...a framework for analyzing corporate social responsibility (CSR). Our model of CSR in this paper has two important ingredients – CSR is at least in part a profit motivated decision; and different CSR activities are aimed at different audiences. We examine the implications of our framework using a ‘visible’ CSR index that captures consumeroriented CSR. We find that CSR is more prevalent in advertisingintensive (consumer-oriented) industries, and CSR is more positively related to profitability in these industries. Further, the effect of CSR on profits is stronger in competitive industries, especially when few other firms undertake such actions, suggesting that CSR may be used as a means of differentiation in otherwise competitive environments. We also find tentative evidence that the profit effects of CSR are more positive when large external shareholders are on the board. Finally, we document that different types of CSR activities targeted toward different audiences appear to be unrelated. The authors thank Franklin Allen, Randall Morck, Michael Roberts and Jeremy Stein for discussions. # Fisman and Heal are at the Graduate School of Business, Columbia University and Nair is at The Wharton School, University of Pennsylvania. 1 * In the business community, Corporate Social Responsibility (CSR) has emerged as a significant theme.1 While the growing emphasis on CSR is affecting the relationship between companies and their various stakeholders - investors, customers, vendors...
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...CORPORATE SOCIAL RESPONSIBILITY 1. RELEVANT PROVISIONS The Companies Act, 1956 has now been repealed and the new Companies Act, 2013 has been introduced. The companies Bill 2012 was passed by the Rajya Sabha on 8th August 2013 and earlier passed by the Lok Sabh on 18th December 2012. It has now received the Presidential assent and has now become the Companies Act, 2013. Chapter IX, Section 135 of the Companies Act, 2013, Schedule VII lays down the provisions relating to Corporate Social Responsibility. The Central Government in the exercise of the powers conferred under clause (o) and clause (q) of sub-section 3 of Section 134 read with Section 135 and sub-sections (1) and (2) of section 469 of the Companies Act, 2013 lays down CSR Rules, 2013. CSR rules have not yet been notified. 2. INTRODUCTION Corporate social responsibility has been in existence for a long time and is based on the Gandhian principle of trusteeship concept whereby business houses are looked upon as trustees of the resources they draw from the society and hence they are to return them back manifold. CSR is extremely important for sustainable development of all those people on whom the business has an impact including the society at large. CSR functions as a self-regulating mechanism whereby a business monitors and ensures its compliance with law and ethical standards. CSR is the process by which an organization thinks about and evolves its relationships with stakeholders for the common good,...
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...Supply 48/A/ Badda Nagar, B.D.R. Gate No. 1 Pilkhana, Dhaka-1205 ISBN : 978-984-33-6453-1 2 ACKNOWLEDGEMENTS We wish to express our appreciation to the following individuals and organisations, without whose support this research would not be possible to accomplish. Our appreciation goes to the business leaders who provided their valuable time in sharing their views and CSR practices, and for the in-depth discussions on the current situation and ways and means of improving CSR practice in Bangladesh. We were encouraged by the enthusiasm shown by the private sector and their willingness to meet with us and share their experience, often at very short notice. Without the support from these leaders, our study would not have been possible. We would particularly like to thank Mr. Santos Datta Joint Secretary of the Bangladesh Employers Federation, who personally communicated with their listed companies and has briefed them about the research. We would also like to thank the support given by factory workers who were open and willing to share their work experience in those respective companies. We are also grateful to Diakonia who...
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...University Hanoi. He has kindly helped me and supported me all the way through. I also would like to express my thank to Ms. Sumathi and Ms. Shenba, Help University College, who initiated the project and give so much instruction and support. Additionally, I also would like to extend my special thanks to managers, accountants, my friends, and other people who have help me to carry out the survey. I want to thank them for all their support, interest and valuable hints. PHAM THUY LY iii CORPORATE SOCIAL RESPONSIBILITY IN VIETNAM; A STUDY OF ITS IMPORTANCE By PHAM THUY LY March 2011 Supervisor: Dr. Le Van Lien ABSTRACT CSR is currently an important and necessary issue for everyone and business organizations in the world, as well as in Viet Nam. CSR concept has been developed for several decades in the world, but in Viet Nam, it is not popular for all people and companies. Especially, Vietnamese economy has been...
