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There are existing studies that successfully show the impact of corporate social responsibility (CSR) on firms’ financial performance. However, limited attention is paid to its impact on the business ecosystem. CSR could be seen as an investment for building a sustainable business ecosystem, which enhances the competitiveness of this system’s members. In that context, this study apprehends and captures the virtuous cycle of firm competitiveness. On analyzing data from interviews with seven firms, the study offers four propositions identifying the structure of the virtuous cycle linking CSR activities to firm competitiveness through the accumulation of social capital within business ecosystems. Based on those propositions, the study offers new insights into CSR research for academics and strategic planning guidelines for managers that integrate social and economic values for a sustainable business ecosystem and firm competitiveness.

Finding the Missing Link between Corporate Social Responsibility and Firm Competitiveness through Social Capital: A Business Ecosystem Perspective