Exploring the influence of size and geography on SMEs’ and large corporations’ CSR practices in Hungary and in Sweden when facing financial shortage

University essay from Jönköping University/Internationella Handelshögskolan

Abstract: Background: CSR has become an integral part of most businesses during the years, however, it has not necessarily happened by choice for every company. Stakeholders have become aware of the negative impact ofcorporations’ operations and actions on the planet and on society, consequently, they started to pressure companies to be more responsible when conducting business. However, facing financial shortages might interfere with the accomplishment of these practices and corresponding activities. Furthermore, as differently sized and differently located companies might practice CSR in a different way, size and geographical location might also have an influence on these CSR practices and activities. Purpose: The purpose of this research is to explore the influence of size and geography on CSR practices and activities adopted by SMEs and large corporations in Sweden and in Hungary when facing shortage in their financial resources. Method: In order to achieve the purpose, a qualitative research method has been used. Multiple case studies were conducted with two Hungarian SMEs, a Hungarian large enterprise, a Swedish SME and a Swedish large firm. The empirical data was collected with the help of semi-structured interviews as well as data from corporate websites, annual reports, sustainability reports and social media. Conclusion: The results of this thesis show that the approach each company takes to practicing CSR seems to influence all of their activities. The size of the company appears to influence fewer practices, while geography comes across as having the least influence among these factors.

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