Exploring the Role of Corporate Social Responsibility in Economic Development-A Theoretical Framework

Abstract

The central aim of enhancing economic productivity of India is to improve the overall development of majority of Indian industries or corporate sectors who are not at par with govt. rules and regulation, So there is a need  of proper implementation of different corporate law which will bring some sort of economic growth vis a vis economic development. As we are observing since 7 decades after independence, the existence of corporate sector is not so fruitful to bring the economic development and growth in the country. There are many factors which are considered to be a major hindrance to overall development. There is a plea for the integrated view of the development which should embrace development in all sectors. In specific there should be growth and development in all sectors. In specific, there should be growth and development in all aspects basically in industrial sectors which are called the back bone of Indian economy. Which encompasses status, equality, security, complete physical, mental, and social well being of the target group especially the Indian population. Under the Corporate Social Responsibility the companies are supposed to set aside at least 2% of their average profit in the last three years for CSR activities. The law has listed out a wide range of activities under CSR, which cover activities such as promotion of education, gender equity and women’s empowerment, combating HIV/AIDS, malaria and other diseases, eradication of extreme poverty, contribution to the Prime Minister’s National Relief Fund and other central funds, social business projects, reduction in child mortality, improving maternal health, environmental sustainability and employment enhancing vocational skills among others.