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Building a business case for CSR - 02.08.2012
Corporate social performance may explain stock prices better than traditional financial measures

By Linda Locke, Reputare Consulting

Is there a real business case for corporate social responsibility (CSR)?

In the  Journal of Business Ethics, a study using membership in the Dow Jones Sustainability Index, showed that corporate social performance may explain stock prices better than traditional financial measures.

And another article in the Journal of Brand Management concludes that brand value is more sensitive to CSR than traditional financial measures. If brand building is central to your organization, CSR activities can be very helpful in bringing measurable return.

Together these studies provide theoretical frameworks and empirical analyses that will help a communicator build a business case for a company to engage in strategic CSR activity, and to tell its story to stakeholders about its value to society.

Read more in the Institute for PR website




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