CS Professional · CSR and Social Governance · CSR and Sustainable Development Goals
Kiran Pharma Ltd argues that CSR is just a compliance cost, yet it spends on community health because doing so improves its licence to operate, brand trust and long-term returns. Which characterisation of this approach is most accurate?
This is strategic CSR, where social spending is deliberately aligned with business interests such as reputation, community trust and long-term value. It differs from pure philanthropy, which expects no business return, and nothing in the facts suggests unlawful use of funds or misleading environmental claims.
- APure philanthropy with no business link
- BStrategic CSR that aligns social activity with business valueCorrect
- CIllegal diversion of company funds
- DGreenwashing
Explanation
Linking social spending to brand, licence to operate and long-term value is strategic CSR. Pure philanthropy has no business link, and nothing in the facts suggests illegality or misleading claims.
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