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On the Economic Dimensions of Corporate Social Responsibility

Exploring Fortune Global 250 Reports

Fabienne Fortanier

University of Amsterdam Business School, F.N.Fortanier{at}uva.nl; http://www.abs.uva.nl/pp/ffortanier

Ans Kolk

University of Amsterdam Business School, akolk{at}uva.nl; http://www.abs.uva.nl/pp/akolk

The macro-level debate on the economic impact of multinational enterprises (MNEs) is still unsettled. This article explores micro-level evidence by examining what Fortune Global 250 firms themselves report about their economic impact. Such reporting embodies corporate attempts to account for their economic implications, in addition to the environmental and social aspects of their activities that have traditionally received more attention in the context of corporate responsibility. Firms' reports turn out to provide a rich illustration of the mechanisms through which MNEs (can) affect economic development (including sheer size, technology transfer, and backward linkages) and of how such impacts are being operationalized and measured. The authors test which MNEs are most likely to disclose information on the various mechanisms and find that it is influenced by region, sector, and size but not by profitability. Implications of this exploratory study for research and practice are discussed.

Key Words: corporate social responsibility • economic impact • foreign direct investment • multinationals • reporting

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This version was published on December 1, 2007

Business & Society, Vol. 46, No. 4, 457-478 (2007)
DOI: 10.1177/0007650306296088
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