Social responsibility practices by SMEs at the bottom of the pyramid

Abstract

Purpose – The purpose of this research to provide insights into the underresearched\narea of social responsibility practises by SMEs at the bottom of the\npyramid (BOP).\nDesign/methodology/approach – Drawing from the literature, the research\nexpands and builds on the previous work of Spence and Gilligan in explaining\nthe daily activities of owner-managers with respect to CSR at the BOP. Also the\nlink between ethic of care and CSR practises by SMEs at the BOP is\nestablished.Findings – The ethic of care and the owner-manager’s values are the main\ndrivers of CSR at the BOP. Due to scarce resources, most of the CSR initiatives\nare linked to the core of the business. CSR is not used as a strategic\ncompetitive advantage business model. Also the CSR initiatives do not come\nfrom external pressure such as stakeholders, but are internal at a human level.\nThe CSR practices are not linked to the bottom line; self-satisfaction is the\nultimate price.\nOriginality/value – Given the limited literature on the social responsibility\npractices of by SMEs at the BOP, this research makes a contribution to\nincreasing the understanding of CSR initiatives by SMEs at the BOP, as well as\nto the BoP literature in general.Practical implications – The paper concludes by outlining the implications for\nmanagers, policy-makers, and stakeholders, and advancing the agenda of\nsocial responsibility for future research in the fields of both the BOP and SMEs.

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