Corporate Social Responsibility-A study of Pakistani Subsidiaries

Abstract

The dominant theme of this work tries to introduce the main driving forces behind the initiative of managers to adopt the corporate social responsibility (CSR) practices in subsidiaries of Multinational organizations (MNCs) in Pakistan. The hypotheses are formed to determine (i) the link between autonomous position of subsidiary firms and CSR (ii) the link between CSR and integration of subsidiary firms with its headquarters (iii) how the CSR practices adopted by firms are influenced by its stakeholders. The findings, supported by strong statistical evidence, indicate that CSR is positively related with autonomous position of subsidiary firms working in host country, integration between headquarter and subsidiary and various stakeholders that are linked with firms. The paper provides useful insights for managers of MNCs to facilitate their CSR practices/policies.