Key Features of Social Responsibility and Business Ethics for Small and Medium Enterprises in Russia

Abstract

This paper investigates how owners and managers of Russian SMEs understand the terms “social responsibility” and “business ethics”. Also key features of SMEs’ responsible behavior are examined. An investigation, which laid the background of the paper, included gathering primary data through 57 in-depth interviews with representatives of SMEs from various industries. Research results indicate a gap that respondents have while identifying a subject of responsibility in their own definitions of social responsibility and business ethics, and in practical activities of their companies. Practically every second respondent identified ethical conflicts in their business practice and was involved in resolving them. This allows to conclude that ethical responsiveness is quite high among owners and managers of Russian SMEs. Socially responsible and ethical behavior of these companies is aimed at achieving long-term strategic advantages for businesses through constant care about customers and employees and fulfilling requirements of legal authorities. Social responsibility of small and medium enterprises in Russia is mostly desultory and related to core businesses of these firms.