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Article

Effects of Corporate Social Responsibility on Online Recruitment Processes in the Vietnamese Food and Beverage Industry

by
Kudrat Khuda
1,
Hong Chau Linh Nguyen
2 and
Dieu Hack-Polay
1,3,*
1
Lincoln International Business School, University of Lincoln, Lincoln LN6 7TS, UK
2
Thuongmai University, Hanoi 122000, Vietnam
3
Department of Graduates Studies, Crandall University, Moncton, NB E1C 9L7, Canada
*
Author to whom correspondence should be addressed.
Businesses 2023, 3(2), 293-309; https://doi.org/10.3390/businesses3020019
Submission received: 12 February 2023 / Revised: 29 March 2023 / Accepted: 3 April 2023 / Published: 19 May 2023

Abstract

:
This paper examines the effect of CSR perceptions on online recruitment practices and outcomes in the Vietnamese food and beverage sector. Semi-structured interviews were conducted with seventeen participants, including CEOs, HR (human resource) staff and store managers. The results show that CSR perception varies and is exemplified through employee-related activities, ethical products, environment, philanthropy, and international standards. The study is novel in establishing that, despite high unemployment in developing economies, CSR communication in online recruitment sites impacts job applicants’ choice of company. While the strategic potency of CSR has been established, this study brings to light its critical significance for human resources processes, particularly online recruitment, in an emerging economy context. The study has considerable implications for practitioners and researchers, suggesting the necessity to strategically manage the interface between CSR and online recruitment.

1. Introduction

The emerging literature examines the link between corporate social responsibility (CSR) and human resource management (HRM). Two main HRM practices—training and development and employee commitment—are often discussed in seeking to establish that link [1]. The main perspective taken is that HRM and CSR cannot be divorced as those factors affect each other mutually and their positive interaction enhances organisational reputation and outcomes [2,3]. While much research has been conducted on CSR and HRM in Asia [1], there is a lack of empirical study in Vietnam. CSR is implemented in some MNCs and large companies, yet the link between CSR and HRM is underexplored. In the Vietnamese context, previous studies examined cultural influences [4], consumer perception, and public relations [5] without explicating their connection with HRM practices. Businesses solely perceive CSR as an international standard and a requirement for the integration of local companies into the global economy [6]. Hence, CSR has yet to be effectively integrated into Vietnamese HRM practices [4,7].
During the COVID-19 pandemic, the food and beverage (F&B) industry was severely affected by lockdown policies. Most of the companies affected by the pandemic had to lay off between 5 and 20 percent of their employees [8]. The economy in Vietnam has gradually been recovering, owing to the government’s successful strategy to slow the spread of the virus. As a result, the demand for recruitment is rising again, and online recruitment especially is more necessary than ever before. The widely known job site in Vietnam, VietnamWorks, saw a growth of about 20 percent in job postings in early May 2020 [8].
With increased digital transformations during the COVID-19 pandemic and the emergence of Generation Z (people born after 2000), businesses will have to compete fiercely in labour markets. According to [8], in the past 5 years, the demand for online recruitment nationwide has seen a growth rate of 55 percent. When the crisis started, businesses that responded rapidly with creative solutions were able to quickly recover and flourish. Talent is the decisive factor in any strategic activity. Hence, the purpose of this research is to investigate the extent to which CSR perception, implementation, and communication in business support the organisation in competing for talent in the F&B industry, especially in the current challenging economic climate. The research pursues three main objectives. The first objective is to examine the degree to which CSR perceptions influence HRM, especially recruitment practice, in the F&B industry in Vietnam. The second objective is to evaluate how CSR is communicated online on recruitment sites. The third objective is to examine the effect of online CSR communication on job applicants.

2. Literature Review

2.1. Perspective on CSR

CSR is conceptualised in several ways, but the rising concern for researchers is what motivates the development of various CSR approaches. By embracing social responsibility, the organisation may attract more interest in its products. CSR reputation may attract customers by increasing their interest in the brands as argued in stakeholder theory [9]. Stakeholder theory is concerned with the ethical aspects of organisational practices [10]. It refers to the “soft” strand of HRM, focusing on values-based management [11]. Stakeholder interests may primarily promote the existence and sustainability of the organisation [11]. However, this central argument of stakeholder theory may lead to the paradox of CSR implementation. The dilemma of CSR under stakeholder theory requires managers to balance ethical values and profits.

