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Investigating the Impact of Firm Size on Small Business Social Responsibility: a Critical Review

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J. LEPOUTRE ()
A. HEENE ()

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Abstract

The impact of smaller firm size on corporate social responsibility is ambiguous. Some contend that small businesses are socially responsible by nature, while others argue that a smaller firm size imposes barriers on small firms that constrain their ability to take responsible action. This paper critically analyses recent theoretical and empirical contributions on the size – social responsibility relationship among small businesses. More specifically, it reviews the impact of firm size on four antecedents of business behaviour: issue characteristics, personal characteristics, organizational characteristics and context characteristics. It concludes that the small business context does impose barriers on social responsibility taking, but that the impact of the smaller firm size on social responsibility should be nuanced depending on a number of conditions. From a critical analysis of these conditions, opportunities for small businesses and their constituents to overcome the constraining barriers are suggested.

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Paper provided by Ghent University, Faculty of Economics and Business Administration in its series Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium with number 06/396.

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Length: 43 pages
Date of creation: Jun 2006
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Handle: RePEc:rug:rugwps:06/396

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  1. Bucar, Branko & Glas, Miroslav & Hisrich, Robert D., 2003. "Ethics and entrepreneurs: An international comparative study," Journal of Business Venturing, Elsevier, vol. 18(2), pages 261-281, March. [Downloadable!] (restricted)
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  3. Hai Yap Teoh & See Liang Foo, 1997. "Moderating effects of tolerance for ambiguity and risktaking propensity on the role conflict-perceived performance relationship: Evidence from singaporean entrepreneurs," Journal of Business Venturing, Elsevier, vol. 12(1), pages 67-81, January. [Downloadable!] (restricted)
  4. Clemens, Bruce, 2006. "Economic incentives and small firms: Does it pay to be green?," Journal of Business Research, Elsevier, vol. 59(4), pages 492-500, April. [Downloadable!] (restricted)
  5. Nooteboom, Bart, 1994. " Innovation and Diffusion in Small Firms: Theory and Evidence," Small Business Economics, Springer, vol. 6(5), pages 327-47, October.
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  7. Henriques, Irene & Sadorsky, Perry, 1996. "The Determinants of an Environmentally Responsive Firm: An Empirical Approach," Journal of Environmental Economics and Management, Elsevier, vol. 30(3), pages 381-395, May. [Downloadable!] (restricted)
  8. Baumol, William J, 1990. "Entrepreneurship: Productive, Unproductive, and Destructive," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 893-921, October. [Downloadable!] (restricted)
  9. W. Vandekerckhove & N. A. Dentchev, 2005. "Network Perspective On Stakeholder Management: Facilitating Entrepreneurs In The Discovery Of Opportunities," Working Papers of Faculty of Economics and Business Administration, Ghent University, Belgium 05/295, Ghent University, Faculty of Economics and Business Administration. [Downloadable!]
  10. Jonathan P. Doh & Terrence R. Guay, 2006. "Corporate Social Responsibility, Public Policy, and NGO Activism in Europe and the United States: An Institutional-Stakeholder Perspective," Journal of Management Studies, Blackwell Publishing, vol. 43(1), pages 47-73, 01. [Downloadable!] (restricted)
  11. Wennekers, Sander & Thurik, Roy, 1999. " Linking Entrepreneurship and Economic Growth," Small Business Economics, Springer, vol. 13(1), pages 27-55, August. [Downloadable!] (restricted)
  12. Hoang, Ha & Antoncic, Bostjan, 2003. "Network-based research in entrepreneurship: A critical review," Journal of Business Venturing, Elsevier, vol. 18(2), pages 165-187, March. [Downloadable!] (restricted)
  13. Schwepker, Charles Jr., 2001. "Ethical climate's relationship to job satisfaction, organizational commitment, and turnover intention in the salesforce," Journal of Business Research, Elsevier, vol. 54(1), pages 39-52, October. [Downloadable!] (restricted)
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  1. David Gadenne & Jessica Kennedy & Catherine McKeiver, 2009. "An Empirical Study of Environmental Awareness and Practices in SMEs," Journal of Business Ethics, Springer, vol. 84(1), pages 45-63, January. [Downloadable!] (restricted)
  2. Stephen Chen & Petra Bouvain, 2009. "Is Corporate Responsibility Converging? A Comparison of Corporate Responsibility Reporting in the USA, UK, Australia, and Germany," Journal of Business Ethics, Springer, vol. 87(1), pages 299-317, April. [Downloadable!] (restricted)
  3. Sarit Nisim & Orly Benjamin, 2008. "Power and Size of Firms as Reflected in Cleaning Subcontractors’ Practices of Social Responsibility," Journal of Business Ethics, Springer, vol. 83(4), pages 673-683, December. [Downloadable!] (restricted)
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