SMEs motivations for CSR: an exploratory study

Abstract

Purpose The paper aims to investigate the relationship between firms’ motivation for corporate social responsibility (CSR) and the moderating role of internationalisation. Design/methodology/approach The authors developed and tested a conceptual model based on a survey of 65 respondents from the Møre and Romsdal (M&R) maritime cluster. The M&R maritime cluster despite being national has strong interconnections to the global maritime industry and as such, presents a suitable context for testing our research model. Findings The findings show that firms’ intrinsic motivation drives CSR more than extrinsic motivation. Intrinsic motivation is understood as a firm engaging in CSR because it is the right thing to do and done out of one’s free will without compulsion or coercion. Extrinsic motivation relates to an action that is performed to achieve a separate outcome. Intrinsic and extrinsic motivations are found to be related and not mutually exclusive. The impact of intrinsic motivation on CSR was found to be contingent on the extent of the internationalisation of small and medium-sized enterprises (SMEs). Originality/value The key contribution of the study is the modelling of firms’ motivation for CSR activities and the contingent effect of internationalisation. In as much as companies perceive CSR activities as the right thing to do, the motive to do so also depends on the business case/profit motive. The study shows that SMEs’ intrinsic motivation is the driving force in CSR implementation and suggests that the urge by firms to give back to society is strengthened under conditions of high economic incentives and the firms’ degree of internationalisation.

What Prompts Small and Medium Enterprises to Implement CSR? A Qualitative Insight from an Emerging Economy

“…Research shows that SMEs are not socially responsible formally, and use informal CSR methods [29,30]. Typically, SMEs networks help identifying social issues and possible ways to address a number of social issues, such as making a financial contribution to society as a whole, building corporate value, and responding to stakeholders [31]. However, the role of SMEs, mostly in developing regions of the world, has been passive towards CSR programs.…”

The Influence of Hotel Employees’ Perception of CSR on Organizational Commitment: The Moderating Role of Job Level

“…Intrinsic motivation refers to self-driven, voluntary performance of tasks due to enjoyment or joy from the activity itself. While work implies extrinsic rewards, employees' perception of CSR activities is more related to intrinsic motivation [4]. These CSR activities, which originate not from profitability but an investment in morality, are more than sources of expense.…”

“…The issue of Corporate Social Responsibility (CSR) has been receiving a great deal of attention in many academic areas and from the business media during the last two decades [1][2][3]. The reason for this is that CSR is regarded as a method of building an organizational reputation and enhancing the corporate image as well as providing advantages to both companies and their stakeholders [4]. Companies have gradually recognized the significance of CSR, and are attempting to maintain a balance among social, environmental, and economic activities in their businesses [5].…”

Corporate social responsibility antecedents and practices as a path to enhance organizational performance: The case of small and medium sized enterprises in an emerging economy country

“…Researchers concluded that intrinsic drivers are more powerful than extrinsic ones in shaping SMEs' CSR practices Grimstad et al, 2020). It is suggested that a key driving factor for SMEs to engage in CSR is directors' motivation to "do the right thing or to put something back into the society" (Jenkins, 2004, p. 6).…”