Corporate Social Responsibility
PART A
The concept of corporate social responsibility (CSR) is very modern and now applies to more and more business. As the nation population grows, the market also expands. The demand for companies that invest in CSR has increased the resent years from: customer; employees; suppliers; community groups’ government as well as some shareholder.
Several authors argue that companies can gain enormous benefits by being social responsible. However, there are a large number of different views of companies engage in CSR.
The Commission for the European Communities (2001) defines CSR as "a concept whereby companies integrate social and environmental concerns in the business operations and in their interactions with their stakeholders on a voluntary basis".
Kotler and Lee (2005) argue that CSR engagement has shifted from obligation to strategy. Before 1990s engagement in CSR tented to be implemented as a result of pressures for ‘doing good to look good’. Today we can observe a shift towards a strategy approach, which is described as, ‘doing well and doing good’.
As the concern for global warming has increased rapidly the past years, this led to a further increase demand for CSR (Diana, 2006). Several companies have responded by increasing their CSR investments. (McWilliams & Siegel, 2000). Due to this, the media and governments all over the world have become adept by holding their organizations or enterprises to account for the social impacts of their actions. However, other companies have resisted investing in CSR as they believe that it contradicts their aim to maximise profits. (McWilliams & Siegel, 2000).
Furthermore, companies are recognizing the importance of CSR for the company’s image and reputation. Kotler and Lee (2005) argue that companies participate in CSR in order to look better, feel better, do better and live longer. They explain that by participating in CSR the company will look good in the view of potential customers, business,
The concept of corporate social responsibility (CSR) is very modern and now applies to more and more business. As the nation population grows, the market also expands. The demand for companies that invest in CSR has increased the resent years from: customer; employees; suppliers; community groups’ government as well as some shareholder.
Several authors argue that companies can gain enormous benefits by being social responsible. However, there are a large number of different views of companies engage in CSR.
The Commission for the European Communities (2001) defines CSR as "a concept whereby companies integrate social and environmental concerns in the business operations and in their interactions with their stakeholders on a voluntary basis".
Kotler and Lee (2005) argue that CSR engagement has shifted from obligation to strategy. Before 1990s engagement in CSR tented to be implemented as a result of pressures for ‘doing good to look good’. Today we can observe a shift towards a strategy approach, which is described as, ‘doing well and doing good’.
As the concern for global warming has increased rapidly the past years, this led to a further increase demand for CSR (Diana, 2006). Several companies have responded by increasing their CSR investments. (McWilliams & Siegel, 2000). Due to this, the media and governments all over the world have become adept by holding their organizations or enterprises to account for the social impacts of their actions. However, other companies have resisted investing in CSR as they believe that it contradicts their aim to maximise profits. (McWilliams & Siegel, 2000).
Furthermore, companies are recognizing the importance of CSR for the company’s image and reputation. Kotler and Lee (2005) argue that companies participate in CSR in order to look better, feel better, do better and live longer. They explain that by participating in CSR the company will look good in the view of potential customers, business,
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