Corporate Social Responsibility (CSR) is a subject that divides academic opinion. The current literature on the\nsubject provides a dichotomy of views from the perspective of supporters who argue that businesses do well by doing\ngood. Critics, from mainly the free enterprise movement, argue that CSR is ââ?¬Ë?just a fadââ?¬â?¢ and that by diverting valuable\nresources into activities that have no direct bearing on a companyââ?¬â?¢s bottom-line is unscrupulous and unprincipled.\nThere is also the argument that CSR engagement place undue burden on SMEs in Africa that can ill afford them while\nprotecting foreign companies.\nThe cost associated with the phenomenon is one of the key reasons for the current position which is also not helped\nby the lack of scientific measurement of the impact of CSR engagement on a companyââ?¬â?¢s performance. However, there\nis evidence from CSR literature which supports the view that there are long-run benefits for companies adopting CSR\nstrategies including enhanced reputation, enhanced staff loyalty and cost savings.\nThis paper argues that there is a strong business case for CSR engagement by SMEs in developing countries in\nspite of the associated costs and concludes that CSR engagement enhances SMEs in developing countriesââ?¬â?¢ social,\nenvironmental and financial performance.
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