Redefining multinational operations: the impact of CSR on international business policy

This chapter tackles CSR, a sphere that has gradually moved from the periphery to the core of international business policy. Indeed, multinational corporations are increasingly expected to embody principles of responsible and sustainable behaviour. This expectation is not limited to legally binding domestic laws but extends to voluntary international standards, conventions, and principles, positioning CSR as an essential criterion for the ethical operation of multinational corporations. CSR is now more than an optional ‘add-on’ to business operations; it is an international expectation and a pathway for multinationals to concurrently secure niche markets, mitigate risk, enhance reputation, and fortify their financial standing. In this light, this chapter uncover how the adoption of the highest labour, environmental, human rights, and anti-corruption standards can aid these corporations in meeting these expectations. Moreover, the authors delve into how national laws can incorporate these voluntary standards to foster an ecosystem wherein the multinational corporations operate not just profitably, but also ethically and sustainably.