Corporate Social Responsibility Through an Economic Lens

Business leaders, government officials, and academics are focusing considerable attention on the concept of “corporate social responsibility” (CSR), particularly in the realm of environmental protection. Beyond complete compliance with environmental regulations, do firms have additional moral or social responsibilities to commit resources to environmental protection? How should we think about the notion of firms sacrificing profits in the social interest? May they do so within the scope of their fiduciary responsibilities to their shareholders? Can they do so on a sustainable basis, or will the forces of a competitive marketplace render such efforts and their impacts transient at best? Do firms, in fact, frequently or at least sometimes behave this way, reducing their earnings by voluntarily engaging in environmental stewardship? And finally, should firms carry out such profit-sacrificing activities (i.e., is this an efficient use of social resources)? We address these questions through the lens of economics, including insights from legal analysis and business scholarship.corporate social responsibility, voluntary environmental performance

Corporate Social Responsibility Through an Economic Lens

Business leaders, government officials, and academics are focusing considerable attention on the concept of "corporate social responsibility" (CSR), particularly in the realm of environmental protection. Beyond complete compliance with environmental regulations, do firms have additional moral or social responsibilities to commit resources to environmental protection? How should we think about the notion of firms sacrificing profits in the social interest? May they do so within the scope of their fiduciary responsibilities to their shareholders? Can they do so on a sustainable basis, or will the forces of a competitive marketplace render such efforts and their impacts transient at best? Do firms, in fact, frequently or at least sometimes behave this way, reducing their earnings by voluntarily engaging in environmental stewardship? And finally, should firms carry out such profit-sacrificing activities (i.e., is this an efficient use of social resources)? We address these questions through the lens of economics, including insights from legal analysis and business scholarship.Corporate Social Responsibility, Voluntary Environmental Performance

Corporate Social Responsibility Through an Economic Lens

Business leaders, government officials, and academics are focusing considerable attention on the concept of "corporate social responsibility" (CSR), particularly in the realm of environmental protection. Beyond complete compliance with environmental regulations, do firms have additional moral or social responsibilities to commit resources to environmental protection? How should we think about the notion of firms sacrificing profits in the social interest? May they do so within the scope of their fiduciary responsibilities to their shareholders? Can they do so on a sustainable basis, or will the forces of a competitive marketplace render such efforts and their impacts transient at best? Do firms, in fact, frequently or at least sometimes behave this way, reducing their earnings by voluntarily engaging in environmental stewardship? And finally, should firms carry out such profit-sacrificing activities (i.e., is this an efficient use of social resources)? We address these questions through the lens of economics, including insights from legal analysis and business scholarship.

Sustainable Human Development: Corporate Challenges and Potentials the Case of Bayer CropScience's Cotton Seed Production in Rural Karnataka (India)

This paper aims to explore concepts, methods and empirical results of potential impacts of Transnational Corporations (TNC) on Sustainable Human Development (SHD) in emerging market countries. In doing so, a further major goal is to explain, illustrate and discuss how the theoretical CA framework used in the GeNECA project2 can be applied to corporate SHD impacts. Our findings are based on the case of Bayer CropScience’s Model Village Project in rural Karnataka, India. To achieve our goals, we first establish a theoretical framework for assessing corporate impacts on SHD to capture SHD effects. Thereafter, we introduce the case of Bayer CropScience’s seed production in rural India, for which a “Model Village Project (MVP)” has been established to explore ways, potentials and challenges of promoting SHD of the villagers and corporate goals in a win-win-strategy. Afterwards, we explain methodological requirements, our representative database for the quantitative analyses, and the qualitative methods that we use for project evaluation. Based on findings of the authors’ external evaluation of the MVP, we discuss the baseline situation in the model villages with respect to corporate potentials, challenges and limitations to foster SHD impacts. Methodologically, we find the combination of quantitative representative methods and qualitative assessments to be most effective to capture corporate potentials and risks. Furthermore it turns out to be promising to extend the analyses beyond standardized benchmarks like the MDGs. We show that major determinants of SHD established in the paper result in a portfolio of corporate opportunities and risks. For instance, the reality of underemployment in the model villages provides specific corporate opportunities like an abundant pool of labor supply. However, it also produces corporate risks, e.g. lack of capital available for necessary investment by suppliers who frequently suffer from poverty, risk of over-indebtedness and a resulting inability to accumulate enough capital and to raise productivity. In the comprehensive opportunity and riskportfolio of this Bayer CropScience case, we find abundant potential business cases which we discuss further in the text. We conclude that corporate potentials as well as risks of corporate neglect and violations of people-centered SHD also depend on how much the villagers are enabled and empowered to make most of their agency as individuals and as groups. Furthermore, it depends on trust building as a prerequisite of awareness raising of the villagers themselves, so that they are willing and able to participate successfully in the undertaken procedures

Corporate social responsibility, business strategy, and the environment

We examine the concept of firms sacrificing profits in the social interest within the environmental realm, with particular focus on the case of the United States by addressing four key questions. May they do so within the scope of their fiduciary responsibilities to their shareholders? Can they do so on a sustainable basis, or will the forces of a competitive marketplace render such efforts and their impacts transient at best? Do firms, in fact, frequently or at least sometimes behave this way, reducing their earnings by voluntarily engaging in environmental stewardship? Should firms carry out such profit-sacrificing activities (i.e. is this an efficient use of social resources)? We address these questions through the lens of economics, including insights from legal and business scholarship. Copyright 2010, Oxford University Press.

Corporate Social Responsibility Through an Economic Lens

Business leaders, government officials, and academics are focusing considerable attention on the concept of corporate social responsibility (CSR), particularly in the realm of environmental protection. Beyond complete compliance with environmental regulations, do firms have additional moral or social responsibilities to commit resources to environmental protection? How should we think about the notion of firms sacrificing profits in the social interest? May they do so within the scope of their fiduciary responsibilities to their shareholders? Can they do so on a sustainable basis, or will the forces of a competitive marketplace render such efforts and their impacts transient at best? Do firms, in fact, frequently or at least sometimes behave this way, reducing their earnings by voluntarily engaging in environmental stewardship? And finally, should firms carry out such profit-sacrificing activities (i.e., is this an efficient use of social resources)? We address these questions through the lens of economics, including insights from legal analysis and business scholarship