2.2. CSR Perceptions in Vietnam

CSR in Vietnam is affected by multiple factors, including international driving forces [6,12], social and economic context [13,14], and culture [4]. CSR is interpreted and applied in several ways in Vietnam.
After the Doi Moi (Renovation) in 1986, Vietnam opened the economy by encouraging the establishment of privately-owned companies and welcoming foreign direct investment (FDI) for better integration of its economy into the global economy. CSR was then perceived as a requirement for Vietnamese companies to meet the demands of international customers and investors [6,14]. The emergence of CSR in Vietnam and in Asia in the early 2000s was first perceived as Western standards espoused by transnational corporations (TNCs) that began operating in Vietnam [12]. CSR was further propagated in Vietnam in 2003 by the World Bank through the project “Strengthening developing country governments’ engagement with CSR”. However, this project faced challenges, e.g., a conflict between national laws and the TNCs’ code of conduct [6]. Furthermore, according to [4], the way Vietnamese organisations perceive CSR remains vague (i.e., CSR is not seen as part of economic strategies). Therefore, CSR in Vietnam is governed by law and defined by Western standards, which leads to inconsistencies in CSR implementation between TNCs, public sectors, and SMEs [14].
The level of CSR commitment in Vietnamese SMEs varies. They tend to prioritise survival over socially responsible activities [15]. Some managers believe that environmental, ethical, and social issues are not business strategies, both legally and economically, while others limit CSR understanding to environmental or humanitarian issues.
The philanthropic aspect of CSR in Vietnam is motivated by cultural and traditional values shaped by Confucianism, including morality, healthy social relationships, sincerity, and justice [5,14]. Therefore, [16] (p. 92) argues that Confucian leadership may be appropriate to CSR because it brings “much peace, learning and economic growth for both organisational and communal well-being”. Similarly, CSR research in developing countries suggests that it is facilitated by cultural and religious values, and it prioritises local communities [17].
The standards and cultural values in Vietnam pose obstacles to global CSR implementation [4,6]. Environmental standards were considered the main CSR initiative in Asia [12], thus restricting CSR understanding and applications. In connection with the cultural influence on CSR, [18] has been widely deployed to predict the ability of CSR conceptualisations in several cross-cultural studies [4]. Following Hofstede’s cultural dimensions, [4] indicated that masculinity may negatively affect managers’ perception of CSR. Vietnam has a high masculinity score (score = 40) [18], meaning that Vietnamese males still have dominant positions [4]. Additionally, Vietnamese SMEs undermine the importance of workers’ rights [19]. The goal of CSR involves protecting and increasing organisational reputation [14] with explicit economic activities rather than prioritising the community, environment, and employees.
Food-related industries are explicitly associated with CSR. However, less attention has been paid to CSR in food-related sectors in Asia [4,20,21]. Yet, food safety has consistently been the biggest problem in the Vietnamese F&B industry in recent years as companies break food regulations for profit maximisation [4]. This issue decreases customers’ trust in the domestic food industry. Waste treatment is another problem in the sector. An example is the well-publicized case of the Taiwanese food manufacturer, Vegan, which illegally dumped waste in the Thi Vai River for 14 years [21]. There is limited coverage of jobseekers’ perceptions of the role of CSR.

2.2.1. Social Media, CSR Communication, and Recruitment Practice

The Internet and social media play an increasingly essential role in daily life. Social media encapsulate the Internet-based platforms based upon Web 2.0 that allow all users to generate and exchange their content and moderate others’ [22]. Bradley and McDonald [23] argue that organisations use social media to promote their branding sales, advertising, and communications. In HRM practices, enhancing the employer’s image is vital to attract talent [24]. Accordingly, social media tends to enable novel e-HRM practices that require new HR professional skill sets [23]. Opportunities that the Internet and social networks present for HRM include raising employee voices and satisfying Generation Y employees (people born between the 1980s and mid-1990s) [25], and employee retention [26]. Since Gen Y are digital natives, they are more associated with social media use as a form of voice [25]. Social media helps reach and retain Gen Y individuals [26] due to their ease of access to and sharing of information, being a technology-savvy generation. Thus, getting such employees emotionally connected cannot be taken for granted [27] but requires systematic engagement. Social media increasingly helps to achieve desired recruitment targets [28,29].

2.2.2. Social Media Recruitment

The trends in social media development may affect the way recruitment is conducted [30]. Social media supports the way organisations hire new people and the way jobseekers find and apply for jobs [31]. Social media provides a platform for enhancing employer branding [32].
Koch, Gerber, and De Klerk [30] argue that social media is significantly responsible for the resourcing process. Since the online platform blurs geographical borders [33,34], recruiters can reach a diversity of potential candidates. In traditional recruitment, jobseekers need to find new employment through printed job advertising, via word of mouth, or by directly sending their curriculum vitae (CVs) by post or electronically. Social media opens a novel place for recruiters and jobseekers to communicate their message and image [28,35]. Through social media, recruiters and candidates can build and expand their personal networks [36] to improve and personalise the employment relationship.
However, the organisation cannot have a firm reliance on social media for recruiting purposes. Social media should be a supporting tool rather than a recruitment strategy. Rather than focusing on polishing the employer’s image, organisations need to emphasise their values, culture, and hiring needs. Otherwise, they can miss potential candidates who may not use social media [37]. Other significant drawbacks of using social media are related to age, marital status, use of photos, etc., which can cause ethical, confidentiality, and discrimination issues [37].

