The Managerial Sources of Corporate Social Responsibility

The Spread of Global Standards

Nonfiction, Social & Cultural Studies, Political Science, Politics, Economic Conditions, Business & Finance, Accounting
Cover of the book The Managerial Sources of Corporate Social Responsibility by Christian R. Thauer, Cambridge University Press
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Author: Christian R. Thauer ISBN: 9781316054673
Publisher: Cambridge University Press Publication: October 23, 2014
Imprint: Cambridge University Press Language: English
Author: Christian R. Thauer
ISBN: 9781316054673
Publisher: Cambridge University Press
Publication: October 23, 2014
Imprint: Cambridge University Press
Language: English

Why and under which conditions do companies voluntarily adopt high social and environmental standards? Christian Thauer looks inside the firm to illustrate the internal drivers of the social conduct of business. He argues that corporate social responsibility (CSR) assists decision-makers to resolve managerial dilemmas. Drawing on transaction cost economics, he asks why and which dilemmas bring CSR to the fore. In this context he describes a managerial dilemma as a situation where the execution of management's decisions transforms the mode of cooperation within the organization from a hierarchy to one in which managers become dependent on, and vulnerable to, the behavior of subordinates. Thauer provides empirical illustration of his theory by examining automotive and textile factories in South Africa and China. Thauer demonstrates that CSR is often driven by internal management problems rather than by the external pressures that corporations confront.

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Why and under which conditions do companies voluntarily adopt high social and environmental standards? Christian Thauer looks inside the firm to illustrate the internal drivers of the social conduct of business. He argues that corporate social responsibility (CSR) assists decision-makers to resolve managerial dilemmas. Drawing on transaction cost economics, he asks why and which dilemmas bring CSR to the fore. In this context he describes a managerial dilemma as a situation where the execution of management's decisions transforms the mode of cooperation within the organization from a hierarchy to one in which managers become dependent on, and vulnerable to, the behavior of subordinates. Thauer provides empirical illustration of his theory by examining automotive and textile factories in South Africa and China. Thauer demonstrates that CSR is often driven by internal management problems rather than by the external pressures that corporations confront.

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