CORPORATE SOCIAL RESPONSIBILITY IN BANKS – CASE STUDIES ERSTE BANK SERBIA

Abstract

Corporate social responsibility (CSR) is a significant part of a business and thus it is important for banks and other companies to implement it to their business strategies.By defining the structure of CSR, it is easier later to define the strategy of implementation, and take implications to consideration of how this concept can influence not just the business but the society in general.Like that, its philosophy points on achieving long term advantage for the bank and its environment. It is necessary for top management to recognize the right strategic path that will guide them to the implementation of CSR to their banks.This kind of business methods are important for all banks and other companies because the good business is built on a foundation of trust.Previously mentioned methods are significant for most of business partners who will gladly work with someone fully conscious of CSR. The primary goal of this research is a method how the CSR can be involved in bank strategy.The purpose of this research is to show how CSR can influence the competitive advantage and increasing the profit. Theoretical approach of CSR was analyzed through research of main aspects of a bank. Case study research method was used on example of Erste bank Serbia, as one that implements CSR.Evaluation of results was made by comparing results with strategic goals of the bank.This research can be useful for banks and top management in banks if they want to involve or improve CSR in their banking strategies, and as a result to be competitive and to achieve a profit. It is important specially to adjust business decisions with development goals and CSR.Development of CSR is imperative for business success of banks and society in general. The advice is to implement the CSR in modern banking considering it can increase profitability and level of market involvement.