What does 'corporate social responsibility' (CSR) primarily involve?

Corporate social responsibility (CSR) primarily involves incorporating social and environmental concerns into business practices. This concept emphasizes the idea that companies should not only focus on financial gains but also consider their impact on society and the environment. By integrating ethical practices, sustainable resource management, and community engagement into their operations, businesses can contribute positively to society while still achieving their economic objectives.

This dual focus on profitability and social good reflects a more comprehensive understanding of a company's role in the world, acknowledging that long-term success is linked to a healthy society and environment. Companies that actively engage in CSR are often seen as more trustworthy and responsible, which can enhance their brand reputation and foster customer loyalty.

In contrast, the other options represent narrower approaches to business that do not align with the principles of CSR. For instance, focusing exclusively on profit maximization or solely on shareholder interests neglects the broader responsibilities businesses have towards various stakeholders, including employees, customers, and the community. Reducing employee benefits to cut costs can also undermine company morale and contribute negatively to societal welfare, which is counterproductive to the aims of CSR.