International Business, Sustainability and Corporate Social Responsibility: Volume 11

We are pleased to introduce this volume dedicated to International Business, Sustainability and Corporate Social Responsibility as part of the Advances in Sustainability and Environmental Justice Series. Within the context of International Business, Corporate Social Responsibility (CSR) might be considered a mechanism through which investments made can achieve the full economic benefits as long as there is an agreement to promote social and political stability. The control over political and social variables determines or helps to build a competitive advantage and insures a corporation's long-term running position on the market and the facilitation of capital accumulation.

Purpose – This chapter provides a theoretical and conceptual overview of Corporate Social Responsibility (CSR). It is written as a descriptive document to enhance the understanding of CSR within the context of international business.Design/methodology/approach – This chapter is built based on an extensive literature review.Findings – This chapter contains six subsections. The first subsection looks at the concept of CSR, and it highlights the possible role of CSR in mitigating the negative consequences of globalisation. The second subsection looks at the evolution of CSR since the 1990s. The third section looks at ethics theories. The fourth section looks at political theories to explain CSR. The fifth section looks at the business case for CSR. And finally the sixth section looks at specific CSR initiatives.Practical implications – This chapter provides a response to the necessity for this analysis that arises from the effects of CSR actions in international business.Originality/value of chapter – This chapter provides a summary of the conceptual and theoretical framework of CSR. It could be used as a teaching tool for undergraduate and masters’ courses on either international business or corporate social responsibility.

Purpose – This chapter on global civil society provides a definition of global civil society, and also provides a historical and theoretical overview of social movements. This chapter also presents a taxonomy of non-state actors and demonstrates at the theoretical level that actions and initiatives by non-state actors since the 1990s’ globalisation. In this chapter, the concept of civil society is presented as a form of globalisation from below, and its role in the participatory governance of societal processes implies forms of soft regulation and moral authority which transcend the role of states as enforcers.Design/methodology/approach – This chapter is based on an extensive literature review.Findings – Actions and initiatives by non-state actors in the current age of globalisation have been increasing. This increase has become more evident with the more stringent traceability of processes associated with the development of information and communication technologies (ICT), and private forms of organisation networking at the local and transnational level. This has re-defined geographical boundaries, creating proximity between individuals which goes beyond physical constraints, and it has extended definitions of communities to multiple levels of identification and convergence, but also divergence.The concept of civil society and its role in the participatory governance of societal processes implies forms of soft regulation and moral authority which transcend the role of states as enforcers. The idea of civil society opens a space for non-traditional actors to actively participate and engage in the political processes of change in society, for the betterment of marginalised groups, the environment or social justice in general. The diversity of roles that single individuals have in society allows them to participate from different angles.Although the concept of civil society has limitations due to its breadth, manifestations of a global civil society can be understood as forms of globalisation that occur outside traditional institutional settings.Originality/value of chapter – This chapter provides a general overview on civil society, and its relevance for analysing contexts of international business, and MNES's relations with community and non-governmental groups. Within this chapter, it is also conceptually describe how multinationals as non-state actors have increasingly playing a role in providing welfare.

Purpose – This chapter examines the corporate social responsibility (CSR) of international businesses to combat commercial and governmental corruption. The focus is on multinational enterprises (MNEs) as key business actors globally.Design/methodology/approach – The methodology of the chapter is a combination of literature review, summary of international anticorruption accords, and analysis of available data sources. The literature review is not a systematic survey of academic literature but rather citation of key works bearing on the chapter's purpose. Greater emphasis rests on anticorruption accords and data sources to provide practical guidance to business managers and public officials.Findings – Corruption is global and ubiquitous although varying markedly by country and industry. Corruption occurs in multiple forms such as bribery, entertainment, extortion, facilitating payments, favors, gifts, gratuities, and travel. International anticorruption accords now constitute a formal global norm against bribery and extortion in commercial or governmental transactions. Economic and political costs of corruption are high. Active national enforcement is gradually increasing.Practical implications – The needed corporate policy is not to pay bribes, large or small, in any form for any reason. Such policy will in future extend to prohibit even minor facilitating payments. Businesses should define and enforce broadly applied anticorruption norms. The chapter cites key examples of prosecutions and anticorruption efforts.Originality/value of chapter – This chapter marshals available information from literature, anticorruption accords, and corruption data sources. The chapter is intended to be a useful guide for business managers and public officials.

