Effects of information technology on corporate social responsibility: Empirical evidence from an emerging economy

Abstract

The recent history shows that computers have a significant effect in society. The benefits from Information Technology (IT) reach both enterprises and people. When small firms use IT resources to create unique capabilities, even indirectly they improve their conditions to meet Corporate Social Responsibilities (CSR). Considering this scenario, the aim of this paper is to analyze the effect of IT use on the CSR of small firms. We tested the relationships between the constructs using confirmatory factor analysis and structural equation modeling, with a database comprised of 173 Brazilian small firms. Our results showed a positive and significant relationship between IT use and the four categories of CSR. In this way, we observed that IT contributes to companies, and also affects people that work in these enterprises. Corporate social obligations of firms and IT investments should be combined to generate unique capabilities, improving competitive advantage through the interaction of technology and people. The results of the paper extend the discussion about IT benefits to companies and to society.