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...gratitude to my supervisor, Dr. Pham Duc Hieu from International School at Vietnam National University, Hanoi who guide me in my choice of assignment 2. I also would like to thank to Ms. Sumathi and Ms. Shenba at Help University College, who initiated the project and give so much instruction and support. 3. Thank all the respondents in Panasonic company who have helped me complete the survey with their enthusiastic and supporting manner. 2 A CASE STUDY OF CORPORATE SOCIAL RESPONSIBILITY: A SUSTAINABLE TOOL OF COMPANIES’ DEVELOPMENT IN VIETNAM By HOANG THUY HANG October 2011 Supervisor: Dr. PHAM DUC HIEU ABSTRACT With the increasing effects of ASEAN over the world, Vietnam is an ideal market for corporations. Furthermore, becoming the member of WTO since 2007 is an opportunity as well as the threats for local companies. Following the globalization trend, corporate social responsibility (CSR) has been the vital issue in both national and global market. CSR has recently emerged in Vietnam’s market, however, the knowledge and actions of CSR is limited. Many scandals occurred relating to CSR issues such as the case of Vedan Co. Ltd, Sabeco...
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...Corporate Social Responsibility – How the new companies’ bill-2013 will affect the lives of people in India. JOSHI BABU.PALLI 13SSMA35 Contents 1. Corporate Social Responsibility (CSR)-Definition 2. CSR history in India 3. Role of CSR in society –Indian perspective 4. Indian companies’ achievements as part of CSR so far 5. Companies bill-2013 6. Benefits and challenges to the society 7. Conclusion 1. Corporate Social Responsibility-Definition There are so many definitions are there which defined the Corporate social responsibility(CSR) in their own way but most acceptable definition is given by Lord holme and Richard watts in the book “making good business sense” i.e. “Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large” with this definition we can understand that CSR that corporate companies’ contribution to the betterment of society by funding and as well as organizing the social works and fighting against the social evils. Many countries have their own terminology for CSR for example: USA uses corporate citizenship and some other countries use sustainable business etc. The concept of CSR originated in the 1950’s in the USA and the concept came into prominence in public debate during the 1960’s and 1970’s. At that time US had lots of pressing social problems like...
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...Executive Summary: The aim of this study was to assess the effectiveness of Corporate Social Responsibility (CSR) practices of some local banks and track the performance of these banks with superior ratings for environmental, social and governance practices in Bangladesh and these banks are: Eastern Bank Limited, One Bank Limited and Mutual Trust Bank Limited. The study specifically focused on the extent to which companies practicing CSR complied with basic legal labor standards involving their employees and my marking 0 and 1 (0 for Null for practicing CSR,1 for CSR Practice). The study involved identification of companies providing CSR, obtaining information about the details of the CSR practices adopted at these companies (though looking at their website and interviews few of employees) and an assessment of how well these companies complied with basic CSR standards. The research found that most CSR practicing companies practiced CSR in their own specific way. It was often unclear how much money companies spend on CSR and it also found that many of these companies, whilst providing CSR, did not comply with the law in providing basic labor standards to their employees. The study also showed the comparison among these three banks with graph where graphical technique is informative in the field of statistics used to visualize quantitative data. Statistics and data analysis procedures generally yield their output in numeric or tabular form; graphical techniques allow such...
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...RESPONSIBILITY IN THE PHARMACEUTICAL INDUSTRY: BETWEEN TREND AND NECESSITY by Cecile Oger BSc. (Honours) Chemistry with Business Administration Kingston University London, UK, 1995 A thesis presented to Ryerson University In partial fulfillment of the requirements for the degree of Master of Business Administration In the program of Master of Business Administration Toronto, Ontario, Canada, 2009 © Cecile Oger 2009 Library and Archives Canada Bibliothèque et Archives Canada Published Heritage Branch Direction du Patrimoine de l’édition 395 Wellington Street Ottawa ON K1A 0N4 Canada 395, rue Wellington Ottawa ON K1A 0N4 Canada Your file Votre référence ISBN: 978-0-494-59035-5 Our file Notre référence ISBN: 978-0-494-59035-5 NOTICE: AVIS: The author has granted a nonexclusive license allowing Library and Archives Canada to reproduce, publish, archive, preserve, conserve, communicate to the public by telecommunication or on the Internet, loan, distribute and sell theses worldwide, for commercial or noncommercial purposes, in microform, paper, electronic and/or any other formats. . The author retains copyright ownership and moral rights in this thesis. Neither the thesis nor substantial extracts from it may be printed or otherwise reproduced without the author’s permission. L’auteur a accordé une licence non exclusive permettant à la Bibliothèque et Archives Canada de reproduire, publier, archiver, sauvegarder...