Purpose – This chapter seeks to theoretically demonstrate that authentic corporate strategy is entrenched in an ethical responsibility, and ethical responsibility requires a strategic framework to qualify as a sustainable value co-creation process that determines the long-term success of the firm.Design/methodology/approach – Through economic philosophical analysis and content analysis, we critically reviewed literature which argues for the integration of corporate responsibility (CR) and corporate strategy both in theory and practice by putting the concept into a proper context of institutional and time-based dynamics.Findings – The chapter delineates the salient dimensions of the dominant logic (D-L) of strategic corporate responsibility (SCR). The traditional notion of CSR is explained, compared and contrasted with the transitioning process of strategic CSR and the D-L of SCR which is at the civic level. We also identified four global forces that serve as enablers of strategic CR logic.Practical implications – The D-L of SCR explains how a firm defines and redefines itself and not what a firm does. We underscore what firms are in the ‘process of becoming’ through a co-evolutionary process with markets and institutions. Firms which want to go beyond mere survival in the 21st century must see the D-L of SCR not as a choice but as an imperative constrained by these global forces.Originality/value of chapter – The novelty of this chapter is that it challenges traditional CSR and provides a shift in thinking about the concept of CR where sustainability and innovative strategies become the source of institutional and market legitimacy and hence a competitive advantage.

Purpose – In business environment, corporate social responsibility (CSR) is becoming increasingly an important issue for every stakeholder. Organizations are being reputable through CSR activities. The aim of this chapter is to examine the relationship between CSR and corporate reputation, and determine the role of CSR activities in corporate reputation building process.Design/methodology/approach – An extensive literature research is conducted in order to develop the theoretical framework that supports the positive role of CSR activities on corporate reputation.Findings – As CSR activities affect the consequences that have a positive impact on corporate reputation, findings show that CSR enables firms to improve reputation with a broad range of stakeholders including employees (internal customers), customers (external customers), suppliers, competitors, bankers, and investors.Research limitations/Implications – However this research is a theoretical study, for further studies an empirical research model may be developed for investigating the relationship between CSR and corporate reputation. These dimensions should be measured and the hypothesis about the positive relationship between CSR and corporate reputation may be statistically tested.Practical implications – This theoretical study may be useful for the board of directors and managers since they should become aware of the importance of one of the growing areas of corporate reputation and CSR. They are also increasingly being encouraged to engage CSR activities into their organization's vision, identity, brand, and reputation. Based on societal expectations of stakeholders, organizations should develop and improve their CSR programs and reflect these developments to their reputation mechanisms.Originality/Value of the paper – This study is valuable to understand the corporate reputation practices that enhance and demonstrate the value of reputable organizations. It is also attractive to compare other dimensions of corporate reputation such as emotional appeal, workplace environment, and corporate reputation with CSR.

Purpose – This chapter develops the case for a global Greenscape. It introduces the green global marketplace (Greenscape) to better understand the global green market.Design/methodology/approach – The chapter introduces current green market practices and adopts case study methodology to present three distinct green cases related to renewable energy, process technology and wastewater recycling and their international market activities. The chapter offers discussion on findings and incorporates the novel technique of discourse analysis using Leximancer 3.0.Findings – The case shows how the Greendex Report (2012) positions Brazil, India, China and Russia at the top of the markets for green product penetration. The developed nations of USA, France and Canada make up the bottom rankings. The chapter finds essential elements for creating the global Greenscape and marketing of green technologies.Research limitations/implications (if applicable) – Empirical research testing success pathways and destination opportunities is desirable.Practical implications (if applicable) – The ‘success and failure criteria’ identify how planning, patent and partnerships are essential for successful entry. Specific market research on G(reen) markets, market information, marketing functions for market entry and market diffusion for renewable products and process technologies such as supply chain elements, and how these interrelate with achieving sustainability goals is essential for successful entry.Originality/value of chapter – The chapter offers a novel and original approach to international green market penetration and offers analysis related to the new world BRIC countries that have been little explored.

