Corporate Responsibility Practices Research Articles

Corporate (social) responsibility in state-business relations from the perspective of critical state theory: a historical case of early modern China

This article presents a theoretical framework for analysing corporate responsibility through the lens of critical state theory, focusing on the dynamic interplay between state and business. Traditionally, corporate responsibility is seen as voluntary corporate actions for public welfare. However, it is increasingly viewed as integral to business strategy and subject to regulatory oversight. Utilizing Jessop’s strategic-relational approach, this study underscores the state’s role in structuring corporate behaviour, revealing how shifts in political elite networks influence corporate responsibility practices. A historical analysis of early modern China highlights these dynamics within specific national contexts characterized by developmentalism and authoritarianism, demonstrating the profound impact of state-business symbiosis on corporate responsibility. This analysis contributes to a deeper understanding of corporate responsibility in diverse political and economic settings, demonstrating how state power, corporate influence, and social welfare are mutually reinforcing and shaped by broader socio-political dynamics.

Major recent failures in Brazilian mine waste containment facilities, current cases of maximum emergency level and imminent risk of rupture, and a brief sustainability analysis.

Wasteisthe materials left over after the processing of ores. Significant disasters involving waste disposal structures have occurred in Brazil in recent years and caused severe damage by contaminating soil, rivers and coastal areas, destroying native fauna and flora, interrupting the water supply and compromising its potability, putting the population's health, livelihoods and economy at risk, as well as causing 289 irreparable human deaths. Regulatory laws have become stricter, and since 2019, after the tailings dam tragedies occurred in 2015 and 2019 in Mariana and Brumadinho, in Minas Gerais, the operation of upstream-raised tailings dams has been prohibitedin Brazil. In 2022, a waste slide from a sterile pile at the Pau Branco Mine in Nova Lima promoted a dike overflow. There was the death of five people whose car was buried by a landslide on a hillside. New strategies and technologies, such as reprocessing and recycling, can be tested to ascertain whether they can help improve practices in tailings management. Indeed, mining companies' corporate responsibility and sustainability practices need to be evaluated toverify whether they better match expectations. On the other hand, more specific and detailed regulations and resolutions are required to ensure the safe monitoring and management of sterile waste piles. This paper presents a review of the facts, a discussion of the literature (mainly on recent tailings dam disasters), the current situation of mining-containingwaste structures in Brazil, a brief sustainability analysisand perspectives aimed at preventing/minimising catastrophes in the future.

Business Institutes and Corporate Social Responsibility in Brazil: Balancing Between Control and Incompleteness

Objective: Provide a critical perspective on CSR in Brazil, focusing on business institutes' involvement with CSR, which could lead to an assimilation that adapts it to meet exclusively business interests. Theoretical Framework: A literature review focused on the main conceptual debate on Corporate Social Responsibility (CSR), emphasising the normative approach of Stakeholder Theory. Method: A qualitative analysis of the literature, data from public sources on civil society organisations, and the websites of leading business institutes involved with CSR in Brazil was chosen, comparing it to the information on institute websites. Results and Discussion: The leading institutes operate in a segmented and organised way, have large companies among their members, represent a significant volume of investments in the socio-environmental area and present their vision of corporate behaviour. This suggests a search for institutional leadership and reinforces the idea of consolidating CSR in Brazil through corporate resources. Research Implications: This research's practical and theoretical implications provide insights into how the results can influence business and academic studies about CSR. These implications could encompass business management, sociology, public policies, and project financing for all involved in thinking and practising business behaviour in society. Originality/Value: It contributes to the debate on CSR by demonstrating that its lack of consensus allows the business world, through its institutes, to shape it to its interests, limiting its potential reach. It is a critical perspective that suggests that business institutes create the conditions for discursive leadership that can lead to selective corporate responsibility practices in society.

