Corporate social responsibility and small-medium sized enterprises: evidence from Greece

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Abstract

This paper is a qualitative empirical research of Greek Small and Medium-sized Enterprises (SMEs) and examines their dominant perceptions and attitudes towards Corporate Social Responsibility (CSR). The research was conducted in the Region of Western Macedonia, North Greece, via personal interviews based on a structured questionnaire, which was completed by 420 enterprises, with different business functions, and were randomly chosen from local Chamber registers. The results demonstrated that, as Greek SMEs in the periphery have not decided on a particular strategy for Social Responsibility practices, CSR is frequently defined as sponsorship or charity programmes. The research also revealed the restraining factors for SMEs in implementing CSR policies: financial cost, small size of enterprises, absence of specialized partners, and poor supporting role of public authorities. Whereas, the most significant non-financial goals for the enterprises attempting to implement CSR in Greece are: responsibility and respect to customers, promotion of sustainability, environmentally-friendly practices; human resources and protection of rights are less emphasized. Interestingly, more than 80% of the subjects hold that engaging in CSR practices in the current financial context is vital. With regard to the benefits resulting from CSR, the research demonstrated that: Enhancing ‘corporate image’, ‘business performance’, and ‘customer satisfaction’ are significant. Nevertheless, the research highlighted that implementing CSR strategies are rather positively than strongly correlated with the benefits deriving from CSR.

Keywords: Corporate Social Responsibility (CSR), Small and Medium Enterprises (SMEs), Greek enterprises

JEL Classification: A13, L31, M14

Received: 12.12.2017

Accepted: 12.02.2018

Published online: 19.03.2018

How to cite this paper: Pitoska, E., Giannakis, K., Sdraka, D. (2018). Corporate social responsibility and small-medium sized enterprises: evidence from Greece. Journal of Governance & Regulation, 7(1), 40-48. https://doi.org/10.22495/jgr_v7_i1_p3