Purpose – We seek explanation for the existence of international activity in industries whose characteristics provide conflicting rationales for international expansion. In such industries, the competitive value of some industrial characteristics is magnified by international expansion, whereas the value of others is undermined by these moves. The tension is amplified in the presence of sustainability concerns and the quest for meeting Corporate Social Responsibility (CSR) goals.Design/methodology/approach – The study is based on case studies of the world's largest multinational enterprise (MNE) producers of hydropower plant equipment, which provide representative examples of MNEs in renewable energy industries. We examine the strategic balances that these MNEs strike to deal with the conflicting pressure of international strategy and their performance outcomes.Findings – The insights we generate from the case studies suggest that there might be plural ways to successfully address such tensions, and firms’ histories and competitive advantages shape the choices they make in the face of these conflicts.Implications – Our contribution is of notable merits in the contemporary world whereby the pressure for international expansion extends to industries whose characteristics both favour and inhibit international activity. We outline the distinctive impact that sustainability concerns have in this tension.Originality/value of chapter – Our study serves to deepen the understanding of international activity in the renewable energy sector, a relatively understudied sector, whose significance in the world economy and in international business is growing rapidly. It is novel in extending the tension of international activity to include sustainability and CSR concerns.

Purpose – To review the performance and growth of mining industry in India against current global vision and trend of the industrial growth internationally. Also, to evolve the strategic policy for evaluating Corporate Social Responsibility (CSR) programme initiatives taken by the Indian mining industry at large as well as the impacts thereof, with special reference to affected and most vulnerable mining belts in India.Design/methodology/approach – An attempt has been made in the chapter to have a holistic sectoral review of the overall performance of the mining industry in India for the past one decade, as well as its claimed impact on improvement of ecological quality and socio-economic growth in the mining belts. The chapter reviews the state of the impact of ‘CSR’ initiatives and programmes on environment as well as the mining community in terms of stakeholders’ involvement and protection of rights in developing socio-economic business equity. The chapter also critically analyses the policy dimensions – including mining industry's operational framework, which can attribute towards developing future strategy for sustainable development of the mining industry at large, through evolving a series of reform processes, adequately backed up by innovative CSR policy and programme initiatives, together with well-defined implementation, monitoring, evaluation strategies and standards.Findings – The mining industries in India have a huge potential for growth to support the other industries for which bulk of the raw materials are derived from this industrial segment. Several research and developmental studies conducted by different organisations spread across the globe have convincingly been able to link the prospect of industrial growth and long-term sustainability with the stakeholders’ participatory and proactive roles along with those of the industry for holistic and integrated socio-economic development of the mining areas. This has been possible through careful designing of the CSR programmes and initiatives by several mining companies in India (with varying degree of success and failures) with close monitoring and performance evaluation of the impact of the programmes in ecological, economical and sustainability terms against certain pre-designed standards. Such standards – as they are constantly evolving – should inter alia include ethical and transparency dimensions to ensure total involvement of the local community in the mining-affected areas. Proper compensation mechanisms and socio-economic growth of the mining community will not only improve productivity, but will also take care of ecological and economic safeguard of the mined coal blocks that are highly vulnerable to ecological degradation and economic exploitation. As for future strategy for sustainable industrial growth of the mining industry in India, there should be constant monitoring and evaluation of the various provisions of the various Acts related to mining, minerals, metals, energy, power, environment, etc. that are constantly under review and reforms processes with a view to guiding the future strategy. International co-operation in the mining sector will go a long way for sustainable growth and development of the mining industry in India for boosting the economic growth of the country.Research limitations/implications – Future research on the theme should focus on identification of replicable and sustainable model of CSR practices in the mining industry by developing illustrative business models on the basis of global experiences. Sustainability reporting and identification of better qualitative as well as quantitative parameters, tools and techniques to study the impact of CSR practices on the socio-economic growth of the affected mining community should be the focus of future research.Social implications – The findings (serving as messages) of this piece of research will certainly have an impact on society. This in turn, will, hopefully influence public attitudes, and by implications, it will also influence (corporate) social responsibility or environmental issues.Originality/value of the chapter – The chapter is innovative and, among other things, addresses some of recently reported burning issues affecting the interests of the mining industry on one hand, and the national economy of the affected countries on the other.

Frederick Ahen is a PhD candidate at the University of Turku, Finland. Frederick holds a BSc in Economics and International Business from the Università Politecnica delle Marche, Italy and an MSc in International Business from London South Bank University. Frederick's main research interests include strategic corporate responsibility, global sustainability and global health diplomacy with particular focus on the comparative institutional analysis of emerging economies in West, East, Central and Southern (WECS) Africa and selected European economies.