Apple: Global Ethics and Transformational Leadership

Apple Inc. is an American technological company that designs, manufactures, and sells various products such as laptops, phones, accessories, streaming services, licensing services, and so much more. The paper explores the corporate responsibility and unethical business practices that arise from the global sourcing of Apple’s products. The company established many relationships with suppliers in East Asia to meet the rigorous demands of consumers, promising high-quality products at the expense of factory workers. However, global sourcing comes with unethical business practices. There have been various cases against Apple’s suppliers. This research highlights unfair working conditions, overworking employees, and environmental pollution that Apple’s suppliers are guilty of.

The Effects Of Sustainability Report Disclosures Towards Financial Performance Of Companies Listed In IDX80

In an endeavour to develop sustainability, companies disclose sustainability reports as a practice of corporate responsibility practices towards social and environment, which oriented towards fulfilling public expectations for the existence of a business. This study aims to examine the effect of disclosing economic performance, environmental performance, and social performance in sustainability report on the financial performance of companies listed in the IDX80 stock index. Disclosures of sustainability report is measured using the GRI Standards Index. The independent variables in this study are disclosure of economic performance, disclosure of environmental performance, and disclosure of social performance. The dependent variable in this study is return on assets. This study is a quantitative study using a sample of 47 companies listed on the IDX80 stock index as the research object. The data collection method used is the documentation method of content analysis of sustainability reports and financial reports. The data analysis method used the multiple linear regression analysis method. The results show that the disclosure of economic performance, environmental performance, and social performance partially has no effect on the company’s financial performance.

Integrisani izveštaji i promene u prezentaciji finansijskih informacija kompanija

In the last decade, changes driven by globalization, constant shifts in consumer preferences, and frequent alterations in business strategy have become prominent. This research focuses on changes in the presentation and interpretation of information related to key company performances. Traditional financial reports, although informative, are no longer sufficient to meet the needs of target audiences. Increased demands regarding corporate responsibility and sustainable business practices have prompted companies to provide qualitative information about their business operations, as well as about intangible aspects of the company, which have become crucial for stakeholders. This has given rise to the need for an integrated report that would include a wide spectrum of interest groups. This paper explores the importance of implementing integrated reporting in company presentations. While the adoption of such reports is still in its infancy, there is a growing awareness of their significance.

The moderating effect of corporate environmental responsibility on relational capital and green innovation: evidence from a knowledge-driven context

PurposeGiven that environmental issues have become increasingly critical in business operations, from the lens of guanxi, this study explores the impact of relational capital on green innovation in a knowledge-driven context of new energy enterprises. Additionally, the moderating effect of corporate environmental responsibility (CER) on the above relationship is analyzed.Design/methodology/approachThis study takes 162 Chinese new energy enterprises from 2010 to 2020 as the research sample. For empirical analysis, factor analysis is adopted to comprehensively measure relational capital, while green innovation is embodied in two dimensions, namely radical green innovation (RGI) and incremental green innovation (IGI).FindingsRelational capital significantly promotes RGI and IGI. Moreover, it is found that implementing CER strengthens the positive relationship between relational capital and RGI but weakens the positive relationship between relational capital and IGI.Originality/valueIt is evident that existing literature on green innovation mainly focused on a single perspective rather than from different dimensions. In addition, few scholars have drawn from stakeholder theory to elucidate the interaction of relational capital with corporate responsibility practices. In this regard, this study examines the link between relational capital and green innovation while examining the moderating effect of CER, which provides valuable insights for future research on relational governance and innovation management. Furthermore, this study innovatively centers on new energy enterprises in China, which are pioneers and facilitators of green development, as the research subject. Considering relevant studies are still nascent in this domain, our empirical results are of extensive practical guidance for managers and practitioners to promote environmental sustainability.

