How Do Legal Systems Impact Corporate Social Responsibility (CSR)?
Corporate Social Responsibility (CSR) involves businesses taking responsibility for their impact on society and the environment. Legal systems can influence CSR in several ways:
1. Regulations: Laws may mandate certain CSR activities, such as environmental protection measures or community development projects. 2. Reporting: Some countries require businesses to disclose their CSR activities in annual reports. 3. Litigation: Companies may face legal action if they fail to meet CSR obligations, impacting their reputation and financial performance.