Revista Científica Interdisciplinaria Investigación y Saberes

2022, Vol. 12, No. 1 e-ISSN: 1390-8146

Published by: Luis Vargas Torres Technical University

How to cite this article (APA

): Mackay, C., Mackay, R., Poveda, G. (2022) Social

Responsibility in small and medium-sized companies in Guayaquil, Revista Científica

Interdisciplinaria Investigación y Saberes, 12(1) 123-141

Social Responsibility in small and medium-sized companies in Guayaquil

Responsabilidad Social en pequeñas y medianas empresas de Guayaquil

Clarkent Rubén Mackay Castro

Ph.D, University of Guayaquil, Ecuador, Guayaquil, ruben.mackayc@ug.edu.ec, ORCID: 0000-0002-2657-

2168

Rubén Mackay Véliz

MBA, Instituto Tecnológico Bolivariano, Ecuador, Guayaquil, rmackay@itb.edu.ec, ORCID: 0000-0001-

9272-3991

Guido Poveda Burgos

MBA, University of Guayaquil, Ecuador, Guayaquil, guido.povedabu@ug.edu.ec, ORCID: 0000-0002-2158-

6923

Competition among companies, due to their eagerness to

corner the market, generates fluctuations that are perceived in

the global economy and social development, this research work

focuses its objective on analyzing social responsibility in small

and medium-sized companies in the city of Guayaquil,

methodologically a mixed approach was used that involves the

different stakeholders, being the economic results a strategy of

the company, demonstrating consistency in the behavior of

social responsibility. It is concluded that the responsibility

generated from small and medium enterprises in Ecuador seeks

to generate an impact that modifies social conditions from the

territory where they are located, in addition to the set of

provisions that exist in the country to manage this type of

corporate social responsibility.

Abstract

Received 2021-05-02

Revised 2021-09-11

Accepted 2021-10- 21

Published 2022-01-04

Corresponding Author

Clarkent Rubén Mackay

Castro

ruben.mackayc@ug.edu.ec

Pages: 123-141

https://creativecommons.or

g/licenses/by-nc-sa/4.0/

Distributed under

Social Responsibility in small and medium-sized companies in Guayaquil

Revista Científica Interdisciplinaria Investigación y Saberes , /2022 / , Vol. 12, No. 1

128

Keywords:

social responsibility, business, social development,

stakeholders

Resumen

La competencia entre las empresas, por su afán de acaparar el

mercado, genera fluctuaciones que se perciben en la economía

mundial y el desarrollo social, el presente trabajo de

investigación centra su objetivo en analizar la responsabilidad

social en las pequeñas y medianas empresas de la ciudad de

Guayaquil, metodológicamente se empleó un enfoque mixto

que involucra a los diferentes stakeholders, siendo los

resultados económicos una estrategia de la empresa,

demostrando consistencia en el comportamiento de la

responsabilidad social. Se concluye que la responsabilidad

generada desde las pequeñas y medianas empresas en Ecuador

buscan generar un impacto que modifique las condiciones

sociales desde el territorio donde se encuentran ubicadas,

además del conjunto de disposiciones que existe en el país para

gestión esta tipología de responsabilidad social empresarial.

Palabras clave:

Responsabilidad social, empresas, desarrollo social,

stakeholders

Introduction

The continuous fluctuations in the world economy, which are reflected

in increased competition among companies to capture a significant

market share, force them to seek mechanisms that can guarantee it.

Today, the role of interest groups related to companies exerts strong

pressure, they are influential and demand from them a commitment

to existing social and environmental problems.

This greater demand and commitment to society, which practically

translates into a reciprocal relationship, finds in Corporate Social

Responsibility (CSR) a form of retribution. Although even in Ecuador,

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socially responsible practices have not reached the level of

importance required and practiced in other latitudes. It is even

confused with philanthropic actions.

CSR goes beyond that. It is a continuous relationship with society at

all levels. It is a process that involves all stakeholders and should be

part of the strategic planning of the companies that develop it.

Those that do not do so will be charged by society itself, surely with

dire consequences for their survival. Solano (2016) states that

"business sustainability is directly related to a good management of

the environment, which is reaffirmed by the fact that capital markets

in the world reward or punish, as appropriate, the management of the

environment in which the company develops".

Today's companies demand a high development of competencies in

the process of production and marketing of their services, which

entails even greater commitment and responsibility to society, the

environment, culture, education, which are demands from customers

who are looking for companies that have these responsibilities and

help make favorable decisions and the post development of the

country.

