Corporate Social Responsibility in Challenging Times in Developing Countries

Abstract

Economically developing countries pose unique difficulties for Corporate Social Responsibility (CSR) implementation and sustainability compared to more economically developed countries. This chapter examines and discusses these challenges, with particular attention to Zimbabwe. Arguably, challenging times in developing countries are really all the time, the rule rather than the exception. CSR requires a balanced approach that encompasses the economic, social and legal pillars of business operations. The situation for Zimbabwean companies exemplifies the challenges of maintaining CSR in difficult environments. Zimbabwe is characterized by a weak institutional environment, poor governance structure and various social, economic and political challenges. Developing countries in general are also subject to illicit financial outflow to rich countries further stripping the developing nation of critical resources (Dobers & Halme. Corporate Social Responsibility and Environmental Management 16(5):237–249, 2009). After overview of an ideal CSR model, this chapter examines several Zimbabwean companies and how they have or have not addressed CSR in their operations. Discussion focuses on what may be key factors that support or weaken the implementation of CSR in a developing country and what further research and practice guidelines are recommended base on this discussion. It is felt that the situation in Zimbabwe is and can be instructive for the implementation and sustainability of CSR in other developing countries.