Socioeconomic Need as a Driver of Corporate Social Responsibility in Ethiopian Mining Sector

Abstract

The purpose of this study is to examine the effects of socioeconomic need on corporate social responsibility (CSR) activity in the Ethiopian mining sector. Explanatory research design and simple regression were used to analyse the data. The data was collected from 222 top-level managers. Using simple regression descriptive and inferential analysis was held. The findings reveal that socioeconomic need has a positive and significant association with the CSR activities of mining companies. The dependent variable, social responsibility activity to the local community is predicted by the independent variable socioeconomic need. The result indicated that the mining sector in Ethiopia contributes to reduce the economic challenges of the local community. They contribute to local community development by meeting the basic needs of people living in poverty. Thus, policymakers need to consider the effort of business organisations in reducing social challenges and help them to plan towards recognising and strategically supporting those companies that realise social responsibility.

Keywords: Corporate Social Responsibility, Socio-Economic Need, Mining Companies

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