System dynamics model: developing model for supplier selection with a focus on CSR criteria

The complexity and significance of decision-making in selecting suppliers highlight the need for a systematic and transparent approach. The more organizations rely on suppliers, the more harmful the direct and indirect consequences of poor decision-making are. This study attempted to identify factors affecting supplier selection and develop a system dynamics model for supplier selection by taking into account social corporate responsibility (CSR) practices. This model aims to increase CSR practices when selecting suppliers and thus help supply chain members gain competitive power and satisfy customer demands optimally. The system dynamics model for supplier selection was developed by considering profitability, productivity, social transparency, and customer satisfaction. To this end, first, the indicators affecting supplier selection were identified. Then, a cause–effect model was extracted by surveying subject-matter experts. Finally, the system dynamics model was developed. The final output of the third stage was a dynamic model of a supplier selection system that considers CSR practices. The results showed that profitability increases only by implementing the policy of reducing the average distance between suppliers and increasing the number of suppliers. This issue causes lower costs, reduced delivery time due to reduced average distance between suppliers, and increased suppliers, resulting in increased customer satisfaction and increased demand.

Pointing fingers and holding hands: Effects of collaborative and confrontational NPO approaches on households' consumption and donation decisions

AbstractNonprofit organizations (NPOs) seek to influence corporate responsibility practices by pursuing either collaborative or confrontational approaches toward companies. In doing so, they frequently attempt to influence households' perceptions of companies and, by extension, their consumption decisions. To what extent NPOs adopting varying approaches toward companies are successful in affecting households' perceptions and decisions, however, remains underexamined. Furthermore, how NPOs' choice of approach impacts households' perception of and donation behavior toward NPOs remains a largely open question. In this contribution, we investigate these issues by means of an experimental approach. The results of our study indicate that both confrontational and collaborative approaches by NPOs exert a significant effect on households' perceptions of companies and their consumption intentions. Somewhat paradoxically, while confrontational approaches exert stronger effects on households' perceptions of companies and their consumption behavior, collaborative approaches are viewed as more legitimate by households, thus garnering more support in the form of donations.

Consequences of Social and Environmental Corporate Responsibility Practices: Managers’ Perception in Mozambique

The objective of this paper is to analyze the relationship between the social and environmental practices of Corporate Social Responsibility (CSR), and the economic–financial, social, and environmental performance in Mozambican companies, from the managers’ perspectives. The data were collected from a sample of 227 companies through a survey questionnaire. We used structural equation modelling to analyze how the managers correlate the different social and environmental practices with performance at the financial, social, and environmental levels. The results showed that the relationship between all major components of the social and environmental practices, and the economic–financial, social, and environmental performance is positive but insignificant with the exception of the social practices of community support, which has a weak relationship with the economic–financial performance, environmental performance, and social performance, as well as the environmental practices. The data indicate that there is a need for strengthening the appropriate economic–financial incentive policies and strategies for the agents who promote good CSR practices in the country, in order to obtain satisfactory, measurable, and comparable economic–financial, social, and environmental performance.

An Innovative Approach to the Implementation of Sustainable Business Ideology in Ukraine

According to the Sustainable Development Goals (UN, 2015), making sustainable business decisions should be the driving force in achieving environmentally-oriented improvements. The key document that supports the 10 principles that ensure SDGs is the United Nations Global Compact Strategy 2021–2023 (UN, 2021). Achieving the goals of the Strategy requires the use of an improved business decision-making model that simultaneously increases revenues and revises the distribution of domestic funds for meeting the principles in the sphere of human rights, economic growth, satisfactory working conditions and the environment, and combating corruption as a key driver of corporate sustainability and responsible business practices. The authors have developed a methodological approach to the assessment of business sustainability, which is based on a combination of elements: analysis of world best practices and trends, determination of the impact of business on the social status and environment, quality assessment of relevant certification, and analysis of compliance with social indexes of sustainable development. The analysis of economic indicators of sustainable business (The B Impact Assessment, 2021) for 2020–2021 allowed singling out companies that finance the environmental sphere. Today, a quarter of the world’s countries carry on sustainable business and finance the environmental degradation impact. The 8 leaders include: France, USA, Brazil, India, Germany, Norway, Ireland and South Korea. Methods of rating and expert assessment constitute an applied aspect of research for identification of prospects of sustainable business formation in Ukraine in the regional context. The result shows that only 8 regions are suitable for sustainable business conduct, while the environmental criterion is more than 9.2 points of 10, the economic criterion does not exceed 5, and the social criterion is 4.02–5.02. Therefore, it is necessary to focus on the organization of sustainable business according to the key strategic state priorities in formation of the mechanisms for the investment and the innovation policy of a sustainable development support system through the use of regulatory tools for reformation of existing business approaches to internationally regulated ones, such as business for nature.

