THE PERCEPTION OF SMES BANKRUPTCY CONCERNING CSR IMPLEMENTATION

Abstract

This study aims to evaluate the perception of bankruptcy by small and medium-sized enterprises from the V4 region. CSR implementation in business activities was selected as the comparison criterion. The research paper is based on a questionnaire survey of 1585 respondents. The data were collected from September 2019 to January 2020. The research hypotheses were evaluated using the χ-quadrat test and Z-score statistical methods. Differences between the enterprises which implemented CSR in business and other companies were found. The research focused on bankruptcy perception as a natural part of the business and as a valuable experience for future company development. Entrepreneur failure and self-confidence showed that V4 SMEs with implemented CSR are less likely to go bankrupt if adverse economic developments occur. However, less than 50% of entrepreneurs consider bankruptcy as a valuable experience for further business. The majority of managers who have experience with CSR implementation positively differed in their opinions versus those without this experience. In general, V4 entrepreneurs who implemented CSR have a more positive perception of bankruptcy questions. The results may be interesting for those who promote or implement CSR in the focused countries. Our findings can be helpful for entrepreneurs to consider the benefits of being socially responsible in the working environment conception.