Corporate Social Responsibility and Poverty Essay

Corporate Social Responsibility and Poverty - Essay Example nations have achieved high levels of prosperity based on the support provided to them by private organization that invested in the nations and help out in others ways through corporate social responsibilities initiatives. This paper provides analyzes the effect of corporate social responsibility in developing and developed nations. Corporate responsibility is the commitment of businesses to contribute to sustainable economic development, working with employees, their families, local communities and society at large to improve the quality of life of everyone (Centidamar & Husoy, 2007). The contributions of corporate responsibility towards the sustainable development of a region and the globe can either be directly or indirectly. An indirect contribution of a company’s presence is a region is lowering the government’s unemployment rate by creating a substantial amount of new employment opportunities for the unemployed residents of a region. Coca-Cola is a multinational firm the as of 2003 employed nearly 30,000 people in the People’s Republic of China and creates through the supplier chain effect nearly 410,000 in the country (Thecoca-colacompany, 2007). This beverage company has applied corporate responsibility initiatives to directly help the community of China. Two examples of the types o f social project in which the company donates resources is an HIV initiative which donates on a yearly basis 340,000 RMB to help support 150 organ children infected with the HIV virus and Coca Cola’s sponsorship of the 2012 Olympic Games in Beijing, China (Businessfightsaids, 2007). Corporate Responsibility is a balancing act between the global stakeholder’s interest and the shareholders interest. A shareholder has a narrow mind as far as what they feel is the most important goals since their only interest is to have the value of their investment go up which typically occurs with increase revenue and profitability. The manager of the firm is the one responsible of