Punishment for socially irresponsible companies

More than one in five shareholders would sell their shares if they believed the company they’ve invested in has behaved in a socially irresponsible manner, a new report has found.

The third Corporate Social Responsibility (CSR) Monitor has recently been released by Environics International, revealing an increase in public support for businesses with socially and environmentally responsible attitudes. The proportion of consumers who have punished companies for poor social performance has increased from last year’s survey from 20% to 29%.

Twenty-five countries were involved in the study, including Australia, Brazil, Japan and Nigeria. In each country 1000 members of the public were interviewed about their opinions towards various issues of CSR, including expectations of companies, socially responsible investing and the communication of CSR to members of the public.

The report has revealed a nearly global consensus that companies should go beyond philanthropy and apply their expertise and technology – not just their financial resources – to solve social problems. Over 80% of the respondents agreed that companies should do more than give money to solve social problems.

There is also a growing interest among consumers in learning about CSR with three out of four people across the world expressing interest in learning more about CSR initiatives.

The 2002 report provides regional and demographic analysis, comparative analysis between countries and regions, and an analysis of opinion leaders. Details of the report are available on the Environics International Website.

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