2.2.3. CSR Communication in Online Recruitment

Empirical research indicates a relationship between CSR and recruitment in terms of organisational attractiveness [2,38]. Regarding online recruitment, [2] find that social media provides a richer source of information than websites by creating mock corporate websites and Facebook profiles that allow companies to easily share their CSR actions. Belinda, Westerman, and Bergman, [2] suggest that CSR communication can be implemented more effectively through social media and has a higher chance of attracting potential candidates. Duarte, Gomes, and Gonçalves das Neves [38] indicate that an applicant’s decision to join an organisation may depend on corporate social performance.
Leveson and Joiner [39] explored attitudes toward CSR among senior undergraduate students. The authors found that CSR efforts may not be the primary factor that drives them to apply to an organisation. Other key factors include salaries and competitive benefits packages. However, [3] argue that millennials highlight CSR as a factor influencing their choice of company as their future employer. These contrasting findings may derive from the sample characteristics in the studies. While [3]’s sample includes freshmen and sophomores who may lack workplace experience, [39] focuses on senior students who will shortly enter the workplace. Overall, analyses of the weight of CSR in recruitment practice indicate that CSR is inarguably influenced by the specific societal and business context [13,14].
Person-Organisation (PO) fit theory is deployed to examine the match between individuals and the organisation. PO fit is the compatibility between employee values and the organisation’s characteristics, including organisational structure, culture, and technology [40]. The dimensions of PO fit include needs–supplies fit and demands–abilities fit. In the CSR context, CSR information significantly contributes to PO fit outcomes in the hiring process, such as organisational attractiveness and employee retention [41]. The effective use of social media allows organisations to approach diverse applicant pools [34].

2.2.4. Signalling Theory

Signalling theory indicates the way senders and receivers access and process information sent to one another [41]. Signalling theory primarily aids information asymmetry between two parties. The signal may enhance the relationship between applicants and employers by laying the grounds to decode the information sent or received, even in the pre-hiring process. The key perspective in terms of linking corporate social responsibility and HRM is that organisations attract the right applicants by providing a signal of CSR through online recruitment [41].
Signals sent to job applicants in recruitment advertisements have been studied [42,43]. In this process, jobseekers develop an awareness of the employer. This knowledge, though limited, is useful to understand the organisation and make the decision whether to apply or not. Incomplete details about the organisation send weak signals, which can be open to sweeping interpretation by jobseekers. Applicants perceive an organisation involved in CSR in the community or natural environment as one that might care for its employees. Sending positive signals, especially about CSR or green practices, helps organisations achieve a competitive advantage in the labour workforce [41]. Applicants also send signals about their values to the organisation, which organisations interpret to decide which candidates to select [2].

3. Materials and Methods

3.1. Qualitative Approach

Research on the link between CSR and recruiting and its impact on jobseekers’ attitudes frequently uses quantitative methods since the samples include jobseekers, which are significantly large [38]. However, as the goal of this study is to evaluate how employers perceive corporate social responsibility, a qualitative approach was deemed to be the most appropriate approach, contributing comprehensively to earlier studies on the viewpoints of job candidates [38]. Since CSR applicants and understandings may be diverse, the qualitative approach is an effective method to discover the nature of the CSR and HRM relationship as well as stakeholder involvement [1]. The qualitative method was also used in previous papers investigating the CSR-HRM relationship [44].

3.2. Study Participants

This study used a purposive sampling technique to select participants (Table 1). Seventeen participants from three local companies (Company-A, Company-B, and Company-C) agreed to participate in the interviews. While the companies were all local firms, they operated in different markets. Company-A sells mid-priced, innovative, and trendy products for modern and young Vietnamese; Company-B focuses on more affordable local products for middle and lower-income people; Company-C franchises luxurious Japanese brands for higher-income people. The interviewees included a CEO, HR managers, HR staff, operation managers and store managers with at least two years of working experience in the F&B industry in Vietnam. Thirty-one tentative participants were approached to get 17 participants. Nine people were interviewed in Hanoi and eight people were interviewed in Ho Chi Minh City.

3.3. Study Instrument

The interview questions were developed in English and then translated into Vietnamese, which was the language of the interviews. The transcripts were translated back into English. Fourteen interviews were face-to-face; one was online via Zoom; and two were telephone interviews. Each interview lasted for about 40 min. All interviews were conducted between April and August 2020. It was possible to conduct those interviews because, at the time of carrying out this study, Vietnam had relaxed social distancing restrictions that were imposed due to the COVID-19 pandemic.
The interview themes were based on the following three items, which were based on [14]’s conceptual framework: (1) employer perspectives of CSR; (2) CSR communication in online recruitment; (3) social media recruitment. The data analysis followed the thematic analysis model [43] and required six steps: familiarisation with data, initial coding, theme identification, reviewing potential themes, grouping of themes, and reduction of themes, leading to analytical categories. According to [43] (p. 6), “thematic analysis helps to identify, analyse and report patterns within data”.

