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Corporate social responsibility and the bottom line

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  • Nicholas Capaldi
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    Abstract

    Purpose – To clarify the relationship between corporate social responsibility (CSR) and profits. Design/methodology/approach – Explicates CSR against the background of a larger thesis (Coase) about the role of firms in a market economy. Findings – There are three different senses of CSR: negative – what not to do (illegal); positive – innovative products and services; and supplementary. There is a clear hierarchy or prioritization here: negative > positive > supplementary. Practical implications – There are four areas in which supplementary obligations contribute directly to the bottom line: the environment, marketing, recruitment, and international. Originality/value – This paper overcomes false dualisms between CSR and profits, avoids hidden political agendas, and offers persuasive arguments for firms to engage in relevant CSR activity.

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    Bibliographic Info

    Article provided by Emerald Group Publishing in its journal International Journal of Social Economics.

    Volume (Year): 32 (2005)
    Issue (Month): 5 (May)
    Pages: 408-423

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    Handle: RePEc:eme:ijsepp:v:32:y:2005:i:5:p:408-423

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    Related research

    Keywords: Community relations; Distribution; Freedom; Technology led strategy;

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    Cited by:
    1. Zailani, Suhaiza & Jeyaraman, K. & Vengadasan, G. & Premkumar, R., 2012. "Sustainable supply chain management (SSCM) in Malaysia: A survey," International Journal of Production Economics, Elsevier, vol. 140(1), pages 330-340.
    2. Samaneh Shokravi & Sherah Kurnia, 2014. "A Step towards Developing a Sustainability Performance Measure within Industrial Networks," Sustainability, MDPI, Open Access Journal, vol. 6(4), pages 2201-2222, April.
    3. Neda Vitezic, 2011. "Correlation between social responsibility and efficient performance in Croatian enterprises," Zbornik radova Ekonomskog fakulteta u Rijeci/Proceedings of Rijeka Faculty of Economics, University of Rijeka, Faculty of Economics, vol. 29(2), pages 423-442.
    4. Suk-Jun Lim & Joe Phillips, 2008. "Embedding CSR Values: The Global Footwear Industry’s Evolving Governance Structure," Journal of Business Ethics, Springer, vol. 81(1), pages 143-156, August.
    5. Gopalakrishnan, Kavitha & Yusuf, Yahaya Y. & Musa, Ahmed & Abubakar, Tijjani & Ambursa, Hafsat M., 2012. "Sustainable supply chain management: A case study of British Aerospace (BAe) Systems," International Journal of Production Economics, Elsevier, vol. 140(1), pages 193-203.

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