APPLIED ASPECTS OF SOCIAL RESPONSIBILITY IN THE PRACTICE OF SMALL BUSINESS

Abstract

The relevance of the topic determined for the research is due to the growth of interest in Corporate Social Responsibility (CSR) in the context of small businesses. It is driven by corporate social responsibility programmes that may significantly influence the corporate image, its relations with the local communities, and marketability. Small businesses, due to their limited resources, short lifespan, and higher bankruptcy risk, encounter difficulties implementing social initiatives such as ethical and environmental responsibilities, charity, and employees' social security. However, the importance of such measures cannot be underestimated, as they contribute to the sustainable development of business and its relations with society. The paper aims to study the suitability of the implementation of CSR programmes in small business ventures using the example of Busk Raion, Lviv Oblast. The article investigates how small business managers understand corporate social responsibility, which forms of its implementation are most common and efficient, and what challenges the entrepreneurs face while implementing such initiatives. The research covers various forms of responsibility, including internal, external, charity, environmental measures, and social security. The survey found that most respondents share a positive attitude towards social responsibility, although only an insignificant amount have a clear understanding of corporate social responsibility standards. The main types of corporate social responsibility among small enterprises are those, aimed at addressing internal issues in the business environment, in particular, improving working conditions and social security. However, significant efforts are focused on supporting local communities through charity, donations to the Armed Forces of Ukraine, and other social initiatives. The majority of surveyed business executives believe that their businesses should bear social responsibility but comment that resource constraints significantly limit their ability to implement wider programs. Therefore, the study observed that CSR is a principal aspect of small business operations. At the same time, hardships are detected in implementing social responsibility programmes, primarily due to limited resources. The research found that most entrepreneurs understand the importance of social initiatives for the development of businesses and local communities. Conclusions are made regarding the necessity for further expansion of socially responsible practices in small businesses, inter alia, through philanthropy approaches, improvement of working conditions, and revitalization of environmental initiatives. The paper emphasises the need for awareness rise among small business managers regarding international standards of corporate social responsibility and stronger support for small enterprises from the state and other interested parties for effective implementation of identified corporate social responsibility programmes and their performance in a systematic manner.