Corporate Social Responsibility towards Corporate Performance: Whether a Barrier or an Endorser
Corporate Social Responsibility towards Corporate Performance: Whether a Barrier or an Endorser
Author : ASTRIE KRISNAWATI Published on : International Conference on Global Trends in Academic Research (GTAR-2014) (Global Illuminators - Bali Indonesia)
Abstract
It is commonly considered that the concept of Corporate Social Responsibility (CSR) contrasts with the principle of a business. The success or failure of a corporate is mostly measured by its financial achievements. Social responsibility and financial profitability are like two sides of a coin. As if there were a trade-off between conducting CSR and achieving corporate performance. Since every activity of a corporate will create a cost as the consequence, then being responsible to society might be harmful to the corporate profitability in terms of financial efficiency. However, some paradigms of business assert that complying with social responsibility is a way to attain corporate sustainability which means that CSR is an endorser, rather than a barrier, to achieve corporate performance. This conceptual paper will show the linkage between CSR and corporate performance through literature review of some previous studies to find the gaps that can be filled in by further research to establish a novel notion of Corporate Social Performance (CSP).
