1 Introduction

The pivotal role of the private sector in advancing sustainable development is widely acknowledged. However, the realization of its potential impact hinges upon effective utilization, as mismanagement of this influence can present formidable impediments to achieving sustainability and societal prosperity [1]. Such challenges stem from multifaceted issues, including scepticism regarding the efficacy and broader benefits of sustainability initiatives, as well as the misconception that engagement in sustainable practices merely entails sporadic philanthropic endeavours or charitable contributions. It is imperative to address these nuanced barriers with rigor and nuance, ensuring a comprehensive understanding of the complexities involved. By doing so, stakeholders can better leverage the private sector’s capabilities to drive meaningful and enduring progress towards sustainable development, while also fostering broader societal well-being. This perspective underscores the importance of scholarly inquiry and evidence-based strategies in navigating the intricate landscape of sustainability governance and practice [1].

Numerous companies and commercial entities have instituted philanthropic arms dedicated to charitable donations. Often, these entities portray such initiatives as remarkable demonstrations of their commitment to the community, without providing comprehensive insights into their broader adherence to economic and environmental sustainability imperatives. Such a limited focus fails to encompass critical aspects of sustainability, including governance practices, consumer rights, environmental stewardship, and carbon emissions stemming from operations, risk mitigation strategies, product quality, waste management protocols, and other essential elements [2]. By fixating solely on philanthropy, these organizations overlook the holistic nature of sustainability and neglect to address key dimensions crucial for long-term societal and environmental well-being. It is imperative for companies to adopt a more comprehensive approach that integrates philanthropic efforts within a broader framework of sustainable business practices, thereby ensuring accountability across various facets of their operations and contributing meaningfully to both societal and environmental welfare [2].

Given that the private sector operates within societal frameworks and regulatory environments, it is susceptible to influence by various factors, including government regulations. For instance, policies aimed at reducing carbon emissions have demonstrated significant sway over the operations of businesses. Such regulatory frameworks serve as powerful mechanisms for shaping the behaviour of private enterprises, compelling them to adapt their practices in line with climate change mitigation objectives. By imposing restrictions on carbon emissions, governments effectively influence the behaviour of businesses, encouraging them to adopt more sustainable practices that align with societal and environmental priorities. This underscores the intricate interplay between regulatory mechanisms and private sector behaviour in driving progress towards climate action goals [3].

2 Literature review

Sustainable practices, particularly in environmental conservation, pose significant challenges worldwide, particularly for manufacturing companies implicated in climate change and resource depletion. Such concerns elevate stakeholder expectations concerning eco-friendly manufacturing practices. Thus, it is strongly advised for these companies to transparently report their energy and resource consumption, as well as the environmental impact of their operations. Additionally, adherence to health and safety regulations should encompass a broad spectrum of environmental and social responsibilities within these firms [4].

As per the United Nations Report, sustainability entails the responsible management and consumption of resources to ensure the needs of present society without compromising those of future generations [1, 5]. Currently, global efforts across governments, businesses, Non-governmental Organizations, and individuals are aligned towards achieving sustainable development objectives, encapsulated in the United Nation Sustainable Development Goals. Adopted in early 2016, by leaders from 193 nations at the United Nations, these SDGs succeeded the Millennium Development Goals (MDGs) spanning from 2000 to 2015 [4, 6].

The Sustainable Development Goals (SDGs) mark a significant evolution from antecedent frameworks, distinguished by their heightened aspirations, particularly in the realms of human rights, inequality alleviation, and the cultivation of sustainable urban landscapes. Emphasizing the intrinsic interdependence among these objectives underscores their mutual influence and underscores the imperative for collaborative efforts. In light of contemporary global exigencies, there exists a compelling urgency for proactive interventions. Hence, the SDGs embody a collective endeavour among nations to forge a path toward a more auspicious future [1, 7]. In recent years, significant progress has been made towards achieving several Sustainable Development Goals (SDGs) since 2016, facilitated by the measurement and monitoring of SDGs through Key Performance Indicators (KPIs) [7, 8].

Sustainable Development Solutions Network (SDSN) has emerged as a novel approach to catering to the needs of low-income consumers in developing nations [1, 9, 10]. Within the realm of business discourse, sustainable business models (SBMs) have gained prominence, with FI being recognized as an effective means of sustainably serving low-income clientele [1, 9, 10].