Complement or Substitute? Effect of Public and Private Governance on Corporate Responsible Practices

Our study examines the joint impact of the United Nations Global Compact (UNGC) and national institutions on firm behavior with respect to corporate social responsibility (CSR) and corporate social irresponsibility (CSI). Conceptualizing the UNGC as a private governance and a normative institution, we develop a framework that highlights the optimal conditions for the UNGC to have a positive impact on firms’ socially desirable practices. We build on the institutional configuration perspective and theorize that public governance (via the quality of national institutions) and private governance (via compliance with the UNGC) will have differential interactive effects on CSR and CSI. More specifically, we argue that the positive effect of the UNGC on CSR will be attenuated when national institutions are strong. However, the UNGC and national institutions are likely to complement each other and jointly lead to a lower CSI in the context of weak institutions. Empirical analyses using multi-industry panel data sample of 6832 listed firms from 73 countries during 2004-2018 support our predictions. Our results suggest that public and private governance can be both substitutes and complements in shaping corporate social practices.

Corporate responsibility practices and financial performance in Europe: a multilevel-pressures theory perspective

Corporate responsibility practices and financial performance in Europe: a multilevel-pressures theory perspective

Corporate responsibility practices and financial performance in Europe: a multilevel-pressures theory perspective

Corporate responsibility practices and financial performance in Europe: a multilevel-pressures theory perspective

Proximity, Responsibility and Temporality at Resource Frontiers

This article discusses the relation between proximity and temporality in the negotiation of corporate responsibilities in the Colombian coal mining sector. Corporate responsibility practices and discourses are oriented towards the future closures of coal mines and centred on self-reliance and independence of communities affected by the mining business. By invoking the future closures, the coal mines were temporalised in ways that turned the corporate responsibility into the personal and public responsibilities of the affected communities and the state. The article argues that the anticipation of the future closure served as a mode to cut proximity-based relations of corporate responsibility. Furthermore, it is suggested that the law has not (yet) sufficiently considered the relations between past corporate presences, lasting proximities, and corporate responsibility.

NGO Activism, Legitimacy, and Shareholder Value

Non-governmental organisations (NGOs) have significantly increased attempts at advocacy for corporate policy adoption and responsible business practices. Using a large NGO dataset that comprises approximately 7,000 NGO activist groups on more than 700 environmental, social and governance (ESG) issues all over the world, this study focuses on the motivations of NGO activism and estimates its impact on firm’s management practices and long-term financial performance. Using propensity score matching to select two homogeneous groups of firms that are or are not NGO targets, we find that firms with large size, poor share performance and poor environmental performance are more likely targeted by NGOs. Following one year and two years periods after NGO campaigns, the firm’s environmental performance score on average increases by 2.2 and 2.9, respectively. Based on a quasi-natural experiment that exploits the implementation of mandatory legislative acts on climate change issues in the UK, we find that NGO engaged firms are more responsive to mandatory legislative acts than NGO non- engaged firms, and such responsiveness is shown by improved environmental performance and firm value following the legislative shock.

Corporate social responsibility, human rights and law firms

An increase in the power and reach of corporations has driven increasing concern with corporate responsibility. The social impact of corporations, including law firms, includes any interactions with human rights. This article argues that Australian law firms should engage more actively with human rights standards, and ensure that they are not unwittingly complicit in human rights violations. It identifies key areas in which law firms’ conduct may impact human rights, and suggests corporate responsibility practices and policies for adoption.