3.4. Validity and Reliability

This study’s validity was enhanced by three methods. Firstly, the researchers ensured that participants had experience in the area of study [45] by recruiting participants who had working experience in the F&B field in Vietnam. Secondly, the interviews were recorded to avoid adding the researcher’s own opinion. Thirdly, semi-structured interviews minimise the influence of the researcher on the outcome from participants with random questions, which may be impacted by temporal, spatial, and situational influences.
The language used in the question design and data collection process is also involved in the validity of qualitative data when the receivers or readers understand the meaning of translated information. Moreover, it may require the researcher/translator’s language skill set [46]. However, to avoid translation issues, the data analysis process should focus on the thinking process [47] and engaging in a cultural context [48]. Therefore, the data analysis process was conducted with the Vietnamese people to keep the meanings and cultural norms in Vietnam. The English transcriptions proceeded after data analysis in Vietnamese to avoid the influence of translation and to ensure the validity of the study. An external professional translator was recruited in Hanoi to reduce the “problems of translation” [46] as well as ensure the reliability of the data.

4. Results

4.1. CSR Perceptions in Vietnamese F&B Companies and Their Influence on Recruitment Practices

4.1.1. CSR Perception in Relation to Culture and HRM

Fifteen participants did not name exact “employee-related CSR” policies but understood “CSR” as employee-related value. They perceived CSR as how employees are treated and supported in the organisation, under the form of Vietnamese labour law. Participants (P7, P17) explicitly explained that CSR was directly related to human resource policy.
“Those social responsibilities lie in our company’s simplest policies. We’ve always followed legal provisions on social, health and unemployment insurance, 13th-month salary, labour safety, family support subsidy.”
(P7, Store Manager/Company-A)
“We do community things to make our brand known; thus, they’re impressed and apply to work with us. A brand needs to enhance its image externally and internally. We facilitate a more transparent environment, with improved policies, training and.”
(P17, HR Manager/Company-B)
This perspective is compatible with the organisational culture and values of the three companies. They put employees at the centre of the operation and the organisational culture. Labour policies were established to satisfy the employee and support career development and work-life balance. The three companies acknowledge the impact of employment relationships on stakeholder relationships (e.g., organisation and customer) and society. Frontline employees play important roles in building customer relationships. Some participants explained that:
“Caring for employees means fulfilling a social duty. The company provides jobs for youngsters. We promote a culture that creates future decent mature citizens.”
(P3, Operation Manager/Company-A)
“One of our core values is “LOVE”, meaning that partners, customers, providers and employees are happy and feel respected in our company. Although not directly involved in CSR programs and events, our company’s offering brings value to society. I believe it’s another form of CSR.”
(P13, Operation Manager/Company-C)

4.1.2. Diversity of Business Operations and CSR Perspectives

However, there is a significant difference in the business operations of the three companies that influences CSR perceptions. Participants in Company-C (P13, P14) constantly showed their concern for Japanese standards and strict procedures.
“For instance, my company has a great social responsibility, which is reflected in our key focus: providing quality products meeting the standards. We specialize in Japanese products with undoubtedly good quality as a great deal of attention is paid to the manufacturing stage.”
(P13, Operation Manager/Company-C)
“It’s reflected in our actions during earth hour, energy saving practice, reuse practice, 5S in work (sort- set in order–shine -standardize -sustain).”
(P14, Recruiter/Company-C)
Furthermore, Company-A and Company-B, who sell Vietnamese products at more affordable prices for lower-income customers, focus on how to develop their culture and environment first and did not care much about CSR since it is an unfamiliar and international term.
At an individual level, CSR is perceived differently. Based on participants’ responses about “socially responsible activities in the company”, CSR is perceived in six main aspects: employee-focused approach (work-life balance, learning and development, career development, HRM and working environment, legal policies, HR-related issues, employee empowerment, and organisational culture), job creation, ethical product, environment, philanthropy, and CSR international standards. Environmental concerns were perceived as CSR by thirteen participants. Ten participants initially mentioned the environment when they first heard the term “corporate social responsibility”. Two participants initially perceived CSR as HR-related issues; seven participants mentioned philanthropic aspects first; three participants indicated the significance of ethical products and seven participants mentioned international standard factors.
A store manager (P6, Company-A), who had an HR background, indicated that CSR is an HR-related matter:
“The social responsibility you mention is closely associated with HR activities, in which humans and employees are highly valued. Staff and customers are humans of society, so it’s clearly an HR-related matter.”
(P6, Store Manager/Company-A)
Participant 5, a high school graduate from a rural area, explained that salary and compensation packages can represent social responsibility.
“I haven’t thought a lot about social responsibility. I’ve just got the manager position and only have a general view on this matter. My company gave me the basic salary for a month off, that’s why I think they have social responsibility.”
(P5, Store Manager/Company-A)
In addition, an experienced store manager (P7, Store Manager/Company-A), who worked in advanced economies (Australia, Canada, USA), saw environmental concerns as central to CSR.
“I love coffee and the service industry in general. I care about the social responsibility of corporations in the industry. Our company has been taking the lead, especially in environmental protection. We recycled straws; we have glass cups; we try to reduce the use plastic because plastic has a greater negative environmental impact.”
(P7, Store Manager/Company-A)
Participants with higher positions in two local brands (P1, P17) saw CSR as associated with international terms and standards:
“We have a production workshop where all international standards are complied with. Despite working in a small area, our staff properly follow regulations regarding fire safety and rescues, and food safety, or code of conduct. We provide regular training. All our products must have traceability in terms of origin and child labour issues, etc. As a result, our products are now being sold in the USA.”
(P1, CEO + Co-founder/ Company-A)
“CSR’s is a familiar term to those working in foreign companies only. I know about CSR as while working in a foreign company, an embassy delegation came to inspect that aspect.”
(P17, HR Manager/Company-B)
CSR perceptions contain time-related information. Company-A, which was investigated right after the second wave of COVID-19 in Vietnam in 2020, demonstrated that their company’s COVID-19 support policies contributed to reducing the turnover rate after the outbreak. For example:
“During COVID-19 we met our staff regularly to encourage them. We didn’t want them to feel that they were left behind, or that their life was meaningless when they were off work. They come back right when the pandemic is over and only take leaves when they have a study schedule, which has just begun piling up.”
(P6, Store Manager/Company-A)

