Investigating the relationship between corporate social responsibility implementation and contractor competitiveness

Abstract

PurposeThis study aims to (1) develop a structural equation model in understanding the relationships between corporate social responsibility (CSR) performance and contractor competitiveness and (2) test the moderating effect of firm sizes on this relationship.Design/methodology/approachA literature review showed an urgent need to investigate the relationship between CSR implementation and contractor competitiveness holistically. CSR and contractor competitiveness variables were identified through the literature review and discussions with experienced professionals. Using a survey questionnaire, a total of 252 completed questionnaires were received. A structural equation modeling technique was then applied to analyze the data collected. Multigroup analysis was employed to test the moderating effect of firm sizes on the relationship between CSR implementation and contractor competitiveness.FindingsThe results indicated a strong relationship between CSR implementation and contractor competitiveness. This relationship is not moderated by firm size.Originality/valueThis research is one of the first studies to holistically explore the linkages between CSR implementation and contractor competitiveness. The findings can be served as a solid foundation to promote CSR performance in construction firms. Contractors of different sizes are suggested to implement CSR activities to foster competitiveness.