The values of a business extend beyond simply making profits and solely benefitting from them. The true essence of a well-founded business lies in it being purpose-driven and in the contribution it makes towards the society’s greater good. While climate change, economic asymmetry and external global factors have played a large part in pushing the businesses to recognize their Corporate Social Responsibility (CSR), many companies have also innately recognized the repercussions of their activities in the long run and have come to accept the idea that a business should play a progressive role in the community apart from considering the heavy environmental and social impact of their decisions.

This is specifically apparent in a recent study by Deloitte, in which 93 percent of the business leaders agreed that they believe ‘companies aren’t just employers, but stewards of society.’ Additionally, 95 percent of the leaders reported ‘they’re planning to take a stronger stance on large-scale issues in the coming years and devote significant resources to socially responsible initiatives.’ With an increasing percentage of business leaders devoting their efforts and resources to the long-term rather than focusing on short-term monetary benefits, it is pertinent to note that the CSR trend is here to stay. This approach is also monumental in its far reaching impact, navigating global businesses towards a more society-oriented and community conscious model which will enable the down-trodden and emerging markets to thrive too.

The first signs of business strategy incorporating CSR came in an announcement by Mercedes-Benz Group with their Ambition 2039 strategy showcasing a marked shift towards the support of local communities. The company proclaimed that in a bid to reduce their carbon footprint, it will be slowly but surely moving towards a completely electric vehicle fleet. Take the example of Lego, one of the largest companies for children’s toys in the world. Lego announced that it will be aiming not only for children to develop their skillsets better through play but also for a healthier planet. Consequently it became the first and only toy company to be awarded the honor of being named a World Wildlife Fund Climate Savers Partner. In a pledge to evoke sustainability, the toys giant announced that by 2030 it will almost altogether use environmentally friendly materials to cater to its production and packaging needs, a goal it has already taken drastic steps towards by shrinking its box sizes by 14 percent which has already lead to the saving of approximately 7,000 tons of cardboard.

While Mercedes and Lego are some of the companies to exhibit CSR via their business strategy and are focusing on reducing their carbon footprint, countless other businesses are joining the bandwagon with steps taken in the direction to support education, infrastructure and various other social domains such as financial literacy and independence. For example Ben & Jerry’s social mission includes granting almost $2.5 million to establishments in Vermont and panning across the entire United States. Some notable recipients include the United Workers Association, which is a human rights group working to end social poverty, and the Clean Air Coalition, an association aiming for environmental health and justice organization in New York.

Starbucks has also launched its first CSR report in 2002 with a focus on ethical sourcing, verifying that not only is 99% of its existing coffee supply chain ethically sourced but that it will actively seek to push this stat to a 100% with extended partnerships with local coffee producers and farmers.

With rapid advancement in the Fintech sector, there has also been greater focus on advancing social causes and looking deeper into strategies that will not only establish their image as sustainable and socially impactful, but will also bring about real change in the world. Fintechs in fact have a huge role to play in bringing financial services to the masses who have previously been deprived of such advancements. This, coupled with their overarching aim to boost financial literacy, has made headlines in recent years. Ventures such as BKash in Bangladesh have joined hands with Fintech companies like EZ Wage to cater to the marginalized population of Bangladesh that resides in rural settings and has limited or no access to formal banking. Financial inclusion is hence one of the domains many fintechs have begun focusing on to base their CSR goals on.

Increasingly, Fintechs have begun training and have designed educational courses to advance financial literacy, another area that previously lacked attention. Trainings on investment, savings and banking models are the way forward to pave financial literacy and these are the domains that Fintechs have focused their energies on to cater to their direct users as well as a wider audience that could be converted to their future users. Notably, Fintechs have begun to roll out services and app features that have made the process of donations and charity well-organized and more direct, leading to greater transparency.

It is important to point out that corporate social responsibility (CSR) is a business model that is geared towards companies seeking ways to create social and environmental benefits while simultaneously pursuing traditional organizational goals, like revenue growth and maximizing shareholder value. It doesn’t offer an either or approach, rather includes another branch of social improvement in the existing strategy of the companies.