4.1.3. Influence of CSR Perceptions on Recruitment Practice

Although participants mentioned various CSR activities, including environmental and philanthropic activities, their responses did not match the way they recruit new employees. They did not mention any recruitment criteria related to CSR in respect of the environment, charity, and other standards.
“We mostly talk about our company’s approach, culture and policies and activities that help to form a closer bond between us and candidates.”
(P3, Operation Manager/Company-A)
The hiring decisions of participants (P7, P12) were shaped by cultural influence which is “tâm” (sincerity):
“What is shown in CV’s and in job interviews usually differ significantly. But I don’t really consider CV important. There are two things I consider in deciding, first sincerity, second confidence. I can take people without experience and train them from nothing.”
(P7, Store Manager/Company-A)
“We prioritize those who care for the customers, as in this F&B industry, “sincerity” is a top quality. Those who show dishonesty and tend to blame others won’t match.”
(P12, HR Manager/Company-C)
There are considerable insights about job creation (P3, P14, P17), which was perceived as the reciprocity between CSR and the recruitment practice. They showed their CSR approaches to college and university students as well as to lower-income people to help them have a job and to gain a potential applicant pool.
“The company provides jobs and incomes for youngsters. Experience in the company will help them become more mature so they can contribute to the community, society, and lead a more purposeful life. Foreign companies like Samsung have created several jobs for Vietnamese residents. Social activities are significant.”
(P3, Operation Manager/Company-A)
“Our company conducts community activities like connecting 10 southern schools and another 10 in the north to offer students job opportunities so they can work while studying.”
(P14, Recruiter/Company-C)
Since the recruitment process devolved to store managers in all three companies, recruitment criteria depended on location and the managers’ subjective determination. For example, store managers prioritised applicants with greater physical strength who can meet the requirement for heavy lifting when moving between floors in stores.
“It’s mostly based on the good feelings they give the interviewer. The general criteria or conditions are the same, but whether they fit the specific requirements is a different story. I ask candidates upfront about their physical abilities.”
(P6, Store Manager/Company-A)
Applicants with social responsibilities will have more chances if they apply for a job in his store.
“I rate highly young people who show maturity while sharing their thoughts and those having responsibility towards the community.”
(P7, Store Manager/Company-A)

4.2. CSR Communication in Social Media

4.2.1. The Impulse of Communicating CSR in Social Media

The reason for participants to implement socially responsible projects was because of their “tâm” (sincerity) and “humane” referred to the way they devote themselves to their society and community. They argued that CSR activities are not used as the main tools for enhancing branding and reputation.
“People apply for positions in a company partly because the company has community activities that resonate with them. Companies must have values that are really “humane”. There are many coffee and milk tea brands out there with well-paid jobs but students choose us because they recognize certain humane values.”
(P4, Store Manager/Company-A)
“Things companies do voluntarily represent a spirit rather than a responsibility. For instance, when the State legislates those businesses must cover insurance for their employees, it’s a compulsory thing they must obey.”
(P17, HR Manager/Company-B)
However, it cannot be denied that CSR communication helps them attract more potential customers.
“Particularly, these activities help to attract many candidates. My staff members are mostly customers who like our working environment, as they can recognize their personal values when applying. Benefits or salaries aren’t what they care about.”
(P8, Store Manager/Company-A)

