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Exploring the Corporate Social Responsibility of Small and Medium Enterprises in the Hospitality Sector
Abstract
The chapter explores corporate social responsibility (CSR) engagement in small and medium-sized enterprises (SMEs) in the hospitality sector, namely primary drivers, barriers, benefits, and challenges. The study emphasizes that CSR is increasingly integrated into strategic frameworks, driven by stakeholder expectations, environmental concerns, and managerial commitment. Key motivators include alignment with the sustainable development goals (SDGs), customer expectations for ethical and sustainable practices, as well as internal values of owners, managers and employees. Limited access to financial and human resources, insufficient awareness of CSR tools and standards, and balancing short-term operational priorities with long-term sustainability goals challenge CSR engagement. Nevertheless, CSR adoption enhances competitiveness, service quality, employee well-being, and stakeholder trust. A case study of a Portuguese luxury resort illustrates how CSR practices are integrated and generate tangible benefits.
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