Skip to main content
SpringerLink
Log in

A comparative study of CSR in Pakistan!

  • Published:
Asian Journal of Business Ethics Aims and scope Submit manuscript

Abstract

This paper presents the state of corporate social responsibility (CSR) in Pakistan since it has been driven in the country by the Securities and Exchange Commission of Pakistan, the UN Global Compact, and trade liberalization under the WTO. This study is based on responses obtained from 51 Pakistani companies and 20 MNCs. It was found that MNCs were found to be more socially responsible to customers, to suppliers in terms of their purchasing procedures, to the environment, to their employees, to the community by contributing more to the community’s education and health, and in their greater commitment to ethics. Pakistani companies need to improve their performance on CSR to gain competitive advantage.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Log in via an institution

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Institutional subscriptions

Similar content being viewed by others

References

  • Certo, S. C., & Peter, J. P. (1988). Strategic management concepts and applications (p. 207). New York: Random House.

    Google Scholar 

  • Cheung, Y. L., et al. (2010). Does corporate social responsibility matter in Asian emerging markets? Journal of Business Ethics, 92, 401–413.

    Article  Google Scholar 

  • Dawkins, J., & Lewis, S. (2003). CSR in stakeholder expectations: and their implication for company strategy. Journal of Business Ethics, 44, 185–193.

    Article  Google Scholar 

  • Fatima (1994). Social responsibility of business organizations. Dawn, Economic and Business Review Section; June 18–24, 1994.

  • Fatima (2007). A review of United Nations’ global compact and its impact on Pakistan. The Journal of Management, 9(1), 77–87.

  • Friedman, M. (1962). Capitalism and freedom. http://voiceimitator.blogspot.com/2009/04/milton-friedman-capitalism-and-freedom.html accessed August 15, 2012.

  • Geredeman, D. (2012). A pragmatic alternative for creating a corporate social responsibility strategy. Working Knowledge: Harvard Business School.

    Google Scholar 

  • Harrison, J. S., et al. (2010). Managing for stakeholders, stakeholder utility functions, and competitive advantage. Strategic Management Journal, 31(1), 58–74.

    Article  Google Scholar 

  • Holme, R. and Watts, P. (2000). Corporate social responsibility: making good business sense. World Business Council for Sustainable Development.

  • Jamali, D. (2008). A stakeholder approach to corporate social responsibility: a fresh perspective into theory and practice. Journal of Business Ethics, 82, 213–231.

    Article  Google Scholar 

  • Khuhro, S. A. P., et al. (2015). Investing status of ‘corporate social responsibility’ policies and practices: case study of small and medium enterprises in Jamshoro and Hyderabad districts. IBT Journal of Business Studies (Formerly Journal of Management & Social Sciences)., 11(2), 243–256.

    Google Scholar 

  • Marrewijk, M. van. (2003). Concepts and definitions of CSR and corporate sustainability: between agency and communion. Journal of Business Ethics, 44, 95–105.

  • McWilliams, A. et al. (2005). Corporate social responsibility: strategic implications. Rensselaer Working Papers in Economics; Number 0506.

  • Morrison-Paul, C. J. and Siegel, D.S. (2006). Corporate social responsibility and economic performance. Rensselaer Working Papers in Economics; Number 0605.

  • Muller, A., & Kolk, A. (2009). CSR performance in emerging markets evidence from Mexico. Journal of Business Ethics, 85, 325–337.

    Article  Google Scholar 

  • Muthuri, J. N., & Gilbert, V. (2011). An institutional analysis of corporate social responsibility in Kenya. Journal of Business Ethics, 98, 467–483.

    Article  Google Scholar 

  • Naeem, M. A., & Welford, R. (2009). A comparative study of corporate social responsibility in Bangladesh and Pakistan. Corporate Social Responsibility and Environmental Management, 16, 108–122.

    Article  Google Scholar 

  • Oh, W. Y., et al. (2011). The effect of ownership structure on corporate social responsibility: empirical evidence from Korea. Journal of Business Ethics., 104, 283–297.

    Article  Google Scholar 

  • Oxfam. (2008). Corporate social responsibility survey of Hang Seng Index constituent companies. Oxfam Hong Kong.

    Google Scholar 

  • Prieto-Carron, M., et al. (2006). Critical perspectives on CSR and development: what we know, what we don’t know, and what we need to know. International Affairs, 82(5), 977–987.

    Article  Google Scholar 

  • SECP’s Code of Corporate Governance. (2012). www.secp.gov.pk/CG/CodeOfCorporateGovernance_2012_AmendedJuly2014.pdf Accessed August 4, 2012.

  • Yunis, Mohammad Sohail. 2009. CSR research “back home”: a critical review of literature and future research options in Pakistan. B&ER (The Business and Economic Review), Vol.1, No.1.

  • Wolzak, N. (2010). The CSR index: the new instrument to measure corporate social responsibility. www.uu.nl//yesuse/programmainhoud/Documents/The_CSR_Index.pdf accessed August 14, 2012.

  • World Bank Group (2016). World development indicators. The World Bank. Retrieved from http://elibrary.worldbank.org/doi/abs/10.1596/978–1–4648-0683-4

Download references

Acknowledgements

The author acknowledges the contribution of IBA’s Senior Executive Research, Khurram Iqbal, in data collection and tabulation.

Author information

Authors and Affiliations

  1. Institute of Business Administration, Karachi, Pakistan

    Mahnaz Fatima

  2. Flat #207, 3rd Floor, C-4, Phase-III, Haroon Royal City, Block-17, Gulistan-e-Jauhar, Karachi, Pakistan

    Mahnaz Fatima

Authors
  1. Mahnaz Fatima
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to Mahnaz Fatima.

