Abstract
This paper aims to present the first results of an ongoing qualitative research focusing on an SME network that engage its members in a collective work on sustainability. The objective is to explore why SMEs voluntarily engage in collective action on corporate social responsibility (CSR) and which collaborative mechanisms work effectively in shaping sustainability strategies. Challenges of sustainable development now apply to all companies, including SMEs which represent 99% of the economic landscape in Europe. As part of larger value chains, SMEs are faced with mounting pressure on integrating CSR reporting into their practices (Arena & Azzone, 2012). To integrate sustainability strategies, SMEs encounter several barriers: lack of internal resources and skills (Szabo et al., 2017; Courrent, 2012); limited time for strategic planning (Torres, 2007). Sommer (2022) points to the existence of sustainability tensions in SMEs: 1) between objectives (economic vs non-economic), 2) between levels (business objectives vs. societal expectations), 3) tensions related to the process of change (current vs future needs). SMEs can overcome these barriers by engaging in collaborative networks that help exchange valuable knowledge, share best practice, and foster innovation, known as collaborative innovation (Chesbrough & Bogers, 2014). Sometimes it leads to a dual relationship of cooperation and competition - coopetition (Bouncken et al., 2015; Fernandez et al., 2018). Collective work on the definition, implementation and monitoring of innovative processes on CSR is beneficial to foster sustainable performance (Courrent et al., 2018). Collective work on CSR among SME owner managers brings a reassuring effect (Sommer & Berger-Douce, 2022).The study reveals the underlying motivation of the SME owner-manager participation in collaborative work on CSR and how this work should be organized. Being part of a local CSR network provides its members with a safe space with trusted local market players that seek to step up their knowledge and capability to face the growing pressure on CSR. Being part of the network legitimizes and reassures its members that their individual investment in CSR strategy and actions is of value as opposed to other external market player CSR practices such as “greenwashing”.