Effects of corporate social responsibility on SMEs’ performance in emerging market

Abstract

Corporate social responsibility (CSR) is a growing issue in emerging markets. This study aims to evaluate the impact of CSR on firms' performance by exploring the role of mediating variables such as corporate reputation (CR) and customers' purchasing intention (CPI). We use the quantitative technique of Partial Least Squares Structural Equation Modeling (PLS-SEM) techniques to analyze the data of the small and medium-size enterprises (SMEs) from the Southern Vietnam in 2020. The findings suggest a positive and significant impact of corporate/ social responsibility on firms' performance through mediating role of CR and CPI. This study contributes to the literature on corporate social responsibility and firms' performance of SMEs in the emerging country context. The outcomes of this study can be used by entrepreneurs, top management as an attempt to boost the performance of the SMEs in emerging markets by applying CSR measures for sustainable competitive advantage. A mediating role of corporate reputation (CR) and customers' purchasing intention (CPI) as a valueadded contribution to this study.

The Perception of the Market and Operational Area of Business by Service Sector and Tourism Companies in terms of CSR implementation

“…Another study on Portuguese SMEs found the key benefits of social responsibility practices: better reputation with suppliers, consumers, and partners, enhanced employee motivation, improved quality, and enhanced productivity (Santos, 2011). A recent study supporting the present analysis's findings suggests a positive and significant effect of CSR on firms' performance through mediating the role of corporate reputation and consumer purchase intentions (Tiep et al, 2021). A study in Romania found that whether the firm follows a formal CSR action or not, they wish to do fair business at their best as a CSR.…”

The Perils of the Pandemic for the Tourism and Hospitality Industries: Envisaging the Combined Effect of COVID-19 Fear and Job Insecurity on Employees’ Job Performance in Pakistan

“…Furthermore, the COVID-19 emergency had resulted in a diminishing performance of employees in the front-line industry, potentially affecting the psychological well-being of hotel representatives as well. 68 The research has fortified the relationship between COVID-19 fear and employee job performance while finding that job insecurity changes may be a crucial mediating factor in understanding the severity of COVID-19ʹs impact.…”

Digital capability and creative capability to boost firm performance and formulate differentiated CSR-based strategy

“… [ 70 ] Effects of CSR on SMEs' performance in emerging market This study explores the mediating effects of corporate reputation (CR) and customers' purchasing intentions (CPI) on the relationship between CSR and businesses' performance (CPI). [ 71 ] The impact of CSR disclosure and board characteristics on corporate performance The study examine how board attributes like board independence, board size, and gender diversity affect company performance. It will also look into the effects of CSR disclosure.…”

“…According to market-based law, an industry's competition structure predicts firms' CSR strategic choices [ 71 , 99 ]. Depending on their competitive background, firms can play a market-distinction role [ 70 ].…”