Likewise, companies, faced with the challenge of these demands,

seek to generate benefits that transcend in the organization as a

whole and in the stakeholders, since the fundamental objective of

companies is to generate the greatest profit in all dimensions,

stimulating the internal and external growth of the organization.

The objective of the research was to analyze social responsibility in

small and medium-sized companies in the city of Guayaquil.

The methodology applied was a mixed approach of exploratory and

descriptive types with an inductive method, taking as a sample 761

premises in the city of Guayaquil, using observation and survey as

collection methods.

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Social responsibility is an area of study of utmost importance, not only

because it is a business trend of the 21st century for the

implementation of sustainable economies that ensure long-term

sustainability, but also because its content is so extensive that new

processes, mechanisms and different ideologies that can be applied

in this discipline are appearing all the time. Perez, (2016).

CSR can be understood as a set of behaviors that transcend the purely

individualistic and immediatist actions, the latter seeking to satisfy in

the short term a need or desire that brings only a selfish benefit.

Therefore, the core of CSR is determined by the ability to create new

facts that promote with impetus a better quality of life to create a

great social environment, this quality being understood as the

improvement of dignity and respect for human beings, as well as the

constant struggle to defend their fundamental values such as

freedom, solidarity and the environment that surrounds them.

There is no doubt that nowadays many companies have adapted their

processes with the necessary conditions to compete according to the

demands posed by the market, they have also generated changes

that can be related to the internationalization of economies, which

aim day after day a solid growth of the sector to which the

organization belongs as well as of it in particular; likewise, they seek

the development of a business environment permeated in great part

-if not in its entirety- by technology as an efficient and effective

instrument for the development of the corporate purpose, the main

purpose of the organization.

Although in the business environment there are many differences

between organizations, it is clear that all companies have a common

purpose, which was born with them and has been maintained over

the centuries; this is aimed at generating wealth for those who are

part of them or have a direct or indirect relationship with them; For

this reason, an organization that has not been created, structured and

empowered to achieve success does not exist and can hardly be

conceived; proof of this is the constant search to generate in each

Social Responsibility in small and medium-sized companies in Guayaquil

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process the necessary tools to compete without fear with the other

entities that fiercely intervene in the market.

Corporate Social Responsibility (CSR) is an issue that has become

particularly important in recent decades. This importance has been

reflected in an international context by the proliferation of regulations

and indexes whose main objective is to establish patterns in which

companies disclose information on practices related to CSR.

(Valenzuela, Jara & Villegas, 2015, p. 330).

Antelo & Robaina (2015) argue that "corporate social responsibility is

the ongoing commitment to contribute to sustainable economic

development, improving the quality of life of employees and their

families, as well as that of the local community and society in general"

(p.59). A socially responsible company is one whose managers and

owners are aware of the effect that the organization's operations can

have both inside and outside the company. To this, Henríquez &

Orestes (2015), add that "CSR does not intend that the members of

an organization act ethically, but that the company promotes this

value and makes it part of its organizational culture." (p.18)

In this line it should be noted, that CSR is not only focused on

generating added value or obtaining better financial results, but

additionally engages in its atmosphere internal stakeholders such as

employees and shareholders, and external stakeholders such as

customers, suppliers and distributors, considers that economic

performance allows a company to grow, the management of its

processes and its transparency allow it sustainability, i.e. existence

over time (Henríquez & Oreste, (2015).

CSR practices and the academic development of everything related

to social responsibility and sustainable development have become

increasingly important. Henríquez & Oreste (2015) point to a notable

increase in the recognition of CSR practices in society in general.

Terms such as ISO standards, green footprint, sustainability report,

among others, are increasingly used by companies worldwide. In the

mid-20th century, Cutlip & Center (as cited in Preciado, 2015) put

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forward proposals based on studies on CSR, stating that the

environment constitutes the social suprasystem of all organizations,

which must adapt to it in order to be able to endure over time, while

pointing out the importance of dialoguing with the different publics

to reach an understanding that can be maintained in the long term.

Social responsibility is very important for companies to succeed in

business in the long term, as responsibility in recent years has taken a

turn in business, the same entrepreneurs are the ones who express

that the ethics of business has evolved by getting involved in the

balance sheets of social concerns of people. The term social is an

important to achieve a better understanding of CSR as it goes beyond

integrity.

Another important aspect of CSR is the preservation of the

environment, in order to improve the use of natural resources, trying

to implement renovation, reuse and recycling, and also to reduce

waste.

Materials and methods

The research design will have a mixed approach, as it involves the

combination of both qualitative and quantitative methods. The

qualitative approach used data collection without numerical

measurement to discover or refine research questions in the process

of interpretation; and, the quantitative approach used data collection

based on numerical measurement and statistical analysis, to establish

patterns of behavior and test theories (Hernández, 2015, p. 86).

