Before the coming of democracy, people just criticized illegal activities or companies’ absurdities, and the people’s expectations about Corporate Social Responsibility (CSR) were not high. However, as the era changed, the importance of CSR activities was raised, and the social activities of companies were increased. However, many people don’t know about these necessities.
There are some reasons that many corporations carry out CSR activities. It maximizes the purpose of the company, ‘the creation of the profits.’ CSR activities affect the making of the positive image of the corporation directly and indirectly. It is possible to make employees satisfied with business and to make clients trust the company through CSR activities. These activities allow the company to keep a higher rank in their rivalries. After all, CSR activities are investments and survival tactics as they are strategies of marketing which are more effective than any other advertisements.
CSR activities increase people’s interest in social problems. As many people watch the companies’ social activities, they have a positive feeling toward the corporation. They also have the feeling that companies have to return some benefits to society. In the past, CSR activities were done by large enterprises or public institutions. However, they have now expanded to the small and medium enterprises. It is because expectations have formed naturally for doing such social activities. Also, the CEOs start to have the spirit that they have to return their profits to society. This contributes to making a positive society.
CSR activities have many effects. However, CSR activities in Korea occur less than in other countries. This is because the understanding of the effects of CSR is doubtful. The benefits or the effects from the CSR activities are not noticed in the short term. People don’t have understanding because the effects are not noticeable immediately.
The fact that people don’t know more about CSR is blocking the carrying out of CSR programs. In fact, there are many various kinds of activities in CSR that the people still don’t know about. Moreover, it has become better than before. However, the thinking is that enforcing social responsibilities is unrelated to economic profits and that they obstruct in the growth of corporation. Therefore, the costs of the CSR activities are a burden for the people who have that opinion, and these prejudices become the obstacles in operating CSR activities.
Recently, CSR has extended the people’s understanding with survival tactics and establishing new paradigms of corporate management all over the world. We will have to find ways to survive in the global competition, keeping pace with the global current. At present, there are many cases and studies about CSR activities, and it shows us the developed appearance of a corporation. We have to know about the CSR exactly rather than have doubts about its effects and try to advance in a positive direction. Corporations will profit in the long term even though it is not noticeable in the short term.