4.2.2. CSR Communication Format in Online Recruitment

The targeted applicants for positions were mostly university students; therefore, all studied organisations use Facebook as their main recruitment platform where they share information about the working environment and organisational activities.
“We post little stories about our staff or security uncles would like to share. Those lovely stories show that they’re happy to work here, and somewhat influence candidates’ decision.”
(P11, HR Staff/Company-A)
“I’ll post the photos capturing such activities to show that the company not only brings jobs to people but also creates a positive entertaining environment for them to perform and explore their potentials. Besides, I talk about promotion, and share stories about managers who started as staff; they can see a clear career path.”
(P14, Recruiter/Company-C)
The content created on the recruitment fan page focuses on employee experience within the organisations. It is consistent with CSR perception in terms of employee-focused activities. Posts about external activities (e.g., environmental and philanthropic) are optional and depend on each activity.
“Besides we write posts about external activities like environment or charity work, but mostly in HCMC.”
(P10, HR Staff/Company-A)
However, staff who managed recruitment fan pages cannot measure the number of applicants who were attracted by different content appearing online except sponsored hiring posts. They thought that posts about humans, organisational culture, and values would attract more applicants.
“Thanks to those posts, varied contents and several perspectives being given, candidates are attracted to our company.”
(P2, HR Manager/Company-A)
“Recruitment post, as we run ads for that. Talking about other normal posts, those about humans attract much notice.”
(P10, HR Staff/Company-A)
Applicants’ responses to the online recruitment fan page of Company-A are mostly about authorised information:
“There appear many fake fan pages, so several ask us about our official site and locations with lots of vacancies. Often, they miss information like whether a store’s recruiting.”
(P10, HR Staff/Company-A)
There is evidence of the effectiveness of social media to communicate CSR, therefore, helping attract more potential applicants. The involvement of employees’ personal networks is seen as an essential part of online recruitment:
“We do it because we want to; it’s not branding. Those things are hard to see on our fan page. We only share it among us via our Facebook accounts. That’s how my network knows our real stories.”
(P6, Store Manager/Company-A)
“Our company’s career page is like an internal channel, as it’s where the stories about our colleagues, activities and values are shared. I post every interesting piece of information as I want people to know about the company. When the messages reach various audiences, many don’t apply yet, but they have a better understanding of our brand.”
(P13, Operation Manager/Company-C)

4.3. The PO Fit Evidence

4.3.1. Influence of Employers’ CSR Perceptions on Jobseekers

Participants (P10, P11, P14) who are HR professionals, who perceived CSR as the working environment, the organisational culture and development and career opportunities, prioritised full-time candidates because they acknowledged full-time employees’ contributions or wanted to help them achieve successful careers within their organisations.
“A part-time employee may sometimes work for a day, then quit right away, it’s a very normal thing. That’s why full-time staff are important to us. We pay more attention to them as we aim to train them into managers. We’ll give them a clear pathway.”
(P10, HR Staff/Company-A)
“Full-time staff sign labour contract with us and have their insurance covered as stipulated by law, so we expect them to commit longer to a greater or lesser degree. They need to clearly map out their pathway in this industry because we expect to train them and appoint them to higher positions such as managers.”
(P11, HR Staff/Company-A)
“Part-time employees don’t plan to stay for long, and don’t consider benefits a big deal, while full-time staff dedicate their time to work and try to get promoted. It’s often harder to recruit full-time employees.”
(P14, Recruiter/Company-C)
However, some store managers (P5, P16) perceived that there were no significant dissimilarities between full-time and part-time career promotions.
“The difference isn’t significant as we have standards to follow. We map out the career path right from the beginning so candidates can see what they can do, how they can develop, and what value they can create at the company. Many part-time employees asked to go full-time when they can arrange time for that.”
(P15, Store Manager/Company-C)
“They prioritise company’s persons of all positions, staff or team leaders. External recruitment is just like a grudging option to take.”
(P6, Store Manager/Company-A)

4.3.2. How Job Applicants React to Organisational CSR “Signal”

From the perspective of HR staff and store managers, the organisation received positive signals from its applicants concerning the perception of the organisation’s environmental CSR. There were no differences between full-time and part-time applicants who actively respond to the organisation’s environmental responsibility.
“They care about environmental issues so they want to find a company where they work and can devote themselves to our environment, our planet.”
(P11, HR Staff/Company-A)
“Other coffee shops use plastic containers while we offer drinks in glass cups. Some people find it appealing and decide to apply for positions with us. They used to be our customers and wanted to join us and together achieve the shared purpose of protecting the environment. Many quit better-paid jobs to work here because they couldn’t accept serving drinks in plastic cups.”
(P5, Store Manager/Company-A)
“There’s no difference between full-time and part-time applicants who are socially responsible. They argue that they chose our company because of not using single plastic because they care about that, and more importantly, they want engagement with a responsible environment.”
(P5, Store Manager/Company-A)
In addition, organisations can have a potential job applicant pool through their targeted customers who experience their services, ethical product, and working environment in stores.
“As I mentioned earlier, our candidates are mostly customers who use our -service and become interested in working here right away.”
(P6, Store Manager/Company-A)
“Besides the online channel, we have many stores in malls which attract a lot of youngsters. They recognize our brand and many approach us directly about vacancies. As we make food in the presence of customers, students feel attracted and wish to get involved in cooking.”
(P15, Store Manager/Company-C)
The next section discusses the main findings of the study in light of the relevant literature.

