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The book shows that in small and medium enterprises the strategic incorporation of socially responsible behavior contributes to improving the competitiveness. The analysis is from a multi-stakeholder perspective. It investigates relationship with key stakeholders to find out if there is a competitive advantage in applying Corporate Social Responsibilities practices. Besides the direct influence of Corporate Social Responsibility practices on competitive performance, the mediating effect of relationship improvements has been analyzed. Stakeholders hold the key to influence the environment in which the organization operates, and its subsequent financial performance. The empirical analysis was constructed through structural equation modeling (SEM) from survey data collected from a sample of Brazilian SMEs. Participants were firms from the Southern region of Brazil mainly from the State of Rio Grande do Sul, Santa Catarina, and Parana.