Sustainability Issues in Corporate Social Responsibility and Strategy: Sustainable or Temporary Competitive Advantage in Today’s Dynamic Environment?

Abstract

The chapter examines the sustainability issue in corporate social responsibility (CSR) and strategy, specifically in terms of sustainable or temporary competitive advantage in today's dynamic environment. Sustainable competitive advantage has traditionally been the key concept used by strategic management to explain a corporation's success. CSR contributes by developing a sustainable advantage, and is more and more considered as an opportunity and a way to develop a competitive advantage rather than as a cost. The CSR practices, as they gradually emerge, involve a higher degree of implicit forms of rules and policies. Corporations have to combine two different approaches: the maximization of short-term profitability demanded by shareholders, and the need to take into account growth over the longer term (stakeholders). CSR has an impact on value creation in the short and long term. In addition, it can be considered to be a core competency, aiming to achieve a sustainable rather than temporary advantage. Also, according to the chapter authors it can be considered to be a core competency, aiming to achieve a sustainable rather than temporary advantage. Also, according to the chapter authors, the discourses of sustainability all adopt a viewpoint of the acceptability, or otherwise, of sustainable development. Equally these discourses accept that sustainability is possible, but disagree about the circumstances in which it is possible and about the resultant level of economic activity.