During the research process, the qualitative approach was aimed at

describing the theoretical and normative references on corporate

social responsibility and current SME companies in the city of

Guayaquil, while the quantitative approach implemented the use of

methods and techniques to quantify the opinions obtained from the

application of the survey to SME entrepreneurs in the city of

Guayaquil.

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Exploratory. It will allow to know with clarity the opportunities and

strengths of the Pymes entrepreneurs in the city of Guayaquil.

Beginning with basic research that formulates and evaluates theories

that allow to explain the social responsibility that exists in each SME

in the city of Guayaquil.

Descriptive. It will help to perceive all the characteristics of the

functions that are developed in the social, economic, political and

cultural environment, referring to the social responsibility of SMEs in

the city of Guayaquil, in order to deepen the objective knowledge of

the problem subject of the research and describe it as it occurs in

reality, in a given time and space, involving people, facts, processes

and their relationships.

It will allow the researcher to select the notion of the real facts to

follow an order and obtain truthful and timely information, about the

social situation that limits social responsibility and the way it

influences the application of SMEs entrepreneurs in the city of

Guayaquil.

The population to be considered for the collection of primary

information is determined to be the owners or managers of SMEs in

the northern sector of the city of Guayaquil. Therefore according to

data from the National Institute of Statistics and Census (2017), it is

identified that in the city of Guayaquil there are about 4145

companies engaged in commercial and service activities of the same

40% represent the northern sector danto a total of 1658 premises.

Having this amount is considered the realization of the finite formula

which is detailed as follows

For the calculation of the sample size, the formula for the infinite

population will be used.

𝒏 =

𝒁

∗ 𝑷 ∗ 𝑸 ∗ 𝑵

𝒆

(

𝑵 − 𝟏

)

+ 𝒁

∗ 𝑷 ∗ 𝑸

Z = Confidence level 97% (2.25)

p = Probability of success 50% (0.5)

q = Probability of failure 50% (0.5)

Social Responsibility in small and medium-sized companies in Guayaquil

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134

e = Margin of error 3% (0.03)

N= Population

𝒏 =

!"!#

𝟐

$%&#$%& #$'&(#)

%&%+

𝟐

'(#)-'

.!"!#

𝟐

$%&#$%& #

𝒏 =

!%/)"0%(!#

!"1#(/!#

𝒏 = 𝟕𝟔𝟏, 𝟏𝟒

When calculating the finite sample, the surveys will be carried out in

761 stores located in different points of the northern sector of the city

of Guayaquil.

The data collection methods employed, in the first place, will be direct

observation, through analysis and descriptive study carried out by the

researcher, using his own skills to identify the relevant facts as

presented in the data obtained from official agencies that provide

information. On the other hand, surveys will be used as a descriptive

research instrument to obtain information from a selected sample,

through the application of a questionnaire with closed questions

(Hernández, 2014, p. 96).

Results

Research has shown that when a company adopts a socially

responsible attitude, CSR ceases to be an "added expense" that

reduces the efficiency and effectiveness of organizations and

therefore their economic results, and becomes a strategy that vitalizes

and boosts the organization's growth.

Based on the theoretical development OSPINA & SOTELO, (2013), it

is important to expose the different benefits that are perceived by the

Stakeholders when they interact directly or indirectly with an

organization that is socially responsible. The following table is

detailed below:

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Table 1.

Benefits perceived by Stakeholders

Stakeholders

Benefits

Employees

They are treated with respect and honesty.

They receive decent working conditions.

Development of their work skills and abilities.

Continuous motivation for the performance of

their work.

Efficiently meet economic and material

expectations.

They receive with security and as a

fundamental right the means to subsidize

food, health, education and clothing.

Learning and growth of personnel in different

areas: human, intellectual, sports, cultural.

Development of culture and access to

recreation.

Occupational safety.

Decent and fair wages.

Equitable opportunities and possibilities for

labor and human growth.

Balance between work and family life of each

employee.

Economic incentives that optimize the quality

of life of workers and their families.

Job stability.

Zero discrimination on the basis of sex, race,

or religious beliefs.

Shareholders

Increase in the profits they receive as

remuneration for their investment.

Growing companies with a good name in the

market.

Workers with a sense of belonging.

High competitiveness in the market.

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Customer growth.

Environment

Care and respect for the environment.

Conservation and continuous improvement of

nature.

Carrying out programs or processes that

legalize their environmental actions.

Use of technological tools that optimize

processes in the organization to generate

clean production.