5. Discussion

5.1. The Relationship between CSR Perceptions with the Recruitment Practice

The first research question posited that CSR perceptions influence the recruitment process and this is partly supported by the data. The concept of CSR is interpreted differently in organisations. This shows the inconsistency in CSR understanding due to the lack of systematic CSR procedures and policies. The assertion correlates with earlier studies that advocate cultural significance [5,14]. While each participant showed their personal CSR perception, they mirrored the core values of the organisations, which are “tâm” (sincerity), “caring”, and “humane”. These values are central Vietnamese Confucian values [5,14]. Furthermore, when the organisation has interactions with foreign agents, its CSR perception is affected by foreign cultures (e.g., Company-C has a Vietnamese-Japanese cultural working environment). The data emphasise that these cultures affect external CSR implementations and internal practices, e.g., employee motivation and commitment. Existing research shows the significant contribution of employee-related CSR implementations and policies (human relations, working environment and employee empowerment) in attracting and retaining employees [17].
Perceptions of CSR in Vietnamese SMEs seem to be compatible with previous research which suggests that organisations tend to adopt CSR in a philanthropic drive but prioritise survival [15]. Most participants agree that CSR implementation through environmental or philanthropic actions is not initially seen as reputation-enhancing activity. This causes companies to limit the adoption of international CSR standards that are often in developing countries as forced upon them by the West [4,6]. Although environmental and philanthropic responsibilities are not priorities for the three companies studied, this view is consistent with the stakeholder theory. Company-A and Company-C developed ethical products for a wide range of stakeholders, including its customers, business partners, and employees.
The implementation of CSR, meanwhile, varies in several ways amongst store managers due to individual factors. When store managers interact directly with job applicants throughout the interview and selection processes, their impressions have an impact on the recruitment process. Also, store managers have the authority to choose how they wish to run their stores, including how they manage staff development and customer satisfaction. Again, this view may support the individual influences of CSR implementation—a different understanding of CSR may lead to multiple interpretations and behaviours of CSR and recruitment practitioners, both actively and passively.

5.2. Advantages of Communicating CSR in Online Recruitment Sites

The second question examined the advantages of communicating CSR through online recruitment sites and was partly supported by the research data. Since CSR perception varies in the organisation, it affects the online recruitment process. The data show that the organisation rarely communicates socially responsible activities, such as environmental and philanthropic work, with the aim to increase its reputation; therefore, it limits online communication about those activities. However, the participants acknowledged the opportunities to approach individual networks by re-sharing organisational information through social network accounts. It may result in attracting more applicants [24]. The resourcing process may be improved through the participation of non-HR staff and this is consistent with the findings of several studies about CSR and online recruitment [30,36]. In fact, some earlier research postulated that social networks can enhance employee voice, networking, and personalisation [25,36].
The official recruiting fan pages are where much of the information about the workplace and employee life in the organization is posted. The information offered on the official Facebook recruiting fan pages appears to be consistent with the organization’s values about its employees, which might be viewed as a CSR idea relating to employees. To attract candidates and give them a better idea of the organization and an interpretation of how they would be treated in the workplace, they frequently share stories about employees’ experiences within the organization in addition to hiring positions [49,50]. As a result, knowing an organization’s commitment to its staff may influence job candidates’ intent to choose a position. However, the data shows that there is a threat of fake recruitment fan pages which leads to confidential problems.

5.3. People-Organisation FIT

This study not only focuses on applicants’ job pursuit intentions as discussed in previous studies [41] but also on the organisation’s signals sent to job applicants. This study predicted that candidates tend to show commitment and be more attracted to the organisation through CSR communication. The employee-focused approach of CSR attracts more applicants online than CSR orientated towards the environment and other issues. Organisations send signals online by conveying information about organisational life to job applicants. Those who respond positively show congruence between their values and those of the organisation [40].
Another surprising discovery is that, while some environmental duties are not widely publicized through social media, customers who are potential candidates may perceive environmental values through their experiences in stores. Therefore, the hiring process may draw benefits from their targeted customers. It can be seen that CSR understanding in the Vietnamese F&B industry associates with the stakeholder perspective. The research findings also emphasises the vital role of store managers, who are also recruiters. The experiment provides new insight into the relationship between individual characteristics and PO fit [40,51].

6. Conclusions

6.1. Summary

The research findings evidenced that CSR in the Vietnamese F&B industry typically appears as natural senses that are influenced by culture and depend on individual perspectives. CSR communication in online recruitment helps the organisation attract more job applicants via the official recruitment fan page and information spreading from personal accounts. Virtually, CSR communication that focuses on employees’ life gets more candidates than other CSR aspects. Furthermore, the data demonstrated that targeted consumers, who may be future applicants, are advantageous to the organization in recruiting because they are attracted by environmental action in stores. Also, recruiters, who are also store managers, play an essential role in recruiting the “right” and “perfectly fit” applicants.
The findings align with CSR conceptions that environmental responsibility attracts applicants who have the same environmental value. A key perspective of this research is that applicants for part-time and full-time positions show interest in the working environment, brand reputation, and career opportunities and do not highlight salary as a critical factor for choosing an organisation.

