Recognizing the rising importance of Corporate Social Responsibility (CSR), GKI Economic Research Co. made a research about the stage and development of Hungarian CSR market involving more than 1500 domestic enterprises. The research – which was prepared at the end of 2008 – dealed with several issues…
Short description of the project
Recognizing the rising importance of Corporate Social Responsibility (CSR), GKI Economic Research Co. made a research about the stage and development of Hungarian CSR market involving more than 1500 domestic enterprises. The research – which was prepared at the end of 2008 – dealed with the following issues:
- is CSR known and acknowledged in Hungary?
- what do various companies consider Corporate Social Responsibility?
- what is the motivation of Hungarian enterprises to take social responsibility?
- how can the CSR be built in the corporate function?
- how does CSR influence the expenditures?
- is it needed to communicate the CSR activity?
The answers of the enterprises indicated that the concept of CSR is known mostly by the biggest companies, but its practical tools (first of all the different activities) are potential purposes of all firms. We measured balanced CSR activity just at one fifth of the answering companies, as the most organizational practice concentrate mainly on environmental or economical issues and let handling of social aspects on the HR department.
The domestic companies spend money primarily on inner CSR aims, because they think these actions have bigger and more direct effect on the firm's performance and their long-term efficiency than the initiations aiming broader circle. The service of inner corporate interests and realizing financial and competitive advantages are the most important motivations of Hungarian enterprises.
Despite of the above mentioned the most Hungarian companies value their own CSR activity positively. They think that their communication regarding CSR is quite moderate. Comparing CSR expenditures and communication it is noticeable that companies which spend specifically the most money on CSR are advertising it not so active than some companies where CSR is regarded as a kind of marketing issues.
Research methodology
We made more than 40 interviews with the biggest companies in Hungary, where we made inquiries about their own CSR explanation, practice and strategy. In our research we analyzed the experiences of the companies and defined the Hungarian Corporate Responsibility Model. As a part of the study, we summarized the most important results of the Hungarian and international CSR analyses and reports. This resume aims to present the changes that took place on the judgement of CSR during the last years.
Our research provides broad insight on the Hungarian CSR market and can help forming a corporate CSR strategy through understanding the motivations of stakeholders. The study aims to be a benchmarking tool that supports the assessment of the own practices. It is also suitable for realization of marketing communication purposes.
