Saudi Cultural Missions Theses & Dissertations

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    The Implications of the COVID-19 Pandemic on Corporate Social Responsibility (CSR) Practices and Entrepreneurial Orientation in Saudi Arabia: A Crisis Risk Management Perspective
    (Saudi Digital Library, 2025) Alanzi, Sami; Ratten, Vanessa
    The COVID-19 pandemic is a disruptive event that presents both risks and opportunities to enhance corporate social responsibility (CSR) perspectives and practices among companies in the Saudi private sector. Additionally, it may foster positive change in the Saudi entrepreneurial ecosystem and change its orientation toward supporting digital entrepreneurship. The logic behind the research is that, based on the concepts of risk and crisis management, an effective response to a disruptive event could include changes in practices and orientation to mitigate the negative implications of the crisis and capitalise on opportunities. This research investigates the implications of the pandemic on CSR and Entrepreneurial Orientation in Saudi Arabia. The main focus is on examining an integrated theoretical perspective that combines Stakeholder Theory, Carroll’s Theory of the CSR Pyramid, and the Knowledge Spillover Theory of Entrepreneurship. This theoretical perspective positions changes in CSR and Entrepreneurial Orientation as organisational responses that have been driven by external institutional pressures, stakeholder expectations, and firms’ internal resource configurations. Supporting insights from Resilience and Crisis Management Theories further explain how Saudi firms adapted, reconfigured capabilities, and sought legitimacy during the crisis. The study aimed to assess how this combined theoretical perspective explains pandemic-driven shifts in CSR practices and entrepreneurial behaviour among Saudi corporates, and how these shifts contribute to organisational resilience and effective risk management. This study contributes to the body of knowledge on CSR and entrepreneurship by investigating the impact of the COVID-19 pandemic on CSR perspectives and practices, as well as entrepreneurial orientation among private-sector corporations in Saudi Arabia from a risk management perspective. Specifically, the study contributes to the CSR theory, which refers to CSR as a voluntary, self-driven organisational practices by emphasising the role of CSR as a risk mitigation tool that could strengthen corporates position in the market and minimise the continuity risk it examines the role of CSR practices in mitigating the pandemic’s adverse impacts on stakeholders and their role in supporting business continuity during crises. Accordingly, the study suggests that CSR has become more essential rather than voluntary organisational practices. The study employs a qualitative approach, utilising semi-structured interviews and thematic analysis techniques to collect and analyse primary data related to the research topic and develop an in-depth understanding of the crisis impact on CSR and entrepreneurial orientation in Saudi Arabia. The interview sample included 34 participants (managers and entrepreneurs) from various Saudi business sectors, such as banking, oil and gas, energy, travel and tourism, and retail.The key findings indicate that the repeated lockdowns harmed business financial performance and led to a noticeable decrease in CSR allowance. However, a noticeable change was detected in CSR perspectives and practices, which, prior to the COVID-19 pandemic, were primarily focused on charitable donations. Corporations became more open to various types of social contributions, utilising available resources and technical capabilities. Moreover, the findings highlighted that Saudi corporations resorted to technology and customised services to meet changes in customer needs and communication channels, creating opportunities for digital entrepreneurship. This transformation to more technology-based business models created opportunities for digital entrepreneurship. Furthermore, the findings highlighted the significant role of the governments, particularly in developing economies, such as Saudi Arabia, in stimulating and supporting CSR practices and directing the entrepreneurship orientation. The Saudi government provided the necessary guidance and technical capabilities to help corporations safely manage their staff and sustain their operations. Interestingly, the pandemic helped in achieving the Saudi Vision 2030 by accelerating digitalisation. The research’s managerial implications encouraged decision-makers in Saudi firms to integrate CSR into the organisation’s core strategies rather than treating it as a philanthropic activity. They should also consider internal stakeholders as critical organisational assets, prioritising employee health, safety, mental wellbeing, and work-life balance in their CSR planning. Moreover, managers are encouraged to leverage the vast transformation to digitisation to improve communication and engagement of different stakeholders and launch digital CSR initiatives, such as online awareness campaigns, which are key to effective CSR practices.
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