“CSR is the organizations social license to operate, and is important to legitimize business activity, particularly in the global activity where businesses are accused of practicing soulless capitalism” (Dr Vivian Balakrishnan, Minister of State for Trade and Industry and National Development, Singapore) “Corporate Social Responsibility is achieving commercial success in ways that honor ethical values and respect people, communities, and the natural environment” (Business for Social Responsibility) “CSR means addressing the legal, ethical, commercial and other expectations society has for business, and making decisions that fairly balance the claims of all key stakeholders” (RBI)

 In Extended Product Responsibility, manufacturers are responsible for waste generated at the end of product’s life. (Samson & Daft 2005)  For example: Compaq Computer Australia (Stephens, 1999)

 Social responsibility is operating business in best interest of stakeholders -- Management’s only social responsibility is to maximize profits (Milton Friedman)  Socioeconomic view is the view that management’s social responsibility goes well beyond the making of profits, to include protecting and improving society’s welfare. (Samson & Daft 2005)

Discretionary Responsibility Ethical Responsibility Legal Responsibility Economic Responsibility Source: Carroll 1974, Carroll 1991

Jas Ahmad Middlesex University Business School 22 May 2006

 A mixed method approach  questionnaire-based semi-structured interviews  scanning of English language press and institutional reports  expert opinion  Questionnaire based on World Bank report on CSR reporting in developing countries (O’Rourke, 2004)  The semi-structured interviews conducted with chief executive officers or senior directors of 16 companies  The sample was non-random and network based  A cross-section of companies approached based on industry type, ownership, and size.

Company size by number of employees Less than More than Ownership structure 100% publicly owned50.0 Partly owned by individual/family % privately owned25.0 Turnover in last financial year in USD Less than 10 million million – 50 million million – 100 million25.0 More than 100 million18.8 *All figures percentage of companies surveyed

Type of stakeholder Percentage* rating very important or important Employees 100 Customers81 Shareholders81 Local community63 Suppliers63 Business partners 50 Society at large 38 Other investors 31 *Rounded to the nearest whole number

Type of activity Percentage* engaged in activity Making regular financial contributions 69 Making occasional financial contributions94 Collecting donations from employees75 Sponsoring events88 Allowing employees to volunteer expertise56 Providing free use of company facilities 50 Donating surplus office equipment 75 *Rounded to the nearest whole number

Business objective Now Enhance company reputation 94 Increase sales44 Attract and retain high calibre employees69 Promote international business strategies56 Promote domestic business strategies38 Retain government support 19 Enhance corporate brand positioning 75 Help to withstand the impact of a corporate crisis 31 *Rounded to the nearest whole number Enhance company share price 25 Future

Business objective Percentage rating very important or somewhat important Environmental protection 87.5 Employee welfare100 Health and safety93.8 Philanthropic and charitable activities87.5 Investment in local community development56.3 Environmental and social impact of operations 62.5 Ethical management of supply chain 75 Ethical and socially responsible marketing 56.3 Percentage with written policy