Embedding corporate governance and corporate social responsibility in emerging countries

Abstract

Purpose

This paper aims to examine how the governance structure incorporates corporate social responsibility (CSR) into corporate behaviour in the perspective of the external environment within emerging countries.

Design/methodology/approach

The paper reviews the various CSR legislations enacted in the global context and in particular reference to the Indian Companies Act 2013.

Findings

The embedded relationship between CSR and corporate governance (CG) is an outcome of extensive dimensions such as ownership structure, stakeholder approach and other external environmental factors such as the government regulations and legislation, legal enforcement and corporate disclosure culture.

Originality/value

The enactment of the Companies Act 2013 in India has infused a new direction for the corporations in implementing CSR and CG practices. This paper throws light on the coverage of the Companies Act 2013 and various challenges faced by the companies in the applicability of the CSR and CG framework in the Indian context.

Citation

Uzma, S.H. (2016), "Embedding corporate governance and corporate social responsibility in emerging countries", International Journal of Law and Management, Vol. 58 No. 3, pp. 299-316. https://doi.org/10.1108/IJLMA-04-2015-0015