Why Do Many Corporations Adopt Corporate Social Responsibility Policies? Discuss With Reference To Two Corporations

3444 Words14 Pages
Everyday we hear about how a particular transnational company has invested however million pounds into aids research, or we are shown on television how another has set up a new sports centre for children, but the question is as to why companies are doing this? The answer lies in regards to their duty to employ corporate social responsibility policies. One of the major assumptions regarding corporate social responsibility is that it is a new consideration of companies, that is to say that it has only emerged very recently. Whilst the term may not be that old, with the usage of ‘corporate social responsibility’ becoming common frequently throughout the 1970s, the first aspects of social responsibility date back to the early 1900s. However it is from the 1930s where social responsibility has become ‘an important issue not only for business but in the theory and practice of law, politics and economics.’ (McKie, 1974) Up until the 1970s businesses seemed to follow an autonomous path, ignoring criticisms and concentrating on their own agenda, however from the 1970s people started to become more aware of human rights and distrustful of the government and business. (Hopkins, 2003) The emphasis of corporate social responsibility also started to shift as it became more widely accepted, from a previous general awareness of concerns that may affect consumers or the environment, to a new set of specific issues, ranging from ethical behaviour and advertising to employee rights and environmental protection. (Carroll & Buchholtz 2000) Today corporate social responsibility is adopted by nearly all enterprises as, to put it simply, it is good for business. The question is regarding the reasons as to why corporate social responsibility is adopted by transnationals, and in order to answer the question I will look at various factors taken into consideration by a company. Firstly I

More about Why Do Many Corporations Adopt Corporate Social Responsibility Policies? Discuss With Reference To Two Corporations

Open Document