Effects of the Application of CSR as Responsible Business of the Financial Sector of Serbia

Abstract

It is well known that there is a high correlation between the practice of Corporate Social Responsibility (CSR) in financial institutions and levels of their competitiveness. Unethical and irresponsible behavior in business has led to the global crisis, especially in the financial sector. On the one hand, we have great mistrust in the market, financial and other business organisations as well as in the modern business and, on the other hand, we need to apply ethics and social responsibility in business. The authors of this paper analysed the level of development of the implementation of CSR in the financial sector. The survey of the existing state included: ethical practice of behaviour, solidarity with users from social institutions from the region and the competitiveness of organisations in the financial sector of Serbia. The research was carried on the representative sample (area of Vojvodina); a form with specific questions was used and, at the end, an efficient model of a CSR system that meets the business requirements of the financial sector of Serbia was designed.