Multi-Level Benefits of Corporate Social Responsibility (CSR) Adoption and the Moderation of Market Competition

Numerous studies have focused on the economic impact of CSR adoption and the financial performance of businesses. However, there are benefits that extend beyond financial performance, such as enhancing corporate image, improving customer relations and boosting employee performance. This research aims to track the impact of CSR adoption in these areas. We use a holistic approach that includes various fields of engagement such as workforce, environment, suppliers, community, market, stakeholders, charities, business values and leadership. Additionally, the research aims to track the impact of market competition as a moderating variable in the relationship between CSR adoption and the anticipated benefits. The study employs a primary quantitative methodology, with a convenient sample via the LinkedIn business platform, consisting of a convenient sample of 568 employees from Greek small and medium-size businesses, that have adopted CSR. Results support existing evidence as they imply that CSR adoption positively impacts corporate image, customer relations and employee performance. Furthermore, we found that market competition moderates this relationship, as, it negatively impacts customer relations, corporate image and employee performance. Findings underscore the diverse benefits of engaging in CSR activities and highlight the necessity for marketing practitioners to include CSR in business practices.