Definition
Corporate Social Responsibility (CSR) is a business model by which companies make a concerted effort to operate in ways that enhance rather than degrade society and the environment. It is the practical implementation of Stakeholder Capitalism.
Why It Matters
It aligns business profit with long-term social health, preventing corporations from destroying the very systems they rely on.
Core Concepts
- Environmental Impact: Reducing carbon footprint, waste, and resource consumption.
- Ethical Labor Practices: Ensuring fair wages, safe working conditions, and no child labor in the supply chain.
- Philanthropy: Donating to local and global causes.
- Volunteering: Encouraging employees to contribute their time and skills to social causes.
- ESG Metrics: Environmental, Social, and Governance criteria used by investors to evaluate a company’s sustainability.