Corporate social responsibility of a multinational bank and its South African subsidiary

Abstract

Africa has become increasingly attractive to foreign investors, but the establishment of operations in emerging markets poses challenges for multinationals. One such challenge is implementing of corporate social responsibility (CSR) effectively across all subsidiaries. This study aims to determine whether there are differences in CSR expectations and praxis between a multinational bank and its subsidiary operating in South Africa. Through qualitative research methods, a case study research design approach was utilized to study CSR activities in the parent company and CSR activities in its South African subsidiary. Data collected from ten interviews are analyzed using open, axial and selective coding procedures. The study concludes that there are nuanced gaps in CSR expectations, and between the parent company and its South African subsidiary. Global CSR strategies may be applied consistently across subsidiaries, but they do not necessarily address core issues faced in emerging economies, placing doubts upon the practicality of these efforts.