A dual-theory approach to corporate social responsibility development: upper echelons theory and religiosity-based ethics in Indonesian Muslim entrepreneurship
This study integrates upper echelons theory (UET) with a religiosity (RL)‑based ethics model to explain the determinants of corporate social responsibility (CSR) among Indonesian Muslim small and medium‑sized enterprises. Survey data from N = 285 owner‑managers were analysed using partial least squares structural equation modelling (SmartPLS 3.6). Measurement validity and reliability were assessed via the outer model; structural relations, including multiple mediations, were tested via bootstrapping. RL had no direct effect on CSR or pro-environmental behaviour (PEB) but positively predicted environmental sustainability orientation (ESO). Islamic business ethics (IBE) exerted a direct positive effect on CSR and also increased ESO and PEB. Mediation analyses showed significant indirect paths RL → ESO → CSR, RL → IBE → CSR and IBE → ESO/PEB → CSR. The model explained 67.8% of the variance in CSR (Q2 = 0.429). The study advances UET by demonstrating how RL translates into CSR primarily through ethical codification (IBE) and sustainability‑oriented managerial orientations (ESO/PEB), offering an integrated micro‑foundational account of CSR in an emerging‑market, faith‑salient context.
Authors
- Putu Adi Putra Arimbawa (ORCID: https://orcid.org/0009-0005-7770-895X)
- Ananda Sabil Hussein (ORCID: https://orcid.org/0000-0002-4030-1073)
- Unti Ludigdo (ORCID: https://orcid.org/0009-0004-2710-4616)
- Iqbal Lhutfi (ORCID: https://orcid.org/0000-0001-7294-8405)
- Zarina Zakaria (ORCID: https://orcid.org/0000-0002-7464-8868)
- Dhina Mustika Sari (ORCID: https://orcid.org/0000-0002-7996-4405)
- Mirna Amirya (ORCID: https://orcid.org/0000-0002-4046-4745)
- Rizky Aditya Nugraha (ORCID: https://orcid.org/0000-0002-8201-1242)
- Yeney Widya Prihatiningtias (ORCID: https://orcid.org/0000-0003-3663-2782)
Institutions
- Indonesia University of Education (ID)
- University of Brawijaya (ID)
- University of Malaya (MY)
Publication Details
- Journal
- Cogent Social Sciences
- Published
- 2025-09-26
- DOI
- https://doi.org/10.1080/23311886.2025.2563037
- Citations
- 1
- Primary Topic
- Islamic Finance and Banking Studies
- Type
- article
- Field-Weighted Citation Impact
- 3.91