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Corporate Social Responsibility supporting SMEs: Lessons Learned from Egypt

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  • Dina el Kayaly

    (Penn State University)

Abstract

Importance of the topic Corporate Social Responsibility (CSR) gained momentum in Egypt during the past decade, yet its impact seemed to be limited. This study provides a closer look on why and how is CSR practiced in Egypt, the challenges encountered, and possible improvement of CSR practices. The study presents a set of recommendations for using CSR as a catalyst of development in an emerging market. The objective of the article There is a fundamental gap between Western CSR theory and practice, and what is essentially happening in Egypt. CSR in Egypt is perceived as a long-standing charitable voluntary practice based on religious beliefs. Modern corporate concept of CSR was a spillover of Multinational Enterprises (MNEs) in Egypt in the beginning of the millennium. The purpose of this research is to identify the CSR dynamics that can help in development in an emerging market such as Egypt. Methodology To serve the purpose of this study a series of qualitative, semi-structured in-depth interviews were conducted with ten members of the CSR community in Egypt. Findings The interviews revealed several weaknesses in the current practice such as the lack of CSR vision, the lack of a CSR partnership model with SMEs, and that CSR is being used primarily as a Marketing Public Relations (MPR) tool. Practical Implications The researcher concluded with a series of recommendations suggested by interviewees proposing better cooperation between different stakeholders, and investing less in charitable activities, and more in development programs for the Egyptian emerging market. By giving importance to the development of SMEs, the effective partnership between big and SMEs companies regarding the CSR programs become very crucial too emerging Egypt. Social Implications An in-depth understanding of the CSR practices and gleaning insights will help policy makers in promoting sustainable practices by integrating social and environmental activities as well as economic aspects.

Suggested Citation

  • Dina el Kayaly, 2014. "Corporate Social Responsibility supporting SMEs: Lessons Learned from Egypt," Working Papers 2014/25, Maastricht School of Management.
    • Handle: RePEc:msm:wpaper:2014/25
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    References listed on IDEAS

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    1. Dima Jamali & Ramez Mirshak, 2007. "Corporate Social Responsibility (CSR): Theory and Practice in a Developing Country Context," Journal of Business Ethics, Springer, vol. 72(3), pages 243-262, May.
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    Keywords

    CSR community; CSR practices; competiveness; emerging markets;
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