Corporate Social Responsibility(CSR) refers to the accountability that a business must have to the people and community it affects. It includes social aspects but also environmental and economic impacts. Let’s see how CSR and Small Business is related! Keep scrolling to know more!
1) It doesn’t matter if a business is small or a big multinational corporation but, there are people affected by every organization.
2) there are four types of CSR-
- economic responsibility
3) CSR by big companies has a much wider impact, but even a small effort is worthwhile.
4) The reason for No CSR can also be because in the Companies Act 2013, it is said that two per cent of average profits are to be spent on CSR so, if there is no profit, then no CSR.
5) Ideally, the size of a business should not matter because it is vital because they owe to the society and environment.
6) CSR is not cheap which, is a big challenge for small businesses to pull out of their budget. So owing to society is not a good enough reason. So why should they do it?
7) CSR provides a solid local presence. Many small businesses get their human resource locally, and if they have a good brand image, even their employees are proud to be associated with them.
8) CSR funds generate higher returns on lower investments.
9) It gets them in the good books of government and civil society which, is very important for any small business.
It is all about how CSR and small business is dependent on each other! Do voice your opinion in the comment sections down below!