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...investigates the Corporate Social Responsibility (CSR) practices of Infosys Ltd. – India’s second largest IT Company. The report discusses the background of the company and its current state of CSR practices. For better evaluation, the analysis is broken up into four thrust areas, namely The Infosys Foundation – which deals with various social welfare activities, Sustainable Change Programs – which deals with all levels of education, The Employee – Driven Programs – which are loose, unstructured programs run by volunteers and the Eco Group Programs – which deal primarily with reducing Infosys’ carbon footprint. The report discusses the CSR initiatives taken by the firm in each of these areas and subsequently provides an assessment for them based upon the criteria of proper implementation, measurable impact, magnitude and fit with the organization’s business. In forming the assessment, quantitative data has been taken wherever possible, for e.g. in the case of the financial viability of the CSR initiatives, the amount allocated to CSR has been compared with the annual profit figures of the organization. However, majority of the assessment is based upon qualitative data collected from third party assessment of the impact of Infosys’ CSR. The report concludes by taking an overall view of the CSR practices undertaken by Infosys in terms of again, looking at third party recognition in the form of ratings and awards that the company has achieved over its lifetime. All in all, a positive...
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...mrinal.rao241@gmail.com Title of Paper: “Social Responsibility & SMEs: A study of Corporate Social Responsibility Trends and Practices in India”. ABSTRACT: The past twenty years have seen a radical change in the relationship between business and society. Key drivers of this change have been the globalization of trade, the increased size and influence of companies, the repositioning of government and the rise in strategic importance of stakeholder relationships, knowledge and brand reputation. Businesses have come under increasing pressure to demonstrably engage in activities which are described as corporate social responsibility (CSR). The term CSR can be defined in terms of the responsiveness of businesses to stakeholders’ legal, ethical, social and environmental expectations, is one outcome of these developments. The contribution of MSMEs to the economic growth of a nation is well recognized. They generate employment and nurture entrepreneurship. With the phenomenal growth of the MSMEs in recent times, there has been an increased awareness of CSR in MSMEs also. However, the existing social responsibility debate almost revolves around...
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...Top 500 Companies Richa Gautam and Anju Singh Industrial Safety & Environment Management Group, National Institute of Industrial Engineering (NITIE), India Abstract Purpose -The purpose of this study is to explore the various definitions and descriptions of Corporate Social Responsibility (CSR); elaborate upon development of CSR in India; study the theoretical concepts expounded by various researchers and study the deployment of current CSR practices in India. This paper examines how India’s top 500 companies view, and conduct their CSR, identifies key CSR practices and maps these against Global Reporting Initiative standards. Design/methodology/approach -It is a cross sectional study which is exploratory in nature. It involved secondary data collection and use of content analysis technique to assess CSR practices of companies operating in India. Findings -The main findings of the study are that CSR is now presented as a comprehensive business strategy, arising mainly from performance considerations and stakeholder pressure. Companies consider their interaction with stakeholders and impact of its business on society as significant issues. CSR policies vary with turnover and profit. The study suggests that business and CSR strategy appear to be on a convergent path, towards business and CSR integration across the company. Out of the top 500 companies, 229 did not report on CSR activities and were therefore filtered. 49% of the remaining 271 companies were reporting on CSR. Many...
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...environment quality. Proactive organizations are accountable for facilitating, demonstrating and promoting corporate social responsibility. Companies have to rethink their strategy from being profit driven to corporate citizenship. There has been immense pressure from government, customer, employees and competitors to think towards environmental management. HR can play a critical role in this regard by acting as a medium to communicate and educate firms about the importance of CSR. At the same time HR can integrate business goals and CSR goals by implementing HR practices. Introduction Since rapid industrialisation, natural resources are getting depleted at a fast pace. There is a need to conserve and judiciously use natural resources so that there is no burden on our future generation. Corporate sustainability was once seen as a philanthropic activity but now it is getting its due importance in leading companies. Companies have gone to the extent of proactive environmental management which encourages corporations to prevent pollution at the source rather than at the end of pipeline (Annexure 01). Cutting edge firms are going beyond pollution prevention and exploring new opportunities for developing eco-friendly products, processes and technology. For many firms, environmental values are becoming core values. For example, 82% of companies noted that good corporate citizenship helps the bottom line and 74% said the public has the right to expect good corporate citizenship.1 As...
