Shobhika Mohan B, MBA, East Point College of Higher Education Bengaluru, Karnataka
Introduction
C.S.R. has ended up becoming a crucial component of modern day corporate strategy, integrating a corporation’s ethical commitments with their legal requirements. In the socially conscious climate of the modern world, businesses are expected merely not to follow rules and regulations, but also to actively contribute towards the well-being of the environment and the society which they operate in. This multi-pronged approach to C.S.R. includes a wide range of measures, from guaranteeing fair working conditions to reducing environmental effect to establishing community relations.
However, the importance of legal requirements in CSR cannot be emphasized. The relationship between CSR and legal compliance is a complex interwoven web of various responsibilities. Companies that successfully integrate C.S.R into their core operations are rewarded with an improvement to their reputation, gain access to top personnel, and strengthen their connections with customers and stakeholders, and is further provided with strategic benefits that enhance their standing and business operations. As firms negotiate this complex landscape, it is critical to grasp the relationship between legal mandates and CSR's strategic advantages.1 This article goes into the many facets of CSR, showing both its legal duties and the strategic benefits of adopting a socially responsible business mindset.
Definition and Meaning of CSR
To date, there is no universally accepted definition that can define CSR. It can be described as creating value for the society at large by efficiently using the available resources which will ultimately benefit all the stakeholders of the business. The concept today has moved ahead from traditional philanthropy to a qualitatively different concept altogether. It is also referred to as Corporate Citizenship or Corporate Responsibility. CSR has changed the role of corporations in society from undertaking no social obligations to being socially responsible to the local body in which they operating.
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