The Corporate Social Responsibility (CSR) Trend

Abstract

Corporate Social Responsibility, or "CSR," has recently become a subject of study by financial economists. While there is no shortage of anecdotal evidence to support all variety of positions, broad-based statistical evidence about the CSR movement is in short supply. This article presents some new empirical evidence that aims to answer three related questions about CSR: First, are corporations increasing their "investment" in what is considered socially responsible behavior? Second, does corporate investment in social responsibility affect a company's financial performance and shareholder value? Third, why do companies invest in CSR: to increase shareholder value, or to uphold a "moral" commitment to non-investor stakeholders and "society"? Copyright (c) 2008 Morgan Stanley.

Communicating Environmental and Ethical Performance: A Longitudinal Analysis of Annual Reports from 1998–2009

“…In accordance with Carroll (1979), researchers conceptualise the concept of CSR and components of a CSR-related philosophy along economical, legal and philanthropic dimensions (e.g., Gupta/Pirsch 2008; Jamali/Mirshak 2007); some authors specify the ethical dimension using terms like 'social', 'stakeholder' or 'ecological' (e.g., Ibrahim et al 2003;Amaeshi et al 2006). Based on CSR-motives (e.g., Siegel/Vitaliano 2007;Lougee/Wallace 2008;Idowu/Papasolomou 2007;Anselmsson/Johansson 2007) as the reasons why companies engage in CSRrelated activities, fi ve motives have been identifi ed: economical, moral, social, ecological, and legal motives. For the purposes of our study, we follow Maignan/Ralston (2002), who distinguish between three main motives for CSR: 1) value-driven motives, where CSR is understood as a part of corporate culture or as the expression of the company's values; 2) stakeholder-driven motives, where CSR is viewed as a reaction to the pressure and control of one or more stakeholder groups; 3) performance-driven motives, where CSR is part of the company's economical mission and a means of increasing the fi nancial performance and competitive position.…”

Sociālās atbildības un kopīgās vērtības radīšanas aspekti: iesaistītās puses un cilvēkresursi

“…Saskaņā ar Eiropas Komisijas definīciju: KSA ir koncepcija, ar kuras palīdzību uzņēmumi savā darbībā un aktivitātēs, kā arī sadarbībā ar iesaistītajām pusēm brīvprātīgi integrē sociālo un apkārtējās vides aspektu. Būt sociāli atbildīgam nozīmē ne tikai izpildīt tiesiskās prasības, bet arī ieguldīt "vairāk" cilvēku kapitālā, apkārtējās vides jautājumos un attiecībās ar iesaistītajām pusēm [29].…”

Corporate Leadership in Sustainability: A Green Ranking Performance-Based Approach to Understanding the Corporate Social Responsibility (CSR) and Positive Marketing Impact

“…Instead, it has looked into the relational models bet ween CSR, its effect in branding, and its importance to a competitive advantage. The most basic argument for CSR programs is that they provide a unique avenue for the practicing firm's product(s) to increase market share (Berger et al, 2006;Du et al, 2007;Fournier, 1998;Lougee & Wallace, 2008). In addition to being a brand differentiator, Lai, Chiu, Yang, and Pai (2010, pp.…”

“…Lougee and Wallace (2008) suggested that CSR enhances recruitment, helps retain top talent, increases employee productivity, and creates or maintains an atmosphere of pride within the workplace. For example, a Netherlands-based company, Capgemini, rewarded survey respondents with housing and schooling funds for disadvantaged children in India, resulting in over 2,000 qualified applicants, a filling of 800 positions, and over 10,400 weeks of housing and education for children (Fox, 2007).…”

“…In addition, there are many indices on public companies that provide multi-faceted CSR rankings, such as the Domini 400 Social Index, the Calvert Social Index, the Citizens Index, the KLD Research and Analytics database, and the Dow Jones Sustainability Index (Statman, 2005). For instance, the KLD Research and Analytics database contains quantitative measures of over 90 social and environmental indicators that are grouped into seven broad categories (Lougee & Wallace, 2008).…”