Corporate Social Responsibility (CSR) and Entrepreneurship: A Conceptual Model

Abstract

Corporate Social Responsibility (CSR) is growing in prominence and importance. Large
businesses such as banks are instituting comprehensive CSR programs that focus on social and
environment concerns. Concurrently, the interest in entrepreneurship is also growing.
Entrepreneurship fosters economic growth, social development, creates jobs and encourages
innovation. Thus far, in the Malaysian context, these two phenomena are developing largely in
isolation. CSR programs that focus on assisting entrepreneurs are absent. Herein lies an
opportunity to synergize and create value. Large businesses, particularly banks, are wellpositioned to assist entrepreneurs gain a foothold in the business world. Banks have the
management expertise, credit facilities and business networks to assist entrepreneurs in an
effective and efficient manner. An overview of neighboring Indonesia reveals several banks
deploying CSR programs that specifically assists entrepreneurs. Institutional Isomorphism Theory
is used to frame and conceptualize this phenomenon. Data collection methodology is document
analysis in a cross-country comparative context. The findings suggest isomorphic tendency and
suitability for Malaysian banks to emulate their Indonesian brethren in instituting CSR programs
tailored to assist entrepreneurs. Specifically, a CSR program targeted at entrepreneurs in
Malaysian night markets is proposed. The proposed CSR program assists this targeted group to
embrace e-commerce, finance business development and adopt other modern business practices.
Conceptually, this proposed CSR program can actualize an “enhanced night market” that is
commercially competitive, socially sustainable and can potentially become international tourist
attractions.