The connection between CSR and competitive advantage, perceived by managers in large accounting firms in Sweden

Abstract: Background to the problem - Corporate Social Responsibility (CSR) has become an attractive attribute in companies, due to pressure to work with the phenomenon (Candy, 2013) and also because of the pressure of competitiveness (Militaru & Ionescu, 2007). CSR has become a strategic issue (Morgan, Ryu & Mirvis, 2009) and some researchers believe CSR efforts could lead to competitive advantage (Filho, Wanderley, Gómez & Farache, 2010; Militaru & Ionescu, 2007; Porter & Kremer, 2006). Managers’ perceptions could influence actions,  organizational behavior and performance within a company (Abbas, 2009; Pedersen, 2010). It is important, for CSR to be exerted in an organization, that managers' perceptions are  supportive (Abbas, 2009; Pedersen, 2010). Managers’ perceptions about the connection  between CSR and competitive advantage has however not been extensively studied in the industry, in which accounting firms are active.   Research problem - What are managers’ perceptions of the connection between CSR efforts and competitive advantage in large accounting firms?   Purpose - Based on managers' perceptions, describe and explore the connection between CSR efforts and competitive advantage in large accounting firms in Sweden. The purpose is also to expand research in the field of how accounting firms themselves are working with CSR.   Method - This study is based upon a qualitative research with an abductive methodologically. In this thesis, five large accounting firms and their managers have been interviewed, both in the local offices and the head offices located in Sweden.    Conclusions - The study shows that managers perceive competitive advantage to not derive from CSR efforts. This because, to work with CSR is perceived as taken for granted and obligatory for the accounting firms to exert. To not work with CSR is perceived by companies to face a huge risk of lagging behind their competitors. It is however suggested to be an  advantage to work with CSR, due to positive outcomes, such as increased image and  reputation and also for attracting and retaining desirable employees.   Implications - By studying how large accounting firms work with CSR themselves and  managers’ perceptions about the connection between their CSR efforts and competitive  advantage, this study contributes to expand previous research, done in the field of accounting firms.    Keywords: CSR and Competitive Advantage; CSR and Accounting firms, Managers’  Perceptions and CSR, Linkage between Competitive Advantage and CSR.