The Effects of Corporate Social Responsibility on South African Small, Medium and Micro Enterprises (SMMEs).

Abstract

Corporate social responsibility (CSR) has become increasingly important to the competitiveness of small, medium and micro-sized enterprises (SMMEs). A positive relationship between the CSR activities of SMMEs and their enhanced competitiveness exists, at least if a long-term perspective is adopted. Despite the widespread practical and academic interest in CSR and its impact on the competitiveness of SMMEs, few theoretical and empirical contributions could be found. The main objective of this study was to highlight the CSR activities in South African SMMEs and their effects on the society as well as challenges faced in implementing these CSR activities. A structured, self-administered questionnaire was distributed to 260 SMME respondents. The respondents were identified by means of a purposive sampling technique, while the data was collected from 224 usable questionnaires. The results of the study indicated that adopting CSR techniques by SMMEs increases their competitiveness on the market. The outcomes of this study might assist SMMEs to effectively and responsibly administer their activities to increase their competitiveness.