A theological-ethical evaluation of corporate social responsibility practices on SMEs in Limpopo Province

Abstract

This research investigated the influence of biblical ethics on Corporate Social Responsibility (CSR) practices of Small and Medium-Sized Enterprises (SMEs) in Limpopo Province, South Africa. Amidst increasing interest in CSR practices as a business strategy and a social responsibility, the research examined how biblical ethics can guide and facilitate Limpopo Province SMEs in embedding ethical values in their businesses while responding to the needs of their immediate society. The research was motivated by the recognition that CSR practices in African contexts, particularly among SMEs, are substantially under-researched, even from a theological and ethical perspective. The purpose of this research was to investigate the phenomenon of biblical ethics in relation to CSR practices among SMEs in Limpopo Province. The research aimed to determine the extent to which CSR practices are viewed by SME owner-managers as both a moral and business imperative. It examined whether a relationship exists between theological ethics and CSR practices, grounded in ethical principles, in the promotion of ethical leadership. A mixed-methods approach was employed, following an exploratory sequential design, based on a pragmatist paradigm. Data saturation was achieved with 10 participants in Phase 1 of qualitative interviews (using purposive sampling), and seven broad themes emerged: understanding of biblical ethics in CSR, CSR practice engagement, community impact and needs, ethical leadership development, CSR communication, perceived benefits of CSR, and CSR as a tool for curbing corruption. Phase 2 involved a quantitative survey of 200 SMEs, yielding 136 positive responses, a response rate of 68% (achieved through systematic sampling), after statistically testing these themes. Descriptive and inferential statistics were used to analyze the data. For example, the understanding of biblical ethics in CSR (M = 4.20, SD = 0.61) and community impact and needs (M = 4.30, SD = 0.58) stood out as significantly higher, indicating that ethical values and community sensitivity are strongly integrated into SME operations. The research findings showed high congruence between qualitative and quantitative strands. SMEs unanimously indicated that biblical ethics inform CSR decisions, underpin ethical leadership, and maximize community impact. Quantitative findings validated high agreement on the compatibility of profitability and ethics, CSR as a tool to combat corruption, and the long-term sustainability of CSR programs. Theologically, the research validated that CSR practices are congruent with biblical imperatives of justice, fairness, stewardship, transparency, and perseverance. This research adds to CSR scholarship by embedding theological ethics into mainstream CSR theory and practice. It built on the literature by showing how SMEs in a developing context embed biblical values into CSR, thereby taking the CSR debate beyond economic and stakeholder interests. Practically, the research provided insights to SMEs, policymakers, and faith-based organisations on developing and implementing CSR initiatives that are theologically and ethically grounded.