CORPORATE SOCIAL RESPONSIBILITY, HUMAN CAPITAL AND ORGANIZATIONAL PERFORMANCE IN SMALL AND MEDIUM ENTERPRISES IN MEXICO

Abstract

Corporate Social Responsibility (CSR) is a key strategy for strengthening the competitiveness and sustainability of businesses. While an increasing number of organizations are concerned about the environments in which they operate, small and medium-sized enterprises (SMEs) continue to demonstrate limited implementation of CSR practices. This study aims to analyze the influence of CSR on organizational performance in retail SMEs, while also examining the mediating role of human capital. A descriptive, cross-sectional, and non-experimental design was employed. Data were collected through a structured 33-item questionnaire administered to a sample of 168 companies and analyzed using partial least squares structural equation modeling (PLS-SEM) with SmartPLS 4. The results confirm that CSR has a positive and significant impact on organizational performance, reflected in improvements in profitability, corporate image, and customer satisfaction. Although human capital did not exhibit a direct significant effect, it was identified as a facilitator for the effective implementation of responsible practices through a committed and trained workforce. It is concluded that to maximize the impact of CSR on organizational performance, strategies should be implemented in a structured manner through specific training of human capital in this area, alongside the continuous promotion of factors such as commitment, autonomy, and an organizational culture grounded in sustainable values, fostering greater awareness of its strategic impact and long-term benefits.