Corporate social responsibility is an obligation beyond the law requirements, for a company to pursue goals that are beneficial to the society in one way or other. It also refers to the commitment and dedication of a firm to contribute to the society’s economic development for the betterment of the community.
According to Kotler et al (2005, pp.3), “Corporate social responsibility is a commitment to improve community well-being through discretionary business practice and contribution of corporate resources”. This statement shows that CSR is a voluntary commitment made by any business apart from all the laws and regulations. The term ‘wellbeing’ used in the above statement refers to both the humans as well as the environment.
The concept of corporate social responsibility was introduced in the United States during 1950’s (Banerjee, 2007). A number of business practices were considered as socially responsible at that time, including employee welfare development, charity, community services and promotion of religious conduct. The scholars, who believed in the idea that all the businesses are society instruments, introduced the ideology of corporate social responsibility. They also believed that the managers are the trustees and their job was to balance all the elements, including consumers, employees, communities, suppliers and shareholders (Banerjee, 2007).
Corporate social initiatives
‘Corporate social initiatives’ is another term associated with CSR. It refers to the activities performed in the light of the CSR concept for the betterment of the society, including corporate cause promotions, cause related marketing and corporate social marketing (Cheng et al, 2011). The major cause behind these promotions is increasing awareness among people regarding the social causes. These moves can only be made successful by interacting with the stakeholders (Jonker et...