Traditionally, innovations have been developed in developed countries before being transferred to developing nations [1]. However, recent decades have witnessed a remarkable surge in innovation within resource-constrained settings, particularly in developing countries [7]. Consumers in developing nations exhibit substantially lower purchasing power and distinct consumption preferences, thereby establishing a new frontier for international businesses [7].

According to [1] in [1] the concept of sustainability originated from environmentalists, focusing on the long-term consequences of pressures on natural support systems and resources. Sustainable development aims to enhance economic activities to ensure the long-term viability of natural resources and the environment, thereby improving the quality of life in communities and mitigating the adverse effects of resource depletion. This entails safeguarding natural resources, preserving environmental quality, fostering built environment development, promoting social justice within communities, and fostering increased participation and partnership. The growing awareness of environmental concerns such as global warming, climate change, and glacier melting poses significant threats to global inhabitants [11, 12]. Consequently, organizations must systematically, holistically, and fundamentally address these new challenges rooted in economics and the environment [3], necessitating the reconfiguration of business models toward sustainable innovation approaches [13].

Following a thorough comprehension of the concept and significance of sustainability within enterprises, the present study endeavours to examine the prevailing practices within these organizations and their contemporary management. Corporate Social Responsibility (CSR) encapsulates the array of actions and initiatives undertaken by organizations to advance sustainable development imperatives. Initially introduced in Europe circa 1950, the concept gradually disseminated globally alongside parallel notions such as corporate citizenship, sustainable responsible business, and social performance. However, it wasn’t until around 1960 that CSR attained widespread recognition, achieving broader global influence following the publication of R. Edward Freeman’s seminal work, “Strategic Management: A Stakeholder Approach” [14].

Private sector organizations utilize corporate social responsibility (CSR) initiatives to demonstrate their commitment to community and environmental concerns, as well as individual interests, thereby emphasizing their accountability and prioritization of stakeholder relationships [14]. Through a comprehensive examination of business impact and determinants of efficacy, research has underscored consumers as the primary influencers on CSR performance within these enterprises [15]. Investigated the correlation between CSR implementation and customer satisfaction within Farmers’ Association Credit Divisions (FACDs) in Taiwan, revealing a robust association between CSR adoption and enhanced customer satisfaction. Despite its ubiquity, CSR remains a multifaceted concept, posing challenges in achieving desired outcomes. While profitability typically ranks as the primary objective for private sector entities, the incorporation of CSR entails additional costs, particularly during periods of crisis or economic downturns, when companies may prioritize survival over extensive CSR endeavours [15].

In order to foster and sustain robust relationships between companies and their stakeholders, it is imperative for organizations to employ effective communication mechanisms for disseminating their Corporate Social Responsibility (CSR) endeavours. Such efforts serve as the primary means by which society becomes cognizant of the company's engagements in this realm [14]. The perception of organizations by customers and the broader community is largely shaped by the information they receive, absorb, and internalize concerning these entities. This underscores the critical importance for organizations to be cognizant of their actions and communications [15, 16]. Freeman [17] introduced the concept of stakeholders, elucidating that companies must comprehend and address the needs and expectations of various stakeholders, including employees, customers, suppliers, and communities, surpassing the sole interests of shareholders. Firms are thus tasked with being accountable to all stakeholders, demonstrating a comprehensive understanding of and responsiveness to sectorial needs while striving to maintain equilibrium among them [17, 18].

External stakeholders exert a substantial influence on the social performance of organizations, precipitating a global shift within the private sector towards assuming heightened responsibility for societal and environmental impacts. This evolution reflects the escalating pressure from external stakeholders, compelling organizations to embrace more stringent social and environmental standards [18, 19]. Notably, consumers emerge as pivotal agents driving companies to augment their Corporate Social Responsibility (CSR) endeavours and embrace environmentally sustainable practices. In response to heightened external pressures, companies are increasingly cognizant of the imperative to align with societal expectations [19, 20]. However, [19] advocate for a strategic approach among marketers in formulating CSR decisions, emphasizing the integration of CSR initiatives not only within the overarching strategic framework of the company but also to bolster its competitive standing. This strategic orientation is aligned with the community's desire for comprehensive transparency regarding corporate roles and responsibilities.

