Corporate Social Initiatives

I n recent years, few notions have so fully captured the corporate imagination as that of corporate social responsibility (CSR), defined broadly as a company’s “status and activities with respect to its perceived societal or, at least, stakeholder obligations.” While CSR is by no means a new idea, more companies than ever before are backing CSR initiatives such as corporate philanthropy, cause-related marketing, minority support programs, and socially responsible employment and manufacturing practices—and they are doing so with real financial and marketing muscle. The web sites of more than 80% of the Fortune 500 companies address CSR issues, reflecting the pervasive belief among business leaders that in today’s marketplace CSR is not only an ethical/ideological imperative, but also an economic one. In other words, companies today are increasingly aware of both the normative and business case for engaging in CSR; not only is “doing good” “the right thing to do,” but it also leads to “doing better” through its positive effects on key stakeholder groups.