6.2. Practical Implications

The findings of this study have significant implications for human resource practitioners and general managers in the F&B sector in emerging economies. This stems from the growing use of social media by consumers and jobseekers in these countries. Competition for talent is being fought both globally and in the virtual sphere [33].
First, there is a need for general managers and HR in emerging economies to report environmental and philanthropic responsibility since it is evidenced that this can enhance the image of the organisation as employees project that image in the community. Second, HR and general managers in emerging economies need greater engagement with social networks in recruitment practices [32]. Dedicated company social media sites could be developed to convey the corporate message and image, thus extending organisational social media capabilities. In fact, positive messages posted by managers can boost the attractiveness of the companies [23]. Third, managers could have more involvement in educating their customers and the general population about the use of online platforms to be more culturally sensitive and friendly. This can ensure a greater person-organisation fit because the companies can engage in dialogue with potential applicants before appointment [28].

6.3. Limitations of the Study and Further Research

This study presents some limitations. The first one is the small sampling size. The second one is the limitation of the chosen qualitative method. The qualitative data are self-reported and present challenges in terms of research reliability. Thirdly, the data are mostly drawn from two specific locations (Hanoi and Ho Chi Minh City, Vietnam), which causes difficulties for generalisability. However, this study may serve as a reference point for similar studies involving CSR understanding and exploration in other Asian and emerging countries.
Future research can examine a specific domain of CSR (e.g., environment, philanthropy, or labour rights) in the F&B industry. Such future studies could be wider, with more national and regional data based on larger samples to increase validity and create room to share good practices.

Author Contributions

Conceptualization, K.K. and H.C.L.N.; methodology, K.K. and H.C.L.N.; validation, K.K., H.C.L.N. and D.H.-P.; formal analysis, K.K., H.C.L.N. and D.H.-P.; investigation, K.K. and H.C.L.N.; resources, K.K., H.C.L.N. and D.H.-P.; data curation, K.K. and H.C.L.N.; writing—original draft preparation, K.K. and H.C.L.N.; writing—review and editing, K.K. and D.H.-P.; visualization, K.K. and H.C.L.N.; supervision, K.K.; project administration, K.K. and H.C.L.N. All authors have read and agreed to the published version of the manuscript.

Funding

This research received no external funding.

Institutional Review Board Statement

The study was conducted in accordance with the research protocols of the University of Lincoln Research Ethics Committee.

Informed Consent Statement

Informed consent was obtained from all subjects involved in the study.

Data Availability Statement

The data collected has been made available in the findings section of this article. Detailed interview data is available from the corresponding author.

Conflicts of Interest

The authors declare no conflict of interest.

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Table 1. Participants’ details.
Table 1. Participants’ details.
Participant No.AgeGenderPositionExperience in F&B
(in Years)
Current
Organisational
Experience
(in Years)
Organization/Year
Established
Organization’s
Activity
SizeLocation
1.45MaleCEO/Co-founder66The Coffee House—VN Coffee Tea Service Trading Corporation
(Seedcom Group)
(2014)
Coffee chain—For low- and mid-income class2000 employees
154 coffee shops
Dien Bien Phu, Ho Chi Minh City
Trung Hoa, Hanoi
2.30FemaleLearning and Employee Engagement Manager33
3.28MaleOperation Manager44
4.29MaleStore Manager53
5.22MaleStore Manager32
6.25FemaleStore Manager21
7.25MaleStore Manager55
8.23FemaleStore Manager43
9.25MaleStore Manager33
10.25FemaleHR Staff and Mass Recruiter32
11.26FemaleHR Staff33
12.35FemaleHR Staff22V Lotus Holdings Joint Stock Company
(Lotus Group)
(1996)
Franchising 8 Japanese brands—For high-income class800 Employees
14 Restaurants
No Trang Long, Ho Chi Minh City
13.34MaleOperation Manager and Brand Manager144
14.25FemaleMass Recruiter22
15.31MaleStore Manager66
16.42FemaleStore Manager123
17.45MaleHR Staff235Com Tam Phuc Loc Tho—Phuc Loc Tho Foods Joint Stock Company
(2005)
Local food chain—For low- and mid-income class1000 Employees
30 Restaurants
Pham Van Dong, Ho Chi Minh City
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MDPI and ACS Style

Khuda, K.; Nguyen, H.C.L.; Hack-Polay, D. Effects of Corporate Social Responsibility on Online Recruitment Processes in the Vietnamese Food and Beverage Industry. Businesses 2023, 3, 293-309. https://doi.org/10.3390/businesses3020019

AMA Style

Khuda K, Nguyen HCL, Hack-Polay D. Effects of Corporate Social Responsibility on Online Recruitment Processes in the Vietnamese Food and Beverage Industry. Businesses. 2023; 3(2):293-309. https://doi.org/10.3390/businesses3020019

Chicago/Turabian Style

Khuda, Kudrat, Hong Chau Linh Nguyen, and Dieu Hack-Polay. 2023. "Effects of Corporate Social Responsibility on Online Recruitment Processes in the Vietnamese Food and Beverage Industry" Businesses 3, no. 2: 293-309. https://doi.org/10.3390/businesses3020019

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