The Impact of Corporate Social Responsibility and Social Entrepreneurship on Community Empowerment and Poverty Alleviation: An Islamic Perspective
Indra Fajar Alamsyah (a*), Nadia Meirani (b), Titik Respati (c), Affandi Iss (d), Nurul Izzati (e), Md Nazim Uddin (f)

a) Faculty of Economics and Business, Universitas Islam Bandung, Indonesia
b) Faculty of Economics and Business, Universitas Islam Bandung, Indonesia
c) Faculty of Medicine, Universitas Islam bandung, Indonesia
d) Faculty of Economics and Business, Universitas Islam Bandung, Indonesia
e) Faculty of Economics and Business, Universitas Islam Bandung, Indonesia
f)Department of Business and Economic, Algoma University, Canada

Abstract

Poverty is a complex problem that requires many approaches to solve it. In the conventional view, Poverty Alleviation (PA) is seen as nothing more than a lip service program, as is the concept of Corporate Social Responsibility (CSR) which is nothing more than a form of public relations for the company^s image. The concept of Social Entrepreneurship (SE) and Community Empowerment (CE) is also considered only as a temporary brake that is unable to stop the economic gap, let alone solve complex problems such as poverty. In the Islamic perspective, we see all these concepts as having fundamental differences from the conventional version. This study aims to unravel the common thread between the concepts of CSR, SE, CE and PA which are all integrated with the Islamic perspective. This study analyzes the direct relationship between each of these concepts. We use a quantitative approach with the PLS-SEM method. Data were collected by involving 62 respondents from NGO/Social Enterprise practitioners and academics in fields related to this research. This study reveals that Sharia-Based CSR has a positive influence on Islamic SE, where corporate halal CSR funds can be a support system for Islamic SE. Also, Islamic SE has a positive influence on Islamic CE and Maqasid-Based PA. All of these integrated Islamic worldview concepts are believed to be effective in contributing to solving the problem of poverty.

Keywords: Corporate-Social-Responsibility, Social-Entrepreneurship, Community-Empowerment, Poverty-Alleviation, Islamic-Worldview

Topic: Economic Welfare in Terms of Islamic Perspective