Corporate Social Responsibility of Export Organizations: Relation between Strategy, Activities and Communication on Foreign Markets

Ana Aleksic,Andrija Baric,Mislav Ante Omazic

doi:10.7906/indecs.19.1.10

Abstract

The concept of corporate social responsibility has been recognized as a successful differentiation strategy for European export organizations in foreign markets. In the time of unprecedented global social, humanitarian, and economic challenges that we face today, the concept comes into the focus of most global stakeholders as never before in history. Still, the existing literature lacks a deeper analysis of differentiation on foreign markets based on corporate social responsibility. This article aims to analyse the relation between socially responsible strategy, activities and communication of export organizations in foreign markets. Empirical research was done on a sample of 78 medium and large sized Croatian export organizations. Research results reveal the importance and positive influence of inclusion of corporate social responsibility in organizational strategy on socially responsible activities and communication channels and principles in foreign markets.

Highlights

As the EU is moving strongly towards the achievement of the Sustainable Development Goals (SDGs) and Europe’s climate neutrality by 2050, corporate social responsibility (CSR) becomes a necessity
Results indicate that variables CSR_STRAT_1 (CSR is incorporated within company strategy as one of the key strategy elements), CSR_STRAT_3 (CSR is represented within the analysis of internal and external influences which is the key element of company strategy), CSR_STRAT_4 (CSR is represented within the market analysis which is the key element of company strategy) and CSR_STRAT_7 (CSR is planned as an activity which contributes to achieving competitive advantage) have a statistically significant influence on CSR activities of export organizations on foreign markets
Our second research proposition analyzes if inclusion of CSR in organizational strategy has a positive effect on CSR communication in foreign markets

Summary

Introduction

As the EU is moving strongly towards the achievement of the Sustainable Development Goals (SDGs) and Europe’s climate neutrality by 2050, corporate social responsibility (CSR) becomes a necessity. As stakeholders become more and more exposed to the effects of the global online market in most industries on a daily basis, individuals' awareness of social issues is no longer local or national but global Such a global level of awareness continually increases pressure on companies to strategically effectively implement and communicate social responsibility to all stakeholders [2]. When export organizations move beyond their domestic market, they have to comply with internationally required safety, quality, and CSR standards [3] They face the issue of liability of foreignness [4], as of their non-native status in the foreign market, CSR can help them overcome this obstacle [5]. Their CSR activities on foreign markets, can be motivated by the fact that CSR can help create or reinforce corporate image [6], gain higher visibility, mitigate risk, have greater availability of funds, optimise ideas and increase innovative solutions for stakeholders [7]

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