Accounting the Moderation Effects on the Relationship between Social Responsibility and Business Ethics

Abstract

Organizations do not function in isolation in society. On the part of society, it is expected that organizations will work in the interest of society and have a sense of obligation to it, to be concerned with solving the problems they have caused. Therefore, the organization should have ethical standards and practice a solid organizational culture and social responsibility to ensure the sustainability and success of the business. The paper aims to address social responsibility and business ethics concerns by building the framework of relationships between social responsibility (SR) and organizational ethics (OE) and determining the moderating effects of organization's reputation (OR), organizational communication (OCm), employee engagement (EE), and organizational culture (OCt). Following structural equation modeling, the paper determines the relationships between the variables and the moderators between these variables. The research results show that CR and OCt strongly moderate the relationship between SR and BE, while OCm and OCm slightly moderate the relationship between SR and OE.