Consumer purchasing behaviour exhibits a discernible inclination towards companies demonstrating social responsibility [21], suggesting that corporate commitment to social responsibility is instrumental in fostering customer loyalty. Scholars have observed a close and favourable correlation between responsible corporate practices and consumer attitudes towards such entities [22]. However, this trend may not invariably hold true. For instance, research conducted in Australia revealed that while consumers expressed interest in and awareness of environmental issues, these concerns did not invariably dictate their purchasing decisions or orientations [21].

While the prevailing consensus among scholars aligns with this notion, dissenting voices exist, exemplified by [23], who challenges the notion of universal corporate omnipotence. Despite companies’ occasional shortcomings vis-à-vis stakeholders and society, the civil society and government bear the responsibility of establishing minimum behavioural standards for members of any given society [23].

Drawing from numerous reports assessing the level of corporate commitment in the business landscape of the Jordan, data from the Jordanian Chamber (2015) indicate that merely 19% of businesses have embraced Corporate Social Responsibility (CSR). This presents a tangible impediment to achieving sustainable development in Jordan, given the substantial influence wielded by the private sector in this endeavour.

Subsequent to the publication of the aforementioned report in 2020, the Corporate Responsibility Board (CRB) conducted a Survey Report titled “Corporate Social Responsibility in Jordan: Current Practice, Challenges, and Future Opportunities.” This survey engaged 210 business firms operating in Jordan. Regarding stakeholder pressure to embrace Corporate Social Responsibility (CSR) practices, the report indicates that customer influence ranks relatively low, scoring 2.8 out of 5. In contrast, community partners and charitable organizations exert a more substantial influence, with a rating of 3 out of 5. Notably, internal pressures emerge as the most significant drivers, particularly from top management/board and employees, garnering ratings between 3.6 and 4 out of 5. In order to assess the influence of societal sustainability awareness on the adoption of CSR among business firms in Dubai, the following hypothesis has been formulated.

  • \(H1:\) Enhanced community awareness regarding sustainability positively influences the adoption of Corporate Social Responsibility (CSR) by business enterprises in Jordan

  • \(H2:\) Enhanced community awareness regarding sustainability did not influence the adoption of Corporate Social Responsibility (CSR) by business enterprises in Jordan.

To visually represent the hypotheses, a conceptual model that illustrates the relationships between community awareness regarding sustainability and the adoption of Corporate Social Responsibility (CSR) by business enterprises in Jordan is create below (Fig. 1) as in [3]. We use boxes to represent the main concepts and arrows to indicate the expected direction of influence or relationships.

Fig. 1
figure 1

Hypotheses model diagram

This model clearly shows both hypotheses and the potential relationships or lack thereof between community awareness regarding sustainability and CSR adoption by business enterprises in Jordan.

2.1 Aims

The research endeavours to explore the relationship between community awareness and corporate social responsibility (CSR) adoption within the business landscape of Jordan. It seeks to address the decline in CSR despite significant advancements in commercial and industrial spheres, attributed to factors such as scepticism among stakeholders and perceived high costs associated with sustainable technologies.

3 Methodology

The research employs a multifaceted methodology for data collection. A quantitative approach is adopted through the distribution of surveys containing a set of predefined questions to a representative sample of participants. Additionally, a qualitative approach, specifically an interview method, is utilized. Unlike surveys, these interviews involve verbal exchanges between the interviewer and interviewee, facilitating the exploration of opinions, attitudes, feelings, motives, and behaviours pertinent to the research inquiry. These interviews are conducted on an individual basis and feature a combination of precise and extensive questions, often supplemented by probing inquiries such as inquisitive or analytical questions to elicit deeper insights. The duration of each interview session is limited to less than one hour to prevent exhaustion on both sides [3].

As a subsequent phase of data collection, the study incorporates semi-structured interviews to delve deeper into the underlying reasons and attitudes behind respondents’ perspectives. This approach allows for the exploration of the depth of knowledge or beliefs regarding the research topic through extensive questions, providing a richer understanding of the subject matter. Interviews offer greater flexibility and the opportunity to delve further into the nuances of the study area, thereby enhancing the overall depth of investigation [10, 23, 24]. Therefore, the study utilized an online questionnaire methodology, offering efficiency in data collection and analysis. Specifically, a closed questionnaire format was employed, featuring predefined answer options for participants to select. This approach streamlined response collection, saving participants time and effort, while facilitating straightforward categorization and statistical analysis of the data. Though, a limitation of this method is the potential inability of participants to find an answer that precisely aligns with their response. To mitigate this issue, the study ensured that the available answer options aligned with the research objectives.