Corporate social responsibility and Latin American firm performance

PurposeThe purpose of this paper is to analyse the impact of corporate social responsibility (CSR) on firm performance in six Latin American economies. Firm performance includes five distinct dimensions, namely, firm turnover, labour productivity, innovativeness, product differentiation and technological transfer. The countries under scrutiny are Argentina, Bolivia, Chile, Colombia, Ecuador and Mexico.Design/methodology/approachPropensity score matching techniques are used to identify the causal effect of CSR on firm performance. To this end, World Bank Enterprise Survey (2006 wave) is used. This data set collects relevant firm-level data.FindingsCSR has a positive impact on the outcome variables analysed, suggesting that corporate goals are compatible with conscious business operations. The results also vary across countries.Research limitations/implicationsThe pattern that emerges from the analysis seems to suggest that the positive effects of CSR depend on countries’ stage of industrialisation. In particular, the least developed the economy, the wider the scope of CSR. Nonetheless, the relationship between conscious business operations, firm performance and countries’ level of development is not directly tested in the present work.Practical implicationsThe main practical implication of the study is that Latin American firms should adopt CSR. This is because corporate responsible practices either improve firm performance or they are not shown to have a detrimental effect.Social implicationsThe major policy implication is that emerging countries’ governments as well as international organisation should provide meaningful incentives towards CSR adoption.Originality/valueThe paper provides three major original contributions. First, it brings new descriptive evidence on CSR practices in Latin America. Second, it uses a broader and novel definition of firm performance, which is aimed at capturing developing countries’ business dynamics as well as at overcoming data limitations. Finally, it reassesses and extends the empirical evidence on the impact of CSR on firm performance.

The Fine Jewellery Industry: Corporate Responsibility Challenges and Institutional Forces Facing SMEs

There has been limited coverage of the corporate responsibility (CR) practices of small and medium-sized enterprises (SMEs) in the mainstream CR literature. Furthermore, there has been no systematic analysis of the responsibilities of the high value jewellery industry and jewellery SMEs in particular. This study explores the potential for harm and value creation by individual stakeholders in fine jewellery production. Using the harm chain and institutional theory to frame our investigation, we seek to understand how small businesses within the fine jewellery industry respond to the economic, social and environmental challenges associated with responsible jewellery production, and to investigate how they perceive and negotiate the tensions between responsibility and the resistance derived from the operational norms of secrecy and autonomy within the industry. Our exploratory research provides illustrative examples of how complex harm networks operate within and across the fine jewellery industry, and demonstrates the inter-relationships that exist across the different stages of the fine jewellery harm chain. Findings suggest that institutional forces are coalescing towards a more responsible agenda for the fine jewellery industry. Moreover, while CR is a tool to disrupt harmful institutional norms and practices within such an industry, it requires the co-creation of new transformative business models and multi-stakeholder involvement including firms (SMEs and MNEs), trade associations, non-governmental organisations and consumers. Solutions include national and international legislation, price adjusted certification routes for small firms, harmonisation of industry CR standards to reduce overlap in certification and regulation and gem and precious metal “track and trace” schemes.

New Frontiers of Development: Social Finance, the Latent Power of the Private Sector

This paper frames social finance in its broadest terms as an alternative to traditional corporate responsible practice, highlighting significance and potential of social finance in mobilising financial resources for global social development. This paper explains social finance as an approach employing financial resources drawn from the market to generate positive social impacts which can, depending on instruments, also deliver financial returns. Despite hitherto forms of capitalism generating economic asymmetry, there is an urgent need for a more equitable financial mobilisation through innovative finance. Such a need has generated a paradigm shift in corporate sector where actors in private sector are increasingly using a variety of instruments to utilise private money for public good - social finance. We have so far seen corporate responsible business practices, yet with innovation and multi-sectoral partnerships, it can potentially bring most significant change that has yet to be witnessed globally.