Investigating Effects of Corporate Social Responsibility Initiatives on the Sustainability of Small & Medium Enterprises
Keywords:
Corporate Social Responsibility, CSR, Sustainability, Small Medium Enterprises SMEAbstract
This study investigated the relationship between Corporate Social Responsibility and sustainability of Small and Medium Enterprises in Hyderabad and Kotri SITE areas of Pakistan. It also aims to create a CSR framework for SMEs operating in this region. By utilizing a quantitative approach, surveys were conducted with SME owners and managers. Statistical analysis, including Structural Equation Modeling, was employed to test hypotheses based on Stakeholder theory, Legitimacy theory, and Social Contract theory, while SPSS 25 was used for descriptive analysis. Findings reveal positive relationships between CSR dimensions (Workforce, Market, Society, and Environment Oriented) and sustainability of SME. Specifically, these practices focusing on workforce welfare, market demands, societal welfare, and environmental sustainability exhibit significant positive relationships with SME sustainability. The study emphasizes the importance of SME engagement in CSR practices aligned with these dimensions for long-term sustainability, offering both theoretical insights and practical implications for promoting sustainable business practices in the region.
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