Corporate Social Responsibility: Corporate Foundations versus Normal Foundations

Corporate Responsibility
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Anneke Zwart
Student (University), Netherlands
Due to increased awareness of the social and environmental effects of economic and other activities (among other reasons), many for-profit businesses have started to include CSR-activities in their business activities. In general, the CSR activities are managed either by the organizations itself, or transferred to a so-called "Corporate Foundation" (CF). In for-profit organizations, a CF is the instrument through which benefits of CSR-activities can be managed. Minciullo and Pedrini (2015) elaborate on the main characteristics that distinguish CFs from normal foundations. The following characteristics apply: CFs have closer ties due to financial resources: A normal foundation usually is not financially dependent on a single firm. Rather, they are funded independently. CFs have closer ties due to dependence: A CF is also dependent in a non-financial way on the founder firm. This includes dependence in terms of employees, know-how and relations/networks. Dependence is also created (...) Read more? Sign up for free

 

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