What is the role of the CSR in today’s society?
With Business ethics and corporate social responsibility (CSR) having become integral in today’s society, companies are considerably more conscious of their ethical image than they have ever been before. Following numerous high profile scandals in recent years (i.e., Nike, Shell, and Nestle), where ensuing consumer boycotts not only resulted in a decline in sales revenues but also damaged brand image and reputation, businesses have realised the detrimental effect of public opinion. As a direct result of this shift in society, corporations designate significant resources into CSR. CSR managers are hired at the highest level to audit internal and external activities and to depict the company and its brand as ethical.
Despite social responsibility not being obligatory and are not controlled by law. Many businesses, particularly large businesses, involve themselves in activities not mainly concerned with profits, but ethics and philanthropy. In some business cases, ethics is at the core of their business operations. This has given rise to the question: Why? Why are corporations giving their time and resources if there is no written requirement to do so? Do consumers really even care about businesses being socially responsible?