Corporate Social Responsibility is a company’s actions to embrace responsiblity for the impact of its activities on the environment, consumers, employees, public community, and
other stakeholders. The Indonesia Government have regulated the obligation of CSR in publicly-held companies with the enactment of UU PT no. 40, 2007. The goal of this research
is to observe the implementation of CSR by small and medium enterprises (SMEs) located around Yogyakarta. 48 samples were observed. It is found that firms are acting out CSR in
various ways and methods. The priorities of executing CSR is to fullfill the needs of suppliers, customers, employees, local community, and the environment.