A total of 240 respondents were targeted for the survey, determined according to the sample size formula established by [25]. The research team diligently disseminated the survey link via the Survey Google form which is user-friendly interface platform to maximize participation, resulting in a total of 281 responses with a completion rate of 86.1%. After filtering for validity, 242 responses were deemed suitable for analysis. The distribution and collection phase spanned approximately 8 months, commencing on February 02, 2023, and concluding on October 13, 2023.

In the subsequent interview phase, experts and relevant employees from five different business firms in Jordan were engaged. These individuals held positions tremendously such as sustainability manager, corporate sustainability manager, communication and Cooperate Social Responsibility manager, Cooperate Social Responsibility division director, or Quality, Health, Safety, and Environment manager responsible for Cooperate Social Responsibility functions within their respective organizations as adapted in [1]. It also conducted via virtual meetings, the interviews lasted between 25 to 40 min and comprised five open-ended questions, the responses to which were meticulously recorded.

The research methodological model is a guide to the data collection and analysis processes, facilitating a more streamlined and efficient analysis; therefore, this research developed a methodological model (Fig. 2) to guide the data collection and analysis processes in this study [3].

Fig. 2
figure 2

The methodological model

3.1 Ethics

In accordance with ethical standards for research involving human participants, all individuals involved in this study are adults, and there are no children under the age of 16. They are provided with freely-given, informed consent prior to their participation. The consent process included a detailed explanation of the purpose, procedures, risks, and benefits of participation, and participants were assured of their right to withdraw from the study at any time without penalty. Confidentiality and anonymity were maintained to safeguard the privacy of participants, and all data collected were used solely for research purposes.

4 Results

Through adherence to the prescribed research methodology outlined in this study, significant data were acquired, elucidating pivotal dimensions of the nexus between community awareness and the degree of corporate social responsibility, integration within the business landscape of Jordan. Predominantly comprising individuals outside the Jordan business sector or media organizations, community members constituted nearly 70% of the study sample. Table 1 delineates the demographic composition of the sample, encompassing variables such as gender, nationality, and the extent of sustainability and corporate social responsibility knowledge exhibited by participants as adopted in [1].

Table 1 Demographic composition

This excerpt delineated its self-assessment, indicating an average knowledge at 37% and good and excellent knowledge at 27% concerning sustainability sciences. Moreover, about 38% of respondents articulated a comprehensive understanding of the fundamental components requisite for fostering sustainable development across economic, environmental, and societal domains. Ultimately, nearly 52% of participants were acquainted with both the United Nations' Sustainable Development Goals and the corresponding national strategies within their vicinity.

The hypothesis that community sustainability awareness influences CSR practices in Jordan is validated, showing a significant impact on the business sector (Table 2a). Detailed outcomes are summarized, indicating successful data collection and hypothesis support (Table 2b) [1].

Table 2 Result of hypothesis testing

In light of the preceding findings, it emerged that half of the sample manifested the discernment to differentiate between enterprises proficiently enacting social responsibility practices and those exhibiting shortcomings in this domain. Drawing from the preceding findings, it was observed that fifty percent of the sample demonstrated the capacity to differentiate between companies that effectively implement social responsibility practices and those that do not meet such standards.

Among the sampled population, 54% indicated a perception that companies operating within Jordan make positive contributions, albeit possibly in only one facet of sustainable development. Furthermore, 52% of respondents noted that these companies generally incorporate sustainability considerations into their operational activities for the production of services or products. Additionally, an overwhelming majority, comprising 78% of the sample, anticipated a significant association between the level of awareness among community members and the degree of societal responsibility exhibited within the business sector. They acknowledged their concurrence with the notion that heightened awareness among community members tends to elicit increased commitment from the business sector. They recognized their mutual understanding that the corporate sector will demonstrate increased dedication in response to the heightened awareness among community members.

