Let’s talk about firm responsibility: the perception of individual Ghanaian shareholders on corporate social responsibility

Abstract

Purpose This paper aims to examine the perception of individual Ghanaian shareholders on corporate social responsibility (CSR). Design/methodology/approach In consequence of the largely unexplored nature of the issue of CSR, the authors use a qualitative analysis to offer the painstaking understanding needed about this issue. Individual Ghanaian shareholders who have absolute control over what companies they desire to invest were selected as the participants. Findings The findings show that individual shareholders believe there is the need for corporate directors and managers to take into consideration the interests of all corporate stakeholders-workers, customers, shareholders, suppliers, the local community and the environment- in fashioning out their CSR policies. It also shows the relevance individual shareholders attach to each of those CSRs within each corporate stakeholder group. For instance, the individual shareholders think that it is most relevant for firms to put implementable measures in place to reduce or minimise harm to the environment. Also, with respect to workers, firms are the first and foremost to ensure a hale and hearty and secured work environment. Further, with respect to customers, firms have to offer standard or quality products and services to them. More so, in regards to suppliers, corporate directors and managers have to offer them reasonable prices for their products. Finally, on the part of the local community, firms have to effectively assist them. Practical implications The practical approach to problems and affairs of individual Ghanaian shareholders is indicated by how much importance they attach to each corporate responsibility matter, and also they appreciate that a firm cannot thrive or survive for long if it refuses or totally abandons the needs of other corporate stakeholder categories. It will thus be of relevance to firms to take executable steps to deal with the needs of other corporate stakeholder groups brought up by the individual shareholders. As a matter of fact, the vivid descriptions of each of the matters concerning CSR of the individual shareholders present an important policy guideline for corporate directors and corporate managers to establish good-natured relationship between their firms and other corporate stakeholder groups. Originality/value This paper contributes to the knowledge on CSR by establishing that even though individual shareholders are interested in personal economic benefits, they want their firms to be socially responsible to meet the interests of other corporate stakeholder groups.