Open AccessThe Corporate Social Responsibility Orientation of Chinese Small and Medium Enterprises
Author(s) -
Hongxia Liu,
Michelle Wye Leng Fong
Publication year - 2010
Publication title -
journal of business systems, governance and ethics
Language(s) - English
Resource type - Journals
ISSN - 1833-4318
DOI - 10.15209/jbsge.v5i3.187
Subject(s) - corporate social responsibility , business , profitability index , sustainability , revenue , quality assurance , quality (philosophy) , accounting , investment (military) , social responsibility , industrial organization , marketing , business administration , finance , public relations , ecology , philosophy , epistemology , political science , biology , service (business) , politics , law
This paper examines the Corporate Social Responsibility(CSR) orientation of Chinese Small and Medium Enterprises (SMEs) based on their internal functions, including training, job creation, quality assurance and environmental sustainability. In addition, it also examines the relationship between their CSR orientation and firms’ financial performance. Despite SMEs’ participation and investment in training, job creation, and environmental sustainability, their involvement and action have not produced a statistically significant positive relationship with their financial performance (as measured by profitability and sales revenue). The only CSR-oriented activity that registered a statistically significant positive impact on financial performance was quality assurance.