Development of processes that generate

environmental sustainability.

Customers

Products and services with the highest quality.

Fair price.

An adequate treatment and with all the

necessary guarantees.

Assurance that the companies they buy from

are legitimate companies, with a positive

image and good recognition in the market.

Reliability at the time of purchase in relation to

the contribution of the selling company to

society and the environment.

Recognition of customer loyalty.

Suppliers

I deal with respect and honesty.

Sale of raw materials at a fair price.

Timely remuneration in relation to the agreed

terms.

Adequate and equitable contracting

processes.

Governmental

or control

entities

They receive timely and fair payment of their

taxes.

Compliance with traffic regulations, labor

regulations, environmental regulations, in

general.

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Satisfactory fulfillment of obligations by the

company

Community

Improvement in the quality of life of society in

general.

Respect for fundamental rights.

Protection of natural resources.

Development of a just and dignified life, with

quality

Source: OSPINA & SOTELO, (2013).

According to the author, the benefits that each stakeholder receives

for each company that has or maintains a corporate social

responsibility "CSR", receive benefits in sales, contributions to the

state, improving the quality of their products more efficient and with

favorable quality standards, not polluting the environment,

community support, improving the situation of each employee and

suppliers.

The criteria developed in the social responsibility of the businessmen

of the city of Guayaquil was taken into consideration in the research

supported by theoretical foundations, likewise the importance of the

stakeholders as a system was considered due to the fact that each of

the stages that integrate it interrelate with each other to benefit any

type of organization.

However, the collection of this type of information (CSR) becomes a

bit complex, since companies consider it in some cases confidential

or in others, since the law does not require the presentation of it, they

are not interested in reflecting it, and currently it is of utmost

importance that companies not only seek to be productive, but linked

to the proper development of the social purpose, be inclusive with

the different individuals or groups that may be tied to the

organization.

The commitment to be socially responsible transforms the outlook of

organizations, making them aware of the high degree of responsibility

they have towards their employees, the environment and society.

Their interests will no longer be aligned only by the continuous search

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to create purely monetary wealth, it becomes evident that wealth is

built in conjunction with the satisfaction and sustainable welfare of the

company, society and the environment, which is why RES practices

must be reflected whether they are mandatory or not, so that the

company can demonstrate that its organizational objectives are not

far from the interests of the different stakeholders with whom it

interacts.

Every SME in the city of Guayaquil has the same social responsibility

in terms of commitment to the state regarding culture, environment,

education and the development of the country.

There is consistency between the reviewed bibliography and the

results obtained during the field work, where the data tabulated for

the proper argumentation show that social responsibility plays a

preponderant role for small and medium-sized companies in the city

of Guayaquil.

Likewise, the financial part within the business results planned or

idealized by the companies in question, ends up being a fundamental

part of their operating strategy.

The operating strategy becomes the center of the organization as a

critical success factor, and is subject to constant monitoring by the

shareholders' meeting, which would make it appear that the

economic result is prioritized and not only the one that involves

society in general, especially its stakeholders.

All this is linked to the common thread of the concern of

contemporary companies that are worried about their sustainability

over time, where they prefer to reduce part of their profits through

the development of social responsibility programs, but that their

customers and the market in general see with good eyes, and this

causes the usual fluctuations of the economy at the local, regional and

global level.

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Conclusions

CSR cannot simply be a marginal, complementary and opportunistic

action by a company to achieve profits and create an image of

acceptance in the eyes of society. On the contrary, CSR must be

recognized as a new paradigm that demands strategic management

that generates competitive advantage and that must be exploited for

the permanence of a company in a changing market.

Another essential aspect is that CSR is not an isolated and individual

practice; it is and must be a commitment of everyone, including the

entire hierarchical structure of a company. The members of the

company must consider it to be part of their day-to-day activities,

which is why it is essential to manage it in a way that requires properly

designed strategies, with a strong leadership and well-monitored

control mechanisms.

CSR is of great importance for companies to achieve sustainable

development, allowing them to meet the needs of their stakeholders

and achieve a social, economic and environmental balance.

Conducting this type of research becomes interesting and important,

since the results allow companies and society to detect their

weaknesses and strengths in this area, so that they can be improved,

corrected or innovated. It is therefore essential that companies clearly

identify the stakeholders with which they interact, so that they can

identify the impact of their normal day-to-day activities on

stakeholders and also clearly define the responsible policies to be

implemented, so that they can promote or contribute to the

achievement or obtaining of benefits (economic, social and

environmental) for each of the stakeholders; this as a clear and precise

way of ensuring mutual growth between society and the company.