Appendices

Appendix 1.

Table 12 List of respondent Pakistani companies
Full size table

Appendix 2.

Table 13 List of respondent MNCs
Full size table

Appendix 3.

Customer

Fig. 1
figure 1

Q 4 Are customers generally satisfied by your products?

Full size image
Fig. 2
figure 2

Q 5 How do you gauge customer satisfaction?

Full size image
Fig. 3
figure 3

Q 6 Which of the following three quality management practices do you follow?

Full size image
Fig. 4
figure 4

Q 7 How is the quality of products perceived by your customers?

Full size image
Fig. 5
figure 5

Q 8 Does your company provide full information to the customers including through the labels?

Full size image
Fig. 6
figure 6

Q 9 Do you compare performance with competitors for performance improvement?

Full size image

Suppliers

Fig. 7
figure 7

Q 10 Are your purchases from outside based on?

Full size image
Fig. 8
figure 8

Q 11 Is full information provided to suppliers?

Full size image
Fig. 9
figure 9

Q 12 Are suppliers paid as per the terms of the contract

Full size image
Fig. 10
figure 10

Q 13 Is feedback obtained from suppliers and complaints resolved?

Full size image
Fig. 11
figure 11

Q 14 Are negotiations with suppliers based on gain maximization or are they based on a win-win outlook?

Full size image

Competitors

Fig. 12
figure 12

Q 15 Do you collaborate with competitors for gaining competitive advantage?

Full size image
Fig. 13
figure 13

Q 16 Do you engage in comparative advertising?

Full size image
Fig. 14
figure 14

Q 17 Do you reveal the weaknesses of your competitors’ products in your efforts to sell?

Full size image

Employees

Fig. 15
figure 15

Q 18 What is the rate of absenteeism in your company?

Full size image
Fig. 16
figure 16

Q 19 What is the rate of employee turnover in your company?

Full size image
Fig. 17
figure 17

Q 20 Do you have a clearly laid down remuneration policy?

Full size image
Fig. 18
figure 18

Q 21 What is the performance appraisal system in your company?

Full size image
Fig. 19
figure 19

Q 22 Is performance appraisal discussed with employees?

Full size image
Fig. 20
figure 20

Q 23 Are important issues discussed with employees?

Full size image
Fig. 21
figure 21

Q 24 If yes, please give an example in the space provided

Full size image
Fig. 22
figure 22

Q25 Do you develop training and development programs for your employees?

Full size image
Fig. 23
figure 23

Q 26 If yes, please give an example in the space provided

Full size image
Fig. 24
figure 24

Q27 Are you an equal opportunity employer?

Full size image
Fig. 25
figure 25

Q28 Do you provide a safe work environment through SHE (safety, health, and environment) measures?

Full size image
Fig. 26
figure 26

Q 29 Do you have a provident fund scheme for your employees?

Full size image
Fig. 27
figure 27

Q 30 Do you have a gratuity scheme for your employees?

Full size image
Fig. 28
figure 28

Q 31 How many paid leaves do you allow to your workers? Please provide details of casual leave, sick leave, and privilege leave in the space below

Full size image

Environment

Fig. 29
figure 29

Q 32 Do you assess the environmental impact of your company operations?

Full size image
Fig. 30
figure 30

Q 33 If it is done partly or fully, please explain how in the space provided below

Full size image
Fig. 31
figure 31

Q 34 Do you use recycled products?

Full size image
Fig. 32
figure 32

Q 35 If yes, please give details in the space provided below

Full size image
Fig. 33
figure 33

Q 36 Do you conserve energy?

Full size image
Fig. 34
figure 34

Q 37 If yes, how? Please answer in the space provided below

Full size image
Fig. 35
figure 35

Q 38 Have you installed pollution abatement equipment?

Full size image
Fig. 36
figure 36

Q 39 If yes, please answer in the space provided below

Full size image

Community/societal

Fig. 37
figure 37

Q 40 Do you give donations for social causes?

Full size image
Fig. 38
figure 38

Q 41 If yes, please give details in the space provided below

Full size image
Fig. 39
figure 39

Q 42 Does your organization or group run charity schools?

Full size image
Fig. 40
figure 40

Q 43 If yes, please give details in the space provided below

Full size image
Fig. 41
figure 41

Q 44 Does your organization or group run charity hospitals?

Full size image
Fig. 42
figure 42

Q 45 If yes, please give details in the space provided below

Full size image
Fig. 43
figure 43

Q 46 In the space provided below, please provide information on any other community/societal service you might be engaged in

Full size image

Ethics

Fig. 44
figure 44

Q 47 Do you have a code of business ethics?

Full size image
Fig. 45
figure 45

Q 48 If yes, please provide a copy

Full size image
Fig. 46
figure 46

Q 49 If not, do you have any guidelines for ethical code of business conduct?

Full size image
Fig. 47
figure 47

Q 50 If yes, please provide details in the space below

Full size image

Appendix 4.

CSR survey questionnaire

figure afigure afigure afigure afigure afigure afigure afigure afigure afigure afigure a

Rights and permissions

Reprints and permissions

About this article

Check for updates. Verify currency and authenticity via CrossMark

Cite this article

Fatima, M. A comparative study of CSR in Pakistan!. Asian J Bus Ethics 6, 81–129 (2017). https://doi.org/10.1007/s13520-017-0074-x

Download citation

  • Received:

  • Accepted:

  • Published:

  • Issue Date:

  • DOI: https://doi.org/10.1007/s13520-017-0074-x

Keywords

Search

Navigation