Corporate governance as a foundation for corporate social responsibility in transitioning economies: the Russian experience

Citation

McCarthy, D.J. (2009), "Corporate governance as a foundation for corporate social responsibility in transitioning economies: the Russian experience", Strategic Direction, Vol. 25 No. 1. https://doi.org/10.1108/sd.2009.05625aad.008

Corporate governance as a foundation for corporate social responsibility in transitioning economies: the Russian experience

Article Type: Abstracts From: Strategic Direction, Volume 25, Issue 1

McCarthy D.J. and Puffer S.M.Thunderbird International Business Review, July/August 2008, Vol. 50 No. 4, Start page: 231, No. of pages: 13

Purpose – to discuss the role of corporate governance in Russian business and management, and its influence on corporate social responsibility (CSR). Design/methodology/approach – presents a contingency view of CSR, and discusses the link between CSR and corporate governance in Russia, suggesting the CSR in the transitioning Russian environment has in essence been manifested through corporate philanthropy stemming from legacies of the communist era, and is viewed by many Russians and the Russian government with suspicion, cynicism, and even open hostility. Explores the state of corporate governance in Russia, covering the role of institutions, corporate governance and investment, the legacy of privatization and ethical foundations of corporate governance. Considers deterrents to progress in corporate governance in the nature of the uncertainty of the economy, inadequate supporting institutions, and the deep seated obstacle of endemic corruption. Concludes with a discussion of evolving corporate governance systems in transitioning economies, making the point that any model of good corporate governance must take into account the type of economic system a country aspires to, and suggesting that Russia’s corporate governance system will probably take a unique form. Findings – maintains that despite some progress in corporate governance and a beginning of CSR in many companies, the future of these processes in Russia remains uncertain, given that corporate behaviour in Russia, including governance and CSR are reflective of the major owners or shareholders, and less so of corporate entities. Research limitations/implications – has no stated implications for future research. Originality/value – addresses the nature of corporate governance and CSR in transitioning economies, with an examination of the situation in Russia.ISSN: 1096-4762Reference: 37AT092

Keywords: Corporate governance, Emerging markets, Russia, Social responsibility