Family Business as a Bearer of Social Sustainability in Multinationals-Case of Slovakia

Abstract

Social sustainability is slowly becoming a more important aspect of a company’s management, particularly in the case of multinational companies with an international network of subsidiaries placed in diverse cultural and social environments. The concept of social sustainability is strongly connected with a considerable number of stakeholders, compared to the environmental and economic aspects of sustainability. The nature of activities under the social pillar of corporate responsibility connects social sustainability with family business, which aims at the principles of social solidarity, equality and ethics. This article uniquely analyzes selected aspects of social sustainability on a sample of 201 Slovak subsidiaries of foreign multinationals and finds differences between family and nonfamily ones. Surprisingly, the conducted research proved that the examined family businesses cannot be considered as bearers of social sustainability in Slovakia, since, in many aspects, the nonfamily businesses implemented the monitored aspects in larger measures, and there were only two factors that turned out to be significant, according to the type of business ownership. Equal opportunities in the workplace were the only variable, due to which significant differences were seen, according to the factor of a family business and the factor of employees’ gender simultaneously, which makes it a crucial variable. The conducted study fills the gap in explanation of interconnections between social sustainability, family business and equal gender opportunities, which makes it unique not just in Slovak conditions.

Exploring Gender Dynamics and Environmental Sustainability in Family Firms

“…Social sustainability places critical emphasis on gender equality. However, the complex nature of these and other issues produces struggles in defining and measuring social sustainability, which negatively affect the incorporation of social outcomes into corporate practice and research (Rumanko et al, 2021).…”

“…By exploring how gender dynamics intertwine with sustainability, valuable insights emerge, shedding light on the reciprocal influence shaping efforts to achieve sustainable development. The narrative unveils the expansive realm of social sustainability, which is anchored on the principles of social solidarity, equality, and ethics (Rumanko et al, 2021). Notably, a critical component of social sustainability is gender equality.…”

The impact of firm size on environmental sustainability: The assessment based on the analysis of cost structure

“…They are more oriented towards local needs, rights and values of local communities, including ecological concerns. It is worth to highlight a special role of small family business, which usually has a maximum level of involvement in the local development (Rumanko et al, 2021) and in this way can be regarded as a crucial factor of sustainability.…”

Corporate Social Responsibility in Business Practice of the Visegrad Region (Czechia, Poland, Slovakia)

“…Slovakia launched a CSR policy in 2007 with the Action Plan of the National Reform Programme of the SR 2017 (EC, 2017), in which the intention of enticing businesses to embrace sustainable practices, and advance social responsibility was incorporated. In the field of application of the principles of social responsibility in Slovakia, multinational companies (MNCs) also had an irreplaceable position Przytuła et al, 1019;Rumanko et al, 2021). After communism was overthrown, Slovakia faced enormous political and economic upheavals in the early 1990s.…”