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Transformative Governance: How CSR Practices Drive Innovation and Resilience in SMEs

Transformative Governance: How CSR Practices Drive Innovation and Resilience in SMEs
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Author(s): Sónia Calado (University of Aveiro, Portugal)and Cláudia Miranda Veloso (University of Aveiro, Portugal)
Copyright: 2026
Pages: 38
Source title: Reshaping Socially Responsible Business Practices in Small and Medium Enterprises
Source Author(s)/Editor(s): Mariana Petrova (St. Cyril and St. Methodius University of Veliko Tarnovo, Bulgaria)
DOI: 10.4018/979-8-3373-3805-7.ch006

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Abstract

In a world marked by systemic crises and rapid change, small and medium-sized enterprises (SMEs) are expected to act not only as economic players but also as forces for social and environmental change. This chapter examines how integrating Corporate Social Responsibility (CSR) into SME governance becomes a driver of innovation and resilience. CSR is framed as a core strategy for decision-making, stakeholder engagement, and adaptability. Drawing on five international case studies, from Spain, Italy, the United States, and Sweden, it provides evidence that CSR-led governance creates competitive advantages. Through examples like pandemic response, stakeholder-focused design, and sustainable innovation, the chapter outlines how SMEs can help shape, not just respond to, their environments. It offers comparative insights and practical recommendations to promote a shift from compliance to conviction, and from risk mitigation to regenerative value creation.

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