5 Discussion

The research affirmed the acceptance of the formulated hypothesis, indicating a tangible correlation between individuals' awareness and comprehension of sustainability and the fostering and expansion of societal engagement within the business landscape of Jordan, as outlined in the literature review. Furthermore, as stated by [1], consumers exert influence over the conduct of businesses and the extent to which they embrace the concept of social responsibility.

This underscores the manner in which businesses embrace the concept of social responsibility [26]. A notable majority, exceeding 82% of the surveyed participants, affirmed the notion presented in the direct inquiry to the research cohort: “Is it perceived that heightened concern and understanding of sustainability among the community and its members lead to an augmentation of social responsibility within business sector entities in Jordan?” As consumers express their community-oriented ethos through patronage of enterprises that prioritize ethical conduct, this phenomenon will exert a substantial influence on businesses' revenue streams and, consequently, their financial viability [1, 27].

The study aimed to explore the dynamics between community members and commercial enterprises in Jordan through the lens of ethical business practices, utilizing those relevant questions. A predominant concern among respondents is the sustainability practices of the Jordan-based firms from which they procure their goods and services. Furthermore, a significant majority possesses the ability to discern between businesses that prioritize sustainability and those that do not. Additionally, findings indicate that 59% of the samples exhibit a considerable degree of Corporate Social Responsibility adoption within the Jordan organizations, emphasizing their apprehension regarding the sustainability practices of the companies from which they obtain their necessities. In contrast, [2] in [1] noted that while social responsibility and sustainability support are important concerns, they may not always be feasible considerations when individuals are making personal purchasing decisions.

The research revealed that high-performing businesses in the realm of social responsibility encounter challenges with public perception regarding their environmental and sustainability initiatives, as well as their partners’ understanding of these efforts. This often results from societal and partner knowledge levels, leading to apprehensions among shareholders and senior leaders regarding the tangible returns on these endeavours in the near future. This significantly impacts the evidence suggesting that a company’s commitment to Corporate Social Responsibility fosters favourable opinions and intentions among consumers towards engaging with them in business transactions. The majority of interviewees, particularly owners of organizations excelling in responsible business practices, expressed high expectations regarding the impact of public awareness of responsible business conduct on their operations. They perceive this heightened awareness as a driver of their company’s success and the appreciation of their investments. Given their focus on community assistance and preservation rather than purely profit-seeking endeavours, these businesses enjoy solid support from community members. However, despite businesses' efforts and investments in Corporate Social Responsibility, as in [28] noted in the restaurant industry context, realizing the full strategic value of Cooperate Social Responsibility is challenging due to inadequate stakeholder understanding. It was also emphasized that this would affect businesses that neglect CSR, hindering their business growth and potentially leading to market exit for some. All interviewees agreed that increased community awareness of ethical business practices would positively impact their brand image and sales. Furthermore, [25] found those consumers’ and community members' understanding of social responsibility tends to be superficial.

The study suggests that the business sector may need to play a role in educating the community to accurately perceive its initiatives and efforts, which can aid in garnering support and investments for these endeavours. Interviews with organizations demonstrating lower levels of responsible action perceived this as exerting pressure on their operations and necessitating policy changes towards responsible activities. While there’s a general consensus that Corporate Social Responsibility positively impacts financial performance, [29] analysed how Corporate Social Responsibility indirectly affects consumer happiness and arrived at a similar conclusion. Additionally, the study revealed a potential link between geographic location, national economic health, and community interest in sustainability. People are more likely to engage with socially conscious businesses when economic conditions are favourable [1]. However, individuals in poorer countries tend to prioritize their own interests over community welfare, reflecting varying societal values. Despite these nuances, efforts to raise awareness about the significance of sustainability influence consumer behaviour, even though pricing remains a critical factor.

Furthermore, the study suggests that community awareness of ethical business practices can drive businesses to operate more sustainably. Establishing a ranking system for sustainability-oriented businesses in Jordan could facilitate informed consumer choices. Regression analysis indicated a direct correlation between community awareness and CSR adoption in Jordan's business sector, shedding light on factors influencing CSR adoption. This underscores the importance of public awareness in shaping corporate social responsibility practices.

