Salil Jain, BBA LLB (C), O.P. Jindal Global University
ABSTRACT
Corporate Social Responsibility (CSR) are fundamentally a set of principles or social responsibilities that dictate the corporate sector in its conduct towards the people and make the big corporations take liability in contributing towards industrialization and betterment of society and environment. But it is not a one-sided obligation, it is also beneficial for reputation of the brand, and customer reputation along with staff loyalty thereby building trust with stakeholders. On the other hand, many criticisms are also present for the implementation of this responsibility being difficult— as the agency cost of the same being too high, having different business goals generating a conflict of interest, and how to deal with transparency of such spend amounts for CSR. They are usually in historical sense, voluntary practices, to be done on the discretion of the corporate entity. But some countries have extended the scope of this voluntary practise by attaching legal liability through statues and precedents enforcing compliance. Such is the case with countries such as India and United Kingdom (UK). In this paper, I shall analyse the history of how India has reached the current landscape of CSR implementation and evaluate how the statues and precedents provide for a stakeholder-centred approach.
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