CSR Shared Value Essay

CSR Shared Value
Essay
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Table of Contents
Introduction ....................................................................................................................................3
Main body .......................................................................................................................................3
Conclusion ......................................................................................................................................6
References.......................................................................................................................................7
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Introduction
The purpose of this essay is to develop understanding regrading the concept of corporate
social responsibility and creating shared value. It reflects upon the importance of CSR practices
and their importance for improving overall performance of an organisation. It also discuss
challenges faced in implementation of CSR practices and adopting sustainability in the
operations of companies.
Main body
According to Kramer and Pfitzer, If businesses become more involved in stimulating
social welfare and overall development, the critical issues faced by societies such as poverty,
health issues and pollution would be reduced while bringing rise in corporate profits. The
concept of creating shared value has became significant and received a great deal of appreciation
from society and community (Sharma, 2019). Therefore, it has became important that
corporations must comply with corporate social responsibility to pursue financial success. It has
became crucial for companies to create shared values as the question of corporate legitimacy
have arise with company's reaching at prosperous backgrounds at the cost of ignoring
community interests. Moreover, the operations of companies are causing issues and rising
concerns of environmental issues such as climate change and other societal issues including
income inequalities which requires immediate attention and expertise of business models of
private sector. But as soon as businesses attempts at pursuing shared value strategies, they are
faced with various obstacles at every turn. Companies do not operates in individual backgrounds
and their existence is critically dependent upon several societal situations that influence their
markets and interrupt the flow of productivity. Moreover, governmental policies and regulations
serves a range of limitations and demand is being influenced by cultural norms (The Ecosystem
of Shared Value, 2016).
This essay argues that the implementing practices complying with corporate social
responsibility has its own challenges and it is quite difficult to establish effectiveness in
execution of corporate social responsibility. While focusing upon corporate social responsibility,
businesses are required to protect their own interests as well and ensure their survival and
sustenance in the long run. The importance of corporate social responsibility has reached beyond
the concept of feeling good or generally complying with standards of law but it is beneficial for
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