CSR vs CSV: Corporate Social Responsibility and Shared Value Creation

This essay examines the effects of Corporate Social Responsibility (CSR) and Creating Shared Value (CSV) on businesses and society. CSR is defined as a company's efforts to improve society's way of life, while CSV reshapes businesses and their relationship with society, driving innovation and productivity. The paper discusses cognition and paradigmatic transformations affecting CSR and CSV, including environmental responsibility, philanthropic initiatives, ethical business practices, and economic responsibility. It reflects on how CSR and CSV have led to improved material and identity changes in the business sector, positively impacting communities and marketing environments. Desklib is a platform where students can find more solved assignments and study tools.

Corporate social responsibility (CSR) and Shared value creation/creating shared value (CSV)
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Corporate social responsibility (CSR) and Shared value creation (CSV)
This paper addresses the effect of the CSR and CSV to businesses and people. CSR is a
comprehensive term applied to define effort of the company in improving the society way of life
in different perspectives. CSR (Corporate social and responsibility) is aimed to ensure that
organizations conduct their business in an ethical process which involves taking account of their
social, economic and effects (Carroll and Shabana, 2010).CSV reshape businesses and its
relationship to society. It also drives the innovation wave and growth of productivity in a
relatively competitive global economy. In simple term, the shared value was established to
change the operation of core business to achieve a triple bottom line returns.
Cognition
Cognition is the process of gaining knowledge from thoughts and experience. CSR and
CSV can be comprehended by giving an approach from various dimension. Both were
established to bring a positive gained in business and society. CSR and CSV dimensionally differ
in the various ways (Aguinis and Glavas, 2012). The two deliver services toward achieving
positive gains but the variation is demonstrated on their characteristics. For example, CSR
employees’ recruitment and retention while the CSV deploys assets to attain scale and
investment. Also, CSR corporate sustainability while CSV upgrades capabilities of the supplier.
The CSR undertakes something separate from the business while CSV integrates social and
environmental effect into the business.
Paradigmatic transformation
There exist four types of transformation affecting both CSR and CSV which include:
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1. Environmental responsibility transformation. This was enacted by businesses to limit
pollution and reduce greenhouse gases.
2. Philanthropic initiative transformation. This involves time, money or resources
donation to the organizations and charities either locally, nationally or globally levels.
These donations are specifically aimed at improving human rights, eradicating disasters
and initiating educative programs to underdeveloped states (Aguinis and Glavas, 2012).
3. Ethical business practices transformation. This primarily focuses on the provision of
fair labor practices for employees. Some of the practices include equal payment and
initiatives towards living wage compensation for employees.
4. Economical responsibility transformation. This focuses on the initiation of practices
that lead to the long-duration growth of the business putting in place ethical standard set,
environmental and philanthropic practices.
Critically reflecting on the CSR and CSV, they have broadly led to improved material
and identity changes that define the business sector. Significant changes initiated by CSR and
CSV have positively impacted a tremendous growth inside and outside communities and
marketing environments.
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References
Aguinis, H., & Glavas, A. (2012). What we know and don’t know about corporate social
responsibility: A review and research agenda. Journal of management, 38(4), 932-968.
Carroll, A. B., & Shabana, K. M. (2010). The business case for corporate social responsibility: A
review of concepts, research and practice. International journal of management
reviews, 12(1), 85-105.
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