out to be relevant in explaining CSR commitments and the organizational competitive differentiation, and CSR commitments itself also have a significantly positive effect on organizational competitive differentiation. In an unfavorable context, market orientation provides a significantly positive support to CSR commitments and organizational competitive differentiation.