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The Diffusion of Voluntary ISO 26000 among SMEs: Evidence from Taiwan
Abstract
Businesses are under the increasing pressure to demonstrably engage in social responsibility (SR). Following the demand, the International Standard Organization developed ISO 26000 for SR. small and medium enterprises (SMEs) are dominant in contributing to GDP. The relationship between SMEs and SR is still elusive. The purpose of this paper will be aimed at how SMEs will adopt ISO 26000 under what circumstances. We determine a set of hypotheses about diffusion of ISO 26000 and examine it empirically. We provide a better understanding of the cognition-behavior gap while “doing good”. SMEs think that SR was Philanthropic responsibility, but strive for their subsistence as their top priority of strategy decisions. However, the impact of multinomial company and government are not decisive. Finally, SMEs take SR practices into consideration when evaluating stakeholder, they are more likely to adopt ISO 26000. Thus, SMEs must feed themselves with their own words and grow.
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