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MODERN CORPORATE SOCIAL RESPONSIBILITY MODELS OF MULTINATIONAL CORPORATIONS


The article is devoted to the research of modern mechanisms of corporate social responsibility strategies implementation in multinational corporations. Intergovernmental bodies and non-governmental organizations, think-tanks and socially responsible investors, activists and media take a forensic interest in different aspects of a company's activities and the impact they have. Thus MNCs are forced to invest in social practices often viewed by them as costly philanthropic initiatives aimed at the support of company's reputation.

The expedience of responsible initiatives and companies strategies coordination to find the appropriate CSR sphere for business development is shown. Companies should experience policies and operating practices that enhance their competitiveness while simultaneously advancing the economic and social conditions in the communities in which they operate. The may choose among three ways of creating: reconceiving products and markets, redefining productivity in the value chain and local cluster development.

By example of leading MNCs, that liked the proposition to transform social problems relevant to the corporation into business opportunities, thereby contributing to the solving of critical societal challenges while simultaneously driving greater profitability, the necessity of creating shared value concept implementation by Ukrainian companies is proved. Thus the idea of shared value should be better popularized among companies in the Ukrainian market to allow them to understand that responsible practices may increase company's performance and addressing various societal issues may open new opportunities for business and thereby to increase the level of corporate social responsibility development in the Ukrainian business environment.



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Keywords:  corporate social responsibility, corporate citizenship, creating shared value, sustainability, responsible initiative, non-financial reporting, multinational corporation, competitiveness.

CORPORATE FINANCE

Panchenko Yevgen
Dr. in Economy Professor

Petrashko Ludmyla
Dr. in Economy, Professor

Kiriakova Maryna
PhD, Associate Professor, SHEI «Kyiv National Economic University named after Vadym Hetman»

 

 

 

 

 

 

 

 

 

 

 

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