MEDIATING FACTORS FOR THE ADOPTION OF CORPORATE SOCIAL RESPONSIBILITY GUIDELINES IN EMERGING BUSINESSES

Abstract

A survey was conducted in order to identify factors that affect the adoption of corporate social responsibility (CSR)
guidelines and principles in business enterprises operating in the Greater Tshwane geographical region of South
Africa. Data was collected from a stratified random sample of 420 SMMEs by using a structured questionnaire of
study. Structural Equations Modelling was used for identifying influential predictors of adoption of ethical principles.
The study found that 369 of the 420 businesses in the study (87.86%) were adequately aware of CSR guidelines and
principles, whereas the remaining 51 of the 420 businesses (12.14%) were not adequately aware of CSR guidelines
and principles. The results showed that the adoption of CSR guidelines and principles was significantly influenced by
profitability of business operation, the duration of business operation and ownership of business. Businesses that
were operated by respondents who were adequately aware of CSR guidelines and principles were operated by
entrepreneurs who were relatively more educated, older in age and well experienced in conducting business. Such
businesses were operated mostly by men, and employed 3 or more employees in their businesses.