The study’s findings highlight the power of community awareness in influencing business practices and convictions. By providing insights into factors affecting CSR practices in Jordan, the study contributes to the existing literature in this field. Programs aimed at enhancing consumer awareness and understanding of businesses’ CSR efforts are deemed necessary, given the varying levels of societal knowledge [1, 29]. Additionally, the study points towards future research avenues, including exploring effective strategies for increasing public awareness and understanding of sustainability, as well as the role of CSR communications tools like sustainability reports in promoting CSR adoption. Lastly, the study emphasizes the importance of shaping public opinion to pressure businesses into adopting sustainability standards. It advocates for clarifying potential variables, hypotheses, and outcomes to achieve this objective effectively.

6 Conclusion

In conclusion, this research has provided valuable insights into the dynamics between the business sector and the community regarding corporate social responsibility (CSR) and sustainability practices in Jordan. The findings shed light on various aspects, including the challenges faced by businesses in garnering support for their responsible initiatives, the influence of community awareness on consumer behaviour, and the potential impact of economic factors on sustainability interests. One notable aspect highlighted by the study is the importance of education and awareness-building initiatives within both the business sector and the community. It suggests that businesses may need to take an active role in educating the public about their CSR efforts to garner support and investment. Additionally, efforts to raise community awareness about the significance of sustainability can drive businesses towards more responsible practices. Furthermore, the study underscores the need for transparent communication channels between businesses and the public regarding CSR activities. It emphasizes the role of sustainability reports and other communication tools in facilitating informed decision-making by consumers and stakeholders.

The research also points to potential challenges and opportunities associated with geographic location and economic conditions. While societal values and economic factors may influence consumer behaviour, efforts to promote sustainability can still yield positive results, particularly in regions with favourable economic conditions. Generally, this study contributes to the existing literature by providing insights into the complex relationship between businesses, communities, and sustainability practices. It highlights the importance of on-going research and dialogue in shaping corporate behaviour and societal attitudes towards sustainability. Moving forward, efforts to increase public awareness, enhance transparency, and promote responsible business practices will be essential in fostering a more sustainable and socially responsible business environment in Jordan and beyond.

6.1 Recommendation for future research and solving business problems

Future research should focus on sector-specific CSR strategies, the long-term impacts of CSR initiatives, and the influence of consumer behaviour on CSR adoption. Comparative studies across regions and the role of government policies in promoting CSR should also be explored. To solve business problems, companies should integrate sustainability into core strategies, engage stakeholders, invest in sustainable technologies, educate employees, monitor and report progress, leverage partnerships, and utilize consumer insights. These steps will help businesses align their operations with sustainability goals, enhance CSR effectiveness, and contribute positively to societal and environmental well-being.

6.2 Definition of key variables

6.2.1 Societal sustainability consciousness

Societal Sustainability Consciousness: refers to the awareness, understanding, and concern within a community regarding sustainable development and its principles. It encompasses knowledge about environmental conservation, social equity, and economic viability, and involves recognizing the importance of sustainable practices for current and future generations. This consciousness is reflected in the community's attitudes, values, and behaviours that support and advocate for sustainable development initiatives.

6.2.2 Corporate social responsibility (CSR) uptake

Corporate social responsibility (CSR) uptake: refers to the extent and manner in which businesses adopt and integrate CSR practices into their operations. This includes initiatives that go beyond legal requirements to voluntarily contribute to societal and environmental well-being. CSR uptake can involve a range of activities such as ethical business practices, environmental sustainability measures, community engagement, and social equity efforts. The degree of CSR uptake is measured by the commitment, resources, and actions taken by businesses to fulfil their responsibilities towards various stakeholders, including employees, customers, communities, and the environment.

6.2.3 Community awareness

Community awareness: in this context refers to the level of knowledge and understanding within the community about sustainability issues and the role of businesses in promoting sustainable development. It includes awareness of the United Nations’ Sustainable Development Goals (SDGs), national sustainability strategies, and specific sustainable practices that businesses can implement. Community awareness is a critical factor influencing public expectations and support for corporate sustainability initiatives.

6.2.4 Business commitment to sustainability

Business commitment to sustainability: indicates the dedication and proactive measures taken by businesses to incorporate sustainability into their core operations and strategies. This commitment is evidenced by the implementation of sustainable technologies, reduction of carbon footprints, adoption of eco-friendly practices, and engagement in transparent reporting of their sustainability performance. It reflects the extent to which businesses prioritize long-term environmental, social, and economic goals over short-term profits.