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...Transnational Journal of Science and Technology April 2014, vol.4 No.2 ISSN 1857-8047 CORPORATE SOCIAL RESPONSIBILITY AND CORPORATE IMAGE Ayanda, Adebayo Maruf Department of Business Administration and Management Technology, Faculty of Management sciences, Lagos State University, Ojo, Lagos- Nigeria. Baruwa, Akinfolarin Afeez Department of Business Administration and Management Technology, Faculty of Management sciences, Lagos State University, Ojo, Lagos- Nigeria Abstract This article analyses the impact of corporate social responsibility on corporate image, basing the findings theoretically and empirically. The first part of this article focuses on a theoretical concept of corporate social responsibility. The authors analyze different definitions of corporate social responsibility, review chronological development of this concept and reveal similarities between different definitions. Positive and negative positions towards corporate social responsibility are presented and compared. The second part of this article reveals the theoretical concept of corporate image and the constituting factors. After discussing different definitions of corporate image, concluding remarks are made. The authors of this article discuss the topicality of corporate image management subsequently and name the factors that form corporate image, laying out the basis to manage particular factors. The first two parts of this paper provide a theoretical basis for further discussion. The third part of...
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...RESEARCH PROBLEM CORPORATE SOCIAL RESPONSIBILITIES ACTIVITIES: A COMPETITIVE ADVANTAGE IN THE PERCEPTION OF CONSUMERS OF TACLOBAN CITY OBJECTIVES 1. To determine and accurate relationship between CSR activities and the value perceived by consumers 2. To ascertain the effect of CSR to consumer’s buying intention 3. To measure the willingness of consumers to pay a premium being aware of the company’s CSR 4. To determine the change of customer loyalty to company as CSR activities exist in the settings 5. To make an in depth comparison of the consumer’s perception between companies with different CSR levels and that which has none 6. To differentiate the level of customer’s satisfaction on the company with CSR to that of no CSR 7. To identify the contributions of company’s CSR to the development of its competitive advantage 8. To provide companies in the local areas of recommendations of whether or not to employ CSR activities RATIONALE/SIGNIFICANCE OF THE STUDY Corporate social responsibility (CSR) has been publicized as an effective management tool to strengthen the company’s performance through the creation of a better image in stakeholder's mind and also because of their responsible behavior in minding the overall welfare of the society. CSR has not been given much attention voluntarily in previous years. Most companies were only surprised by public responses to issues they had not previously thought were part of their business...
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...No. 05/01/2014- CSR Government of India Ministry of Corporate Affairs 5th Floor, ‘A’ Wing, Shastri Bhawan, Dr. R. P. Marg New Delhi - 110 001 Dated: 18th June, 2014 To, All Regional Director, All Registrar of Companies, All Stakeholders Subject: - Clarifications with regard to provisions of Corporate Social Responsibility under section 135 of the Companies Act, 2013. Sir, This Ministry has received several references and representation from stakeholders seeking clarifications on the provisions under Section 135 of the Companies Act, 2013 (herein after referred as ‘the Act’) and the Companies (Corporate Social Responsibility Policy) Rules, 2014, as well as activities to be undertaken as per Schedule VII of the Companies Act, 2013. Clarifications with respect to representations received in the Ministry on Corporate Social Responsibility (herein after referred as (‘CSR’) are as under:(i) The statutory provision and provisions of CSR Rules, 2014, is to ensure that while activities undertaken in pursuance of the CSR policy must be relatable to Schedule VII of the Companies Act 2013, the entries in the said Schedule VII must be interpreted liberally so as to capture the essence of the subjects enumerated in the said Schedule. The items enlisted in the amended Schedule VII of the Act, are broad-based and are intended to cover a wide range of activities as illustratively mentioned in the Annexure. Contd…. -2- (ii) It is further clarified that CSR activities should be undertaken...
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