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In international business, many
enterprises around the world already used CSR as a tool in the strategy of
their business to meet the expectations of stakeholders such as consumers, the
media, public expectations, non-governmental organizations, through which
building the good image of the company (Lai, 2010). By participating in CSR
activities, companies can increase the reputation and make a difference for
their brand (Cretu and Brodie 2007, Gardberg and Fombrun 2006, Godfrey 2005,
Hillman and Keim 2001), enhancing influence in society (Jamali and Mirshak
2007, Muller 2006, Steiner 1980), increasing efficiency and cost savings in the
supply chain (Husted and Allen 2007, 2009, Asongu 2007, Patton 2009) (Park,
2015). With the application of CSR, companies at the same time can achieve
their business goals and promote social welfare (Jamali and Mirshak 2007;
Porter and Kramer 2006) (Park, 2015). According to Berrone (2007), companies are reported to have
efforts on active improvement for the environment will be the growth in the
stock price, and vice versa for businesses that adversely affect the
environment (Flammer, 2013).
Stanwick (1998) and Brammer Pavelin (2006) argued that because large
corporations tend to get more public attention, they often want to participate
in CSR more actively (Tiago, 2011). This idea is demonstrated by Waddock and Graves (1997),
pointed out the empirical evidence that suggested big companies tend to be more
proactive in social responsibility initiatives than small businesses (Tiago,
2011). In fact, small
and medium enterprises are often judged less likely to use CSR tools than large
firms, there are no official CSR departments and/or do not participate in
public CSR reports (Spence and Lozano, 2000; Jenkins, 2004, Murillo and Lozano,
2006 Morsing and Perrini, 2009) (Lund-Thomsen, 2014). Besides, for the stability of an
enterprise/organization, CSR also has two other important roles: First, CSR is
a rating criterion for investors to consider when deciding whether to
contribute capital for the company or not. Second, young members of the labor
force, in particular, have grown up in an age where environmental awareness and
responsibility have been thoroughly educated, so commitments and actions show
responsibility. Therefore, the company’s mission to the environment and nature
will be an important part of motivating them to join the organization. (Hill,

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