Corporate Social Responsibility as a Strategic Management Tool: A Comparative Case Study Between Yalla Trappan and The Vegan Bar

Abstract: Abstract Purpose First, this study aimed to explore the development of CSR as a discourse and theoretical concept from the 1950’s until today. The purpose of this was to generate insights into how CSR agendas have changed over time and to better understand where it is today. The second aim was to better grasp the business-societal dynamics and implications of CSR as a practice today, so we conducted a comparative case study of two local SMEs. Methodology Adopting an exploratory and comparative case-study strategy, CSR as a strategic management tool was analyzed using a qualitative research design. The empirical findings in this study arose from the literature reviewed, as well as from the qualitative data collected through purposefully selected companies and interviewees. Findings: Literature review CSR has evolved from a normative and moral perspective in the 1950s, shifting to a strategic CSR perspective in the 1990s. There has been a gradual reversion to the normative moral ideas of CSR, such as for the social responsibilities and obligations of businesses. Nevertheless, with the acknowledgement that businesses and society live in symbiosis, continuously affecting each other, the discourse of CSR has more recently been coupled with strategy. Businesses also have to actively attend to their stakeholders as there is a positive association between managing relations with key stakeholders and firm performance, specifically for SMEs. Findings: Case studies Yalla Trappan is a small business focusing on providing work opportunities and employment for marginalized women in Rosengård, Malmö. The Vegan Bar focuses on serving the vegan community in Malmö, and its strategy and business operations focus on providing the public with what is missing, as well as focusing on contributing to a more sustainable future. Both business models are innovative and value-creation focused businesses, where they have gained a competitive advantage because of their CSR-oriented business strategies. Furthermore, we found that Yalla Trappan and The Vegan Bar have adhered to the principle of shared value - creating both financial and societal value. Limitations: The main limitation lies in the fact that of only having studied two SMEs for a short period of time; we are cautious about drawing overarching generalizations for CSR as a business management tool in SMEs. We are merely able to shed light on this complex issue. This thesis is, additionally, built upon our own perceptions and values, and that of our interviewees. Therefore, this means that the results are subjective to our own understanding of CSR and what it entails.