Corporate social responsibility and corporate profits

Abstract

Corporate social responsibility philosophy has evolved to its present form recognizing different but interrelated dimensions: economic, social, and environmental. It may be said that corporate social responsibility consists in the sustainable relationship between entity and its environment, promoting policies for improving and protecting conditions of these three dimensions; in other words, it is about the entity to return to the environment what it took from it. It is possible to note in analysing the implementing policies of corporate social responsibility that behind them underlies a bigger return in different ways, from the highest spontaneous profitability, product of its involuntary implementation (indirect), to planned profitability in order to achieve that bigger profitability (direct). In both cases, profitability growth is a consequence of improving the company image and the loyalty of clients due to these actions. An analysis is carried out for proposing a method to measure profitability significances in a for-profit company.