Essay Corporate Social Responsibility

652 Words 3 Pages
Despite the growing awareness and popularity of the term CSR, there is no general consensus as to what it actually means.9 In fact, CSR is often used interchangeably with various other terms, such as corporate philanthropy, corporate citizenship, business sustainability, business ethics, and corporate governance.10 Although these other terms do not all mean the same thing, there is one underlying thread that connects them all - the understanding that companies have a responsibility not just toward shareholders, but also toward other stakeholders, such as "customers, employees, executives, non-executive board members, investors, lenders, vendors, suppliers, governments, NGOs, local communities, environmentalists, charities, indigenous …show more content…
But a modern company has several types of equity in addition to financial equity. Investments in these other equities are made by a variety of stakeholders. For instance:
• Intellectual equity: Employees invest their ideas in improving technological processes, product quality, cost management, marketing techniques, and customer service. These initiatives usually go far beyond the call of normal duty for which they are compensated.
• Goodwill equity: The community around a firm invests its goodwill; it continues to support operations in spite of inconveniences it suffers in the form of, for example, environmental pollution, and traffic congestion.
• Growth equity: The government's investment is in the form of law and order, infrastructure development, and economic policies conducive to business growth.
• Knowledge equity: Educational institutions invest their expertise through their research and their students.
Given the latent discussion around the implications of having a regulated CSR scheme, as well as the scarce literature addressing the subject in the context of middle income and developing countries; the newly enacted policy on corporate social responsibility in Indian and its applicability through a PPP approach emerge as an interesting case for research.

By the application of semi-structured personal interviews with relevant stakeholders, and

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