CSR and Entrepreneurship: Issues, Dimensions and Challenges
IIM-A FDP Alumni National Conference, GITAM Visakhapatnam, 2013 [Conference Proceedings]
9 Pages Posted: 8 Apr 2016
Date Written: April 7, 2013
Social inequities have increased over the years, despite all efforts on governance. Rich-Poor divide, poverty, unemployment, illiteracy, malnutrition, have been a few of the major concerns in the world, now. None of the known Socio-Economic indicators explain/indicate satisfactorily ‘social-equity and growth of entrepreneurship’. Corporate houses are now found to be more powerful than some of the countries, by financial measures, thus influencing the socioeconomic environment in a significant way. Milton Friedman’s (Nobel Prize in Economics in1976) Stockholder Model, (with the philosophy, that ‘the Social Responsibility of Business is to Maximize Profits’) indicates that ‘the only social responsibility of business is to maximize shareholder wealth, within the bounds of the law’. India has brought out CSR Guidelines in 2009, and in 2011. European Union has brought out a normative concept for firms, to take responsibility for all their ‘impacts on society’. CSR being a broad spectrum of activities, there is a concern that it can mean undue interference in the activities of firms.
This CSR activism represents a new paradigm for Entrepreneurship. It would present opportunities for social and green entrepreneurship, build human capital, and build an ecosystem for entrepreneurship. Major entrepreneurial drivers being the values and attitudes towards society, entrepreneurship is expected to flourish under and beyond the aegis of CSR.
The present article critically examines the issues of CSR with respect to entrepreneurship.
Keywords: Corporate Social Responsibility, CSR, Entrepreneurship
JEL Classification: L20, D21, L52,
Suggested Citation: Suggested Citation