Prof. Jedrzej George Frynas CSR and Development: A false promise?

Limitations of development outcomes from CSR Country-specific issues (e.g. corruption, armed conflict) can prevent the success of CSR initiatives. Crucially, the nature of CSR can limit developmental gains: Corporate motives for social engagement (business case) Failure to properly involve the beneficiaries of CSR         No integration into a larger development plan Focus on technical and managerial solutions – not long- term developmental needs

Resource curse - Macro-level effects that CSR does nothing to alleviate Studies by the IMF and many others show that the oil and gas sector can have negative macro-level effects: Economic distortion effects (e.g. Dutch Disease, inflation) Political effects (governance and corruption, in particular) Threat of armed conflicts (esp. civil war and insurgency)

CSR focuses too much on the top of the pyramid Example: Shell in 2012 US$ 149 million in social investments US$ 30 billion in net capital investment US$ 85.1 billion in excise duties and sales taxes, US$ 21 billion in corporate taxes, and US$ 3.6 billion in royalties Social investment Investment as usual Government taxes