Corporate Social Responsibility (CSR) has become a key aspect of modern business, focused on integrating social and environmental values into business strategies and operations. This paper explores the fundamental principles of CSR, its dimensions, its application across various industries, and its impact on business and society. The objective of this paper is to define the characteristics of CSR through corporate activities and provide a brief overview of CSR in the Republic of Croatia. The purpose of the paper is to illustrate the various ways in which retail companies can address consumer needs through socially responsible activities in the production and sale of sports equipment, clothing, and footwear. For this purpose, secondary research of available scientific and professional literature in the fields of economics and sustainable development was conducted, along with primary research using in-depth interviews with regional managers responsible for CSR activities at Decathlon Zagreb d.o.o. The conducted research concludes that Decathlon has achieved a significant competitive advantage through corporate social responsibility by integrating and linking environmental and social responsibility with business goals. By successfully applying corporate social responsibility, the company has strengthened its brands, increased customer loyalty, and improved operational efficiency. This approach has enabled the company to respond to today's growing consumer demands for sustainable and ethical business, thus differentiating itself in both the local and global sports products market.