CSR Uptake in Non-Western Contexts: the Impact of Institutional Environment and Entrepreneurs

Abstract

The impact of institutional environment and institutional entrepreneurs for corporate social responsibility (CSR) uptake, practice and process in the context of Western countries has been extensively examined. However, while these examinations are insightful, it is not clear if other conditions and influencing factors in relation to the institutional environment and institutional entrepreneurs foreign to the West exist. If indeed they do, this raises questions related to the extent to which they may influence CSR practice and process. The paucity of such research restricts and prevents a more comprehensive understanding of the role and impact of institutional dynamics and underlying processes for CSR. From a practice perspective, CSR managers and organisational leaders miss the opportunity to utilise CSR as an instrument serving organisational interests and legitimacy. Consequently, this study investigates the impact of institutional environment and institutional entrepreneurs for CSR uptake, practice and process from a non-Western perspective. Employing an exploratory research design within a range of public and private sector organisations, we interrogate the phenomenon from the perspective of key actors involved in its formulation. The findings evidence a set of distinct institutional dynamics and institutional entrepreneurs that contribute to the formulation of specific CSR. The identified forms of CSR reveal organisational attempts for adaptation to the institutional dynamics and for preserving organisational legitimacy. Therefore, our work provides important contributions to the CSR debate by outlining factors and conditions specific for non-Western countries that result in context-driven forms of CSR. These findings offer a number of insightful and substantives considerations for practitioners and policy makers involved in the development of CSR.

The Institutionalization of Implicit and Explicit CSR in a Developing Country Context: The Case of Lebanon

“…First, global institutional pressures are the result of a multitude of global organizations that provide guidelines, metrics, and roadmaps to facilitate the proliferation of social responsibility on a global scale. Second, local institutional pressures from the national business system represent both formal institutions, such as government, associations, and civil groups, and informal groups, such as religious, cultural, and traditional norms in society (Koleva and Quinn 2021). Third, isomorphic pressures in the organizational field, as identified by DiMaggio and Powell (Charpin et al 2021), are coercive, normative, and mimetic pressures.…”

“…Institutional theory is the conceptual lens used in this study, primarily because of its inherent contention that both contextual and institutional environments influence norms and practices of social responsibility (Koleva and Quinn 2021;Parsa et al 2021).…”