English

K Turyakira Peter

doi:10.5897/ajbm2017.8312

Abstract

Although corporate social responsibility (CSR) has globally been recognized by both large and small businesses, little literature is currently available regarding the motivation and barriers for small and medium enterprises (SMEs) engagement in CSR practices. Until recently, the involvement of SMEs in social activities has received little attention by both scholars and practitioners. Therefore, this study is aimed at conducting a thorough literature review with regard to SMEs engagement in CSR activities. The study critically analyses the drivers and barriers to SMEs engagement in CSR practices, and then proposes strategies that SMEs can adopt to effectively participate in CSR activities. Key words: Corporate social responsibility (CSR), small and medium-sized enterprises (SMEs), drivers and barriers for SMEs engagement in CSR.

Highlights

There is seemingly no consensus in the literature about the definition of corporate social responsibility (CSR) since scholars are used to offering definitions that vary in content, context, process and value (Inyang, 2013)
The World Business Council for Sustainable Development (WBSCD) (2000) defines CSR as “the commitment of business to contribute to sustainable economic development, working with employees, their families, the local community and society at large to improve their quality of life”
CSR has mostly been associated with larger companies, especially multinationals, this does not necessarily mean that CSR is irrelevant for small and medium enterprises (SMEs)

Summary

INTRODUCTION

There is seemingly no consensus in the literature about the definition of corporate social responsibility (CSR) since scholars are used to offering definitions that vary in content, context, process and value (Inyang, 2013). Large businesses have attracted a substantial great volume of literature with regard to their involvement in CSR activities, SMEs find it difficult to appreciate the concept of CSR (Jenkins, 2006) They understand the concept of CSR in terms of engaging in philanthropic activity, doing business within the community, taking care of employees and providing an enabling working environment (Roberts et al, 2006); providing employment and supporting the local economy (Jenkins, 2006); volunteering, donating time or money and recycling (Sweeney, 2007). It is difficult to articulate exactly which CSR activities should SMEs adopt (Lindgreen and Swaen, 2010); and those that are applicable to SMEs in developing countries. SMEs claim to lack time, resources and support necessary to engage in more indepth CSR activities (Jenkins, 2006; Sweeney